2.3 UNEMPLOYMENT (MEASURES)

Question 1

whats the claimant count

Answer 1

measure estimates the number of individuals claiming unemployment benefits (Job seekers allowance)

Question 2

whats the labour force survey

Answer 2

a survey of employment in the UK, using the ILO’s definition of unemployment (someone who is out of work but willing and able to work and able to start within the next two weeks)

Question 3

problems with the claimant count

Answer 3

• count only includes those eligible and actively claiming the benefits
• some individuals may chose to not claim even if they are unemployed
• doesn’t include those that desire full time employment but aren’t actively seeking work
• changes in the benefit policies or eligibility criteria can impact the number included in the count

Question 4

problems with the labour force survey

Answer 4

• it relies on a sample of households which may lead to potential sampling bias
• some individuals may choose to not participate in the survey
• relies on people self reporting their status of employment which can introduce misinterpretation or errors
• its conducted at specific intervals and changes in the labour market in-between intervals may not be captured