Essay on London: Unemployment and Labour Market Change

Submitted By anomaaba
Words: 8465
Pages: 34
Open Document
Special feature

A century of labour market change: 1900 to 2000
By Craig Lindsay, Labour Market Division, Office for National Statistics

A century of labour market change: 1900 to 2000

Key points
●

A summary of labour market conditions in the twentieth century.

In 1900 the population was around 38 million and gross domestic product (GDP) stood at just under £125 billion at constant 1995 market prices. By the end of the century, the population had increased by 50 per cent to 59 million, and GDP had risen fivefold to £800 billion. ● The estimated employment rate for 15 to 64-year-olds in 1902 was around 69 per cent. Using Labour Force Survey data the employment rate in 2000 was 71 per cent. However, this comparison is affected by changes in the school leaving age and retirement age. ● The unemployment rate, as measured by those claiming unemployment-related benefit, was below 5 per cent in 1900. It was at its highest point in 1932, at 22 per cent but by the end of the century, it was below 5 per cent again. ● One major change was the shift in industrial composition. In the UK, manufacturing’s share fell from 28 to 14 per cent of employment, and agriculture’s share from 11 to 2 per cent. ● At the beginning of the twentieth century, around five million women worked, making up 29 per cent of the total workforce. By 2000, the figure had risen to 13 million, 46 per cent of the total workforce. ● The average weekly hours of a manual worker fell from 53 hours in 1943 to 43.5 in 1987. ● In 1900 trade union membership represented 11 per cent of those in employment. It peaked in the late 1970s at 50 per cent but by 2000 was down to under 29 per cent, its lowest level for 60 years. ● The level of full-time earnings has soared from an average £1.40 per week in 1902 (not adjusted for inflation) to £350 per week in 1997.

Introduction
THE AIM of this article is to provide an overview of labour market change through the twentieth century, and its links to major events and to social change more generally. ONS already produces a range of articles looking at general labour market conditions: the monthly Labour Market Assessment (see pp103-6) looks at the current labour market situation using the latest data; the annual ‘State of the Labour Market’ pieces (of which the first was published on the National Statistics website www.statistics.gov.uk last year) look at change over the course of a year. By comparison, this article aims to take a step back and to examine longer-term trends. In 1900, Britain was coming to the end of the Victorian age, a period that had seen the country at the forefront of the Industrial Revolution and the expansion of Empire. Government intervention was light, and the economy had developed largely based upon the free market liberal heritage of Adam Smith (1723-90), and of Cobden (180465) and Bright (1811-89). As late as 1874, both Disraeli (Prime Minister: 1868-68 and 1874-80) and Gladstone (Prime Minister: 1868-74, 1880-85, 1886-94) had gone into the general election promising to repeal income tax (although during their different times in office neither did). The nineteenth century had seen politics dominated by the Tory and Whig groupings, and then by their successor parties, the

March 2003

Labour Market trends 133

Special feature

A century of labour market change: 1900 to 2000

A century of labour market change: 1900 to 2000

Conservatives and Liberals respectively. However, the beginnings of change were evident. The Industrial Revolution, as well as bringing increased wealth and higher living standards, had seen the emergence of the working class and the first disciples of Marxism. In 1900 the population was around 38 million1 and gross domestic product (GDP) stood at just under £125 billion2 at constant 1995 market prices. The economy was more notably based upon trade and manufacturing: manufacturing represented 28 per cent of output; agriculture, forestry and fishing 11 per cent;
Show More

Related Documents: Essay on London: Unemployment and Labour Market Change

London and Uk Labour Market Essay

Exploring Economic and Labour Market Developments and change: Participation, Equality and Disadvantage at the National and Regional Level. Issues and implications for People Management and Policy and Practice Introduction: In the last 100 years the British labour market has been in many ways a more equal and fairer society it has ever been. For example, 70 years ago women were not allowed to work after they got married and people were openly discriminated on their colour of their…

Words 3572 - Pages 15

The National Minimum Wage Law In The UK

* BUSINESS DECISION ANALYSIS* * London* *School*of Accountancy & Management Course Instructor: Prof. Armaan Nehal. N. Panchasara (ID no: ST0005944) Masters of Business Administration Assignment: A * (Using Demand & Supply: examine the arguments in favour & against minimum wage law in UK*) * *Total words: 1,402 Demand It refers to the willingness and ability of buyers to purchase goods and services at different prices. Supply It refers to…

Words 1402 - Pages 6

THE UK ECONOMY FINAL Essay

this effect on inflation and unemployment. The increase in VAT leads to a fall in disposable income for consumers, ultimately causing a fall in consumption. Consumption is a major component of AD and therefore AD falls. The fall in consumption signals fall in demand for businesses and these firms respond by cutting output. As a result, the firm engages in rationalization measures i.e. cutting costs by laying off excess employees contributing to higher unemployment in the private sector. Reduction…

Words 2180 - Pages 9

Karl Marx's Theory Of Value On The Contemporary Capitalist Economy

Marxian theory of value. The study indicates that capitalism does have an overall tendency to extract surplus value from labour provided by the workers, since it is the most malleable (influenced) of things within the confines of capitalism in the production process as noted by Marx. According to Marx, a system like capitalism, where people are coerced or forced to sell their labour in order to survive is unjust and that in the modern capitalist economy, the rate of profitability or success in production…

Words 3876 - Pages 16

M1 Unit 2 Travel And Tourism

Why Heathrow should get a third runway. Businesses across the UK rely on Heathrow Airport to expand their businesses and keep the market open for new businesses to come in. Heathrow is pivotal in keeping London one of the most important business capitals in the world, due to its links in central London and other major cities across the UK. But with Heathrow running at 98% capacity [1] it needs a third runway, which will not only help organise the current flights they have but also open up new long…

Words 1477 - Pages 6

Great Britain's Two-Chamber System Analysis

Important Things with is that the United States is a federal state while Great Britain is a unitary state, who constitute the executive power and how they are selected. In the parliamentary solution arising from government legislature. The two-chamber system and how they work in practice may be important to point out. Who is the head of state etc. DIFFERENCES USA: Federal State UK: Device State USA: Checks and balances - the three joints in power distributions have specific roles in terms of mutual…

Words 1437 - Pages 6

Sociology and Baby Boomers Essay

Individualisation and Risk in regards to changes in the Australian workforce The Australian workforce has undergone many changes during the past 40 years through the transition into the late modernity. These changes have led to increased individualisation, where individual behaviour is less confined by social expectations, norms and values, giving them the flexibility to move around (Beck 1992), particularly in the workforce. These sociological changes in employment since the 1970s will be examined…

Words 1267 - Pages 6

Business Analysis And Decision Making

explanations of economic decline (I) the “crowding-out” theory, (ii) trading failure. • Thirdly, we discuss the merits of the explanations using a range of statistical data. • Fourthly we discuss the implications on industry of the post 1979 change in economic policy. • Use a Value Added Framework to explain economic decline. The Concerns 1. Declining share of international trade. 2. Declining share of world manufacturing output. 3. Reduction in manufacturing share of GDP. 4. Weak…

Words 1459 - Pages 6

We Are All Equal Before the Law Essay

‘We are all equal before the law’. To what extent is this common statement about the law reflected in practice? LILIAN MATOPODZI/1019138 BA HONS HEALTH AND SOCIAL CARE UNIVERSITY OF BEDFORDSHIRE…

Words 1824 - Pages 8

Labour Economics and British Airways Essay

Contents page Introduction Page 1 Labour Market definition: Page 1 Labour market patterns Page 1 Trends in the Graduate market Page 1-2 Prediction for Graduates in 2013 Page 2 PEST:- Economic…

Words 2452 - Pages 10