The Workplace for Nationwide Statistics (ONS) has signed a deal value £8 million to rent lots of of non permanent staff in a bid to restore what economists warn is “virtually unusable” information on employment within the UK.
The transfer comes amid mounting criticism of the company’s flagship labour power survey (LFS), which policymakers on the Financial institution of England depend on to information rate of interest selections.
Beneath the settlement finalised final month, staffing company Randstad will recruit 148 non permanent area interviewers to bolster the ONS’s everlasting crew of 549 individuals. In the meantime, one other recruitment agency, Alexander Mann Options, is anticipated to usher in round 200 extra interviewers by Might 2025. These new hires will perform face-to-face visits to households, encouraging them to finish on-line questionnaires.
The ONS has been grappling with falling response charges in its labour power survey for the reason that pandemic, when doorstep visits had been halted. Participation has recovered from a low of 12.7 per cent in 2023 to about 20 per cent, however stays nicely under the 40 per cent stage seen in 2019. In consequence, information to seize the working preparations of Britain’s 45 million-strong workforce relies on solely 47,000 responses.
Economists have raised issues that this information hole is hampering the Financial institution of England’s decision-making, notably within the run-up to a key financial coverage assembly on 6 February. Andrew Goodwin, chief UK economist at Oxford Economics, mentioned that “concerns about the quality of data from the UK’s labour force survey make it virtually unusable at present”.
Past labour market information, the ONS has additionally postponed a separate mission to include detailed grocery store scanner info into the nationwide inflation basket. The company mentioned it was “prudent” to delay a deliberate March 2025 launch by a 12 months, because of the complexity and significance of the information.
Momentary area roles marketed by Randstad are providing £12.55 an hour exterior London and £14.85 within the capital for 22 to 30 hours per week. Whereas these wages exceed the brand new nationwide residing wage of £12.21 as a consequence of come on this April, union officers say the ONS ought to give attention to long-term recruitment and pay constructions to deal with deep-rooted morale points.
Fran Heathcote, basic secretary of the PCS commerce union, criticised the price of outsourcing to an company and referred to as for “addressing long-term recruitment and retention issues” as a substitute. Workers turnover on the ONS is operating at about 25 per cent, with inside surveys citing dissatisfaction with administration and pay.
Nik Males of the Prospect union echoed these issues: “Political and economic decisions are being made on the back of data that could be gathered more effectively. They need to wake up and smell the coffee.”
Acknowledging the issue, the ONS mentioned it’s rising the variety of interviewers and intends to launch a “transformed labour force survey” as a part of a long-term resolution. It additionally lately examined a shorter model of its questionnaire to encourage greater engagement and pledged to supply additional updates this spring.
“We strive for an honest and inclusive culture that encourages staff feedback,” an ONS spokesperson mentioned. “We recently commissioned a lessons learned review to ensure the views of those involved in the transformed labour force survey project were heard.”
The priority over information gaps comes as the most recent official figures confirmed an increase in unemployment, including to uncertainty over how the Financial institution of England will view the UK’s financial trajectory because it units rates of interest within the coming weeks.
