June Labour Market Statistics: comment from the Institute for Employment Studies
10 Jun 2025
Commenting on today's figures, Seemanti Ghosh, Principal Economist at the Institute for Employment Studies said:
“The first labour market data since the rise in National Insurance contributions and the increase in the National Living Wage has been effective and suggests that employers have responded to rising labour costs by scaling back their workforce and hiring plans. The number of payrolled employees in the UK declined further between March and April 2025, potentially reflecting employers’ reactions to new cost pressures, alongside wider economic uncertainty.
“Vacancies continued to fall across most industry sectors for the 35th consecutive quarter, highlighting growing caution among employers. The UK labour market is showing signs of cooling with sustained decline in vacancies and payrolled employees. Increased operational costs does appear to have dampened employer confidence and hiring activity.”
Read our analysis here.
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| IES contact |
 Seemanti Ghosh
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