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Underemployment affects 3.05m UK workers

The number of workers in search of more hours has increased by 1 million in the last four years, according to figures from the Office of National Statistics.

Underemployment now affects 10.5% of people in the UK workforce, with many part-time workers still in pursuit of more hours.

The worst affected jobs are roles such as lollipop men and women, lunchtime assistants, bar staff and cleaners, with 16 to 24-year olds suffering the most.

According to ONS, there are 3.05m underemployed workers in the UK, of which 76.3% said they want more hours, while 15% want to achieve this by finding a different job, and only 8.7% wish to find an additional job.

ONS suggested that Wednesday’s figures could be down employers’ inability to offer more hours, while certain jobs, such as bar work, can only offer certain hours.

Low demand for self-employed workers could also have an impact, while the economic climate may also have affected people’s personal circumstances to increase the desire for work, which has been offset by lack of job creation.

ONS said: “The sharp rise in the number of underemployed workers between 2008 and 2012 may be explained by a combination of these factors.

“The changes to economic conditions over this period include a fall in real earnings (earnings corrected for inflation) and a rise in unemployment.

“Both of these may have resulted in increased pressure on personal budgets and therefore increased desire for hours.”

The East Midlands suffered most from underemployment, with a 10.7% average rise between 2009 and 2012 in the number of workers wanting more hours, while this figure reached 10.6% in Yorkshire and Humber, 10.5% in the North East and 10.4% in the South West.

The South East region suffered least from underemployment, with a 9.2% rise in underemployment in the last four years.

Mark Holweger, Director of Legal & General’s general insurance business said: “As today’s ONS report on underemployment shows, it’s a tough environment for part-time workers at the moment.

“This is supported by our Job Security Index research, which recently showed that over one in ten (14%) part-time workers have decided not to currently look for another job or more work, because they don’t believe there is anything suitable out there.

“17% of part-time workers would like to change jobs at some point but plan on staying in their current role for the foreseeable future.

“There would appear to be appetite among part-time workers to increase their hours, but at the moment there doesn’t appear to be the opportunities available for them.

“A fifth of part-time workers (21%) say they have a part-time skill or hobby and would look to take it up full time to try and maintain their current lifestyle should they be made redundant.

‘Having a back-up plan is great but unfortunately turning a part-time hobby into something that generates a good level of income isn’t always a practical solution.“

This was posted in Bdaily's Members' News section by Miranda Dobson .