Unemployment rate rises and wage growth slows

The unemployment rate in Northern Ireland from March to May rose to 2.1%.

That is an increase on the previous quarter and on the same time last year and is the first quarterly rise in almost two years.

The typical monthly pay packet was £2,344 in Northern Ireland in June - £28 lower than May, but still £26 higher than last year.

Northern Ireland was the lowest earning region in the UK in June, and had the smallest annual pay increase of the 12 UK regions.

The number of workers on company payrolls in Northern Ireland fell slightly last month to 809,200, but is still higher than the same time last year.

The proportion of people in work, or the employment rate, rose over the quarter to 72.1%, however it is still lower than the same time last year.

The number of people not in work nor looking for a job - known as the economic inactivity rate - improved over the quarter, falling to 26.3%, but that is still slightly higher than last summer.

The most common reason was "long-term sick" accounting for 39.3% of the total economically inactive.

Chief Executive of the Labour Relations Agency Mark McAllister said: "Today's statistics, combined with a surprise rise in inflation, make a bad combination especially with pending pay negotiations and the potential for pay-related disputes."

"Whilst long-term trends are not in place, there does not seem to be a let-up in employees bemoaning the cost of living and employers bemoaning the cost of doing business," he added.