3.2 Low Unemployment

Employment

The use of labour in the economy to produce goods and services

Unemployment

Occurs when workers able and willing to work at the current wage rates are unable to find employment

Claimant count

The method of measuring unemployment according to the number of people who are claiming unemployment-related benefits

Level of unemployment

The number of people in the working population who are unemployed

Rate of unemployment

The percentage of the country's workforce that is unemployed

Cyclical unemployment

Lack of employment caused by a lack of demand in the economy

Structural unemployment

Unemployment caused by a permanent decline of an industry or industries

Frictional unemployment

Lack of employment caused by time lags when workers move between jobs

Seasonal unemployment

Lack of employment caused by a fall in demand during a particular season