Average wages are continuing to outpace inflation for both public and private sector workers, according to official figures that unexpectedly showed barely no change in unemployment.

Weekly earnings between October and December rose 6%, while real wages (excluding bonuses) grew 5.9%, despite economists expecting a 5.8% rise. Even when inflation is factored in wages are still rising.

The UK’s unemployment rate remained effectively unchanged at 4.4%, although the Office for National Statistics has advised that its jobs figures should be treated with caution because of low response rates to its employment survey.

The figures follow warnings from businesses that they are planning to cut workforces and raise prices ahead of higher employment costs in April.

Scotland’s employment rate estimate (16-64 years) was 74.2%. The unemployment rate estimate (16+ years) was 3.8%, continuing to be below the UK average, and the inactivity rate estimate (16-64 years) was 22.8% in the same period.   

Deputy First Minister Kate Forbes said:  “These figures indicate that Scotland’s labour market is proving resilient despite a challenging economic environment.

“It’s encouraging to see payrolled employment remains close to record levels and Scotland has higher median monthly pay than the UK.”

.. more follows