ERSA has today welcomed news that UK labour productivity is estimated to have grown by 0.9% during the third quarter of 2017, according to ONS figures. This is the largest increase in productivity since 2011 with increases seen in manufacturing (2.1%), financial services (4.7%) and non-financial services (1.0%).
Despite this, ERSA recognises that growth in the last ten years remains the lowest since records began. Only nine of 26 industries have grown at faster rates over the last year than in the decade before the financial crisis.
Kirsty McHugh, ERSA’s Chief Executive said:
“The post-financial crash productivity slowdown is one of the biggest challenges facing the UK economy. Today’s ONS statistics show an encouraging increase in the productivity of British workers.’
However, this is set against a decade of weak productivity growth, with too many British workers stuck in low paid insecure jobs, without sufficient access to support for them to get on. In addition, many parts of the UK remain areas of higher unemployment, with some communities disproportionately affected by the blight of worklessness. To make a real difference, the government must radically review its policies to supporting people to progress in work and invest more in supporting those without a job to join the workforce.’