UK Employment Data Muddled as Falling Survey Response Rates Force New Measurement Methods
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The UK's Office for National Statistics had to change how it measures unemployment due to declining survey response rates, especially among millennials and Gen Z.
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The new method uses tax data and benefit claims rather than phone interviews to gauge employment levels.
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The change delivered mixed signals about the UK job market, confusing policymakers at the Bank of England.
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Survey response rates are falling globally as lifestyles change and people are less inclined to participate.
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Younger generations are harder to reach and may have more complex employment situations like side hustles.