Labour Market Profile - West Midlands

The profile brings together data from several sources. Details about these and related terminology are given in the definitions section.

All figures are the most recent available.

Resident Population

  West Midlands
(level)
United Kingdom
(level)
All people 5,956,200 67,026,300
Males 2,929,300 32,811,500
Females 3,026,900 34,214,800
Source: Population estimates - local authority based by five year age band
  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
All people 3,685,000 61.9 42,174,700 62.9
Males 1,825,000 62.3 20,765,700 63.3
Females 1,860,000 61.4 21,409,000 62.6
Source: Population estimates - local authority based by five year age band
Notes:   % is a proportion of total population

Labour Supply

  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
All people
Economically active† 2,998,000 77.5 34,494,000 78.1
In employment† 2,883,000 74.4 33,174,000 75.0
Unemployed§ 115,000 3.8 1,320,000 3.8
Economically inactive‡ 835,000 22.5 9,278,000 21.9
Males
Economically active† 1,594,000 82.6 17,847,000 81.6
In employment† 1,519,000 78.5 17,110,000 78.1
Unemployed§ 75,000 4.7 737,000 4.1
Economically inactive‡ 320,000 17.4 3,838,000 18.4
Females
Economically active† 1,404,000 72.5 16,647,000 74.7
In employment† 1,364,000 70.3 16,065,000 72.1
Unemployed§ 40,000 2.9 582,000 3.5
Economically inactive‡ 515,000 27.5 5,440,000 25.3
Source: Labour Force Survey
†   -   level are for those aged 16 and over, % are for those aged 16-64
‡   -   level and % are for those aged 16-64
§   -   level and % are for those aged 16 and over. % is a proportion of economically active

  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
All people
Total 785,100 21.6 8,888,400 21.3
Student 208,600 26.6 2,381,700 26.8
looking after family/home 164,600 21.0 1,721,700 19.4
temporary sick 16,400 2.1 207,700 2.3
long-term sick 216,700 27.6 2,421,200 27.2
discouraged ! ! 20,500 0.2
retired 79,700 10.2 1,127,800 12.7
other 98,200 12.5 1,007,700 11.3
 
wants a job 145,100 18.5 1,550,900 17.4
does not want a job 639,900 81.5 7,337,400 82.6
Source: ONS annual population survey
Notes:   numbers are for those aged 16-64.
  % is a proportion of those economically inactive, except total, which is a proportion of those aged 16-64
  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
Soc 2020 major group 1-3 1,363,700 48.3 17,150,500 52.4
1 Managers, directors and senior officials 252,300 8.9 3,436,400 10.5
2 Professional occupations 718,100 25.3 8,859,600 27.0
3 Associate professional occupations 393,400 13.9 4,854,500 14.8
Soc 2020 major group 4-5 545,100 19.3 6,072,000 18.5
4 Administrative & secretarial 265,300 9.4 3,171,100 9.6
5 Skilled trades occupations 279,800 9.9 2,901,000 8.8
Soc 2020 major group 6-7 412,900 14.6 4,652,300 14.2
6 Caring, leisure and other service occupations 238,000 8.4 2,623,500 8.0
7 Sales and customer service occs 174,900 6.2 2,028,800 6.2
Soc 2020 major group 8-9 503,100 17.8 4,881,700 14.9
8 Process plant & machine operatives 186,300 6.6 1,772,400 5.4
9 Elementary occupations 316,800 11.2 3,109,300 9.5
Source: ONS annual population survey
Notes:   level and % are for those aged 16+
  % is a proportion of all persons in employment
  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
Individual levels
RQF4 and above 1,384,600 40.4 18,067,600 45.5
RQF3 753,300 22.0 8,397,600 21.2
RQF2 713,500 20.8 7,528,000 19.0
RQF1 99,800 2.9 1,053,400 2.7
Other qualifications 185,200 5.4 1,866,400 4.7
No qualifications 291,400 8.5 2,777,400 7.0
Composite levels
RQF4 and above 1,384,600 40.4 18,067,600 45.5
RQF3 and above 2,137,900 62.4 26,465,300 66.7
RQF2 and above 2,851,400 83.2 33,993,300 85.6
RQF1 and above 2,951,200 86.1 35,046,600 88.3
Source: ONS annual population survey
Notes:   For an explanation of the qualification levels see the definitions section.
  level and % are for those aged 16-64
  % is a proportion of resident population of area aged 16-64
  West Midlands
(pounds)
United Kingdom
(pounds)
Gross weekly pay
Full-time workers 651.6 681.7
Male full-time workers 694.8 725.0
Female full-time workers 593.7 628.9
Hourly pay - excluding overtime
Full-time workers 16.50 17.40
Male full-time workers 17.06 18.02
Female full-time workers 15.60 16.64
Source: ONS annual survey of hours and earnings - resident analysis
Note:   Median earnings in pounds for employees living in the area.

Out-Of-Work Benefits

Under Universal Credit a broader span of claimants are required to look for work than under Jobseeker's Allowance. As Universal Credit Full Service is rolled out in particular areas, the number of people recorded as being on the Claimant Count is therefore likely to rise. The seasonally adjusted estimates in this table are consistent with the headline JSA measure.

  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
All people 182,268 5.5 1,585,049 4.0
Males 104,949 5.9 895,769 4.4
Females 77,319 4.9 689,280 3.7
Source: ONS Claimant Count - seasonally adjusted
Note:   % is a proportion of claimants + workforce jobs total

The estimates in the table below are not consistent with the headline claimant measure. However, they are consitent with the local area figures.

  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
All people 184,500 5.5 1,614,130 4.1
Males 107,350 6.1 919,510 4.5
Females 77,145 4.9 694,625 3.7
Source: ONS Claimant count by sex and age
Note:   % is a proportion of claimants + workforce jobs total
  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
Aged 16+ 184,500 5.0 1,614,130 3.8
Aged 16 to 17 270 0.2 3,230 0.2
Aged 18 to 24 35,650 7.1 283,840 5.1
Aged 18 to 21 20,785 7.3 161,400 5.3
Aged 25 to 49 110,295 5.9 964,510 4.4
Aged 50+ 38,280 3.3 361,730 2.7
Source: ONS Claimant count by sex and age
Note:   % is number of persons claiming JSA as a proportion of resident population of the same age
  West Midlands
(level)
West Midlands
(%)
Great Britain
(level)
Great Britain
(%)
Total claimants 441,250 12.2 4,448,890 11.0
By statistical group
Job seekers 55,250 1.5 460,480 1.1
ESA and incapacity benefits 228,620 6.3 2,446,000 6.1
Lone parents 43,770 1.2 401,630 1.0
Carers 72,280 2.0 685,670 1.7
Others on income related benefits 7,680 0.2 72,310 0.2
Disabled 26,980 0.7 312,240 0.8
Bereaved 6,660 0.2 70,560 0.2
Main out-of-work benefits† 335,320 9.3 3,380,420 8.4
Source: DWP benefit claimants - working age client group
Notes:   †   Main out-of-work benefits includes the groups: job seekers, ESA and incapacity benefits, lone parents and others on income related benefits. See the Definitions and Explanations below for details
  % is a proportion of resident population of area aged 16-64
  Northern Ireland and United Kingdom figures are not available for this dataset

Labour Demand

  West Midlands
(jobs)
West Midlands
(density)
United Kingdom
(jobs)
United Kingdom
(density)
Jobs density 3,049,000 0.83 36,506,000 0.87
Source: ONS jobs density
Notes:   The density figures represent the ratio of total jobs to population aged 16-64.
  Total jobs includes employees, self-employed, government-supported trainees and HM Forces
  West Midlands
(level)
West Midlands
(%)
United Kingdom
(level)
United Kingdom
(%)
Total 3,114,000 - 36,810,000 -
A : Agriculture, forestry and fishing 23,000 0.7 404,000 1.1
B : Mining and quarrying 1,000 0.0 54,000 0.1
C : Manufacturing 323,000 10.4 2,612,000 7.1
D : Electricity, gas, steam and air conditioning 19,000 0.6 117,000 0.3
E : Water supply; sewerage, waste management 29,000 0.9 270,000 0.7
F : Construction 189,000 6.1 2,248,000 6.1
G : Wholesale and retail trade; repair of vehicles 421,000 13.5 4,718,000 12.8
H : Transportation and storage 209,000 6.7 1,868,000 5.1
I : Accommodation and food service activities 175,000 5.6 2,805,000 7.6
J : Information and communication 83,000 2.7 1,669,000 4.5
K : Financial and insurance activities 65,000 2.1 1,152,000 3.1
L : Real estate activities 97,000 3.1 685,000 1.9
M : Professional, scientific and technical activities 237,000 7.6 3,411,000 9.3
N : Administrative and support service activities 279,000 9.0 3,189,000 8.7
O : Public administration and defence 114,000 3.7 1,684,000 4.6
P : Education 257,000 8.3 3,045,000 8.3
Q : Human health and social work activities 424,000 13.6 4,834,000 13.1
R : Arts, entertainment and recreation 70,000 2.2 1,044,000 2.8
S : Other service activities 99,000 3.2 945,000 2.6
T : Activities of households as employers;... 0 0.0 57,000 0.2
Source: ONS workforce jobs by industry (SIC 2007) - seasonally adjusted
Notes:   % is a proportion of is proportion of total workforce jobs
  West Midlands
(pounds)
United Kingdom
(pounds)
Gross weekly pay
Full-time workers 650.7 681.7
Male full-time workers 695.6 725.0
Female full-time workers 588.2 628.9
Hourly pay
Full-time workers 16.48 17.40
Male full-time workers 17.12 18.02
Female full-time workers 15.44 16.64
Source: ONS annual survey of hours and earnings - workplace analysis
Note:   Median earnings in pounds for employees working in the area.

Businesses

  West Midlands
(numbers)
West Midlands
(%)
United Kingdom
(numbers)
United Kingdom
(%)
Enterprises
Micro (0 to 9) 193,710 88.9 2,428,885 89.1
Small (10 to 49) 19,860 9.1 244,240 9.0
Medium (50 to 249) 3,370 1.5 42,795 1.6
Large (250+) 945 0.4 10,910 0.4
Total 217,885 - 2,726,830 -
Local Units
Micro (0 to 9) 213,590 83.9 2,597,490 84.3
Small (10 to 49) 32,885 12.9 391,980 12.7
Medium (50 to 249) 7,100 2.8 80,410 2.6
Large (250+) 1,065 0.4 12,245 0.4
Total 254,640 - 3,082,125 -
Source: Inter Departmental Business Register (ONS)
Note:   % is as a proportion of total (enterprises or local units)

Definitions and Explanations

Resident Population
The estimated population of an area includes all those usually resident in the area, whatever their nationality. HM Forces stationed outside the United Kingdom are excluded but foreign forces stationed here are included. Students are taken to be resident at their term-time address.
Labour Supply

Labour supply consists of people who are employed, as well as those people defined as unemployed or economically inactive, who can be considered to be potential labour supply. Information in this section relates to the characteristics of people living in an area.

Most labour supply data comes from the Annual Population Survey (APS). The APS is the largest regular household survey in the United Kingdom. It includes data from the Labour Force Survey (LFS), plus further sample boosts in England, Wales and Scotland. The survey includes data from a sample of around 256,000 people aged 16 and over.

As APS estimates are based on samples, they are subject to sampling variability. This means that if another sample for the same period were drawn, a different estimate might be produced. In general, the larger the number of people in a sample, the smaller the variation between estimates. Estimates for smaller areas such as local authorities are therefore less reliable than those for larger areas such as regions. When the sample size is too small to produce reliable estimates, the estimates are replaced with a #.

Economically Active
Economically active
People who are either in employment or unemployed.
Economic activity rate
People, who are economically active, expressed as a percentage of all people.
In employment
People who did some paid work in the reference week (whether as an employee or self employed); those who had a job that they were temporarily away from (eg, on holiday); those on government-supported training and employment programmes; and those doing unpaid family work.
Employment rate
The number of people in employment expressed as a percentage of all people aged 16-64.
Employees and self employed
The division between employees and self employed is based on survey respondents' own assessment of their employment status. The percentage show the number in each category as a percentage of all people aged 16-64. The sum of employees and self employed will not equal the in employment figure due to the inclusion of those on government-supported training and employment programmes, and those doing unpaid family work in the latter.
Unemployed
Refers to people without a job who were available to start work in the two weeks following their interview and who had either looked for work in the four weeks prior to interview or were waiting to start a job they had already obtained.
Unemployment rate
Unemployed as a percentage of the economically active population.
Economically inactive
Economically inactive
People who are neither in employment nor unemployed. This group includes, for example, all those who were looking after a home or retired.
Wanting a job
People not in employment who want a job but are not classed as unemployed because they have either not sought work in the last four weeks or are not available to start work.
Not wanting a job
People who are neither in employment nor unemployed and who do not want a job.
Workless Households
Households
A household is defined as a single person, or a group of people living at the same address who have the address as their only or main residence and either share one main meal a day or share living accommodation (or both). For the purposes of this table, estimates only include those households where at least 1 person is aged 16 to 64.
Workless households
Households where no-one aged 16 or over is in employment. These members may be unemployed or economically inactive. Economically inactive members may be unavailable to work because of family commitments, retirement or study, or unable to work through sickness or disability.
Children
Children refers to all children under 16.
Occupation
Occupations are classified according to the Standard Occupation Classification 2010. Descriptions of the job titles included in each code are available in the SOC manuals.
Qualifications

Qualifications data are only available from the APS for calendar year periods, for example, Jan to Dec 2022. From Jan to Dec 2022, qualifications are measured using the Registered Qualifications Framework (RQFs). Under RQFs, Trade Apprenticeships are accurately classified to the relevant levels. For Jan to Dec 2021 and prior, qualifications were measured using the National Vocational Qualifications framework (NVQs). The trade apprenticeships were split 50/50 between NVQ levels 2 and 3.

The variables show the total number of people who are qualified at a particular level and above, so data in this table are not additive. Separate figures for each RQF/NVQ level are available in the full Annual Population Survey data set (Query data).

No qualifications
No formal qualifications held.
Other qualifications
includes foreign qualifications and some professional qualifications.
RQF/NVQ 1 equivalent
e.g. fewer than 5 GCSEs at grades A-C, foundation GNVQ, NVQ 1, intermediate 1 national qualification (Scotland) or equivalent.
RQF/NVQ 2 equivalent
e.g. 5 or more GCSEs at grades A-C, intermediate GNVQ, NVQ 2, intermediate 2 national qualification (Scotland) or equivalent.
RQF/NVQ 3 equivalent
e.g. 2 or more A levels, advanced GNVQ, NVQ 3, 2 or more higher or advanced higher national qualifications (Scotland) or equivalent.
RQF/NVQ 4 equivalent and above
e.g. HND, Degree and Higher Degree level qualifications or equivalent.
Earnings by Place of Residence

The figures show the median earnings in pounds for employees living in the area who are on adults rates of pay and whose pay was not affected by absence. Figures for earnings come from the Annual Survey of Hours and Earnings (ASHE). The ASHE is based on a 1 per cent sample of employees, information on whose earnings and hours is obtained from employers. The survey does not cover self-employed. Information relates to a pay period in April.

The earnings information collected relates to gross pay before tax, national insurance or other deductions, and excludes payments in kind. It is restricted to earnings relating to the survey pay period and so excludes payments of arrears from another period made during the survey period; any payments due as a result of a pay settlement but not yet paid at the time of the survey will also be excluded.

Out-Of-Work Benefits
Claimant Count (Experimental Statistics)

The Claimant Count is the number of people claiming benefit principally for the reason of being unemployed. This is measured by combining the number of people claiming Jobseeker's Allowance (JSA) and National Insurance credits with the number of people receiving Universal Credit principally for the reason of being unemployed. Claimants declare that they are out of work, capable of, available for and actively seeking work during the week in which the claim is made.

The measure of the number of people receiving Universal Credit principally for the reason of being unemployed is still being developed by the Department for Work and Pensions. Consequently this component of the total Claimant Count does not yet correctly reflect the target population of unemployed claimants and is subject to revisions. For this reason the Claimant Count is currently designated as Experimental Statistics.

The Claimant Count is mostly derived from DWP administrative systems. For various reasons, e.g. a claimant's National Insurance number is not known, a small number of claims have to be dealt with manually. These clerical claims do not have as much detail as the computerised claims and therefore, whilst part of the claimant count by sex table, cannot be included the age breakdown.

Seasonal Adjustment

Like many economic indicators, the labour market is affected by factors that tend to occur at around the same time every year; for example, school leavers entering the labour market in July and whether Easter falls in March or April. In order to aid comparison of movements, other than annual changes in labour market statistics, some headline measures are seasonally adjusted to remove the effects of seasonal factors and the arrangement of the calendar. However, due to resource constraints, it is not possible to seasonally adjust all series. So for those that have not been seasonally adjusted, the figures will still be influenced by seasonal effects.

Rates by age

Unemployment benefits normally only apply to people aged 18 years and over. They can only be claimed by 16 and 17 year olds in exceptional circumstances. Consequently the counts for this age group are typically very low.

DWP Working-Age Client Group

From August 2017 DWP discontinued this dataset when they changed the way they publish their benefit statistics. The last period of data is the November 2016 figures published in May 2017.

The number of working-age people who are claiming one or more main DWP benefits. The main benefits are: bereavement benefit, carer's allowance, disability living allowance, ESA and incapacity benefit, severe disablement allowance, income support, jobseeker's allowance, and widow's benefit. The age at which women reach State Pension age is gradually increasing from 60 to 65 between April 2010 and April 2020. Throughout this period, only women below State Pension age are counted as working age benefit claimants."

The total count is broken down by statistical groups. These categorise each person according to the main reason why they are claiming benefit. Each client is classified to a single group.

Benefits are arranged hierarchically and claimants are assigned to a group according to the top most benefit they receive. Thus a person who is a lone parent and receives Incapacity Benefit would be classified as incapacity benefits. Consequently, the group lone parent will not contain all lone parents as some will be included in the incapacity benefits group and Job seekers groups.

Main out-of-work benefits consists of the groups: job seekers, ESA and incapacity benefits, lone parents and others on income related benefits.

These groups have been chosen to best represent a count of all those benefit recipients who cannot be in full-time employment as part of their condition of entitlement. Those claiming solely Bereavement Benefits or Disability Living Allowance (DLA) are not included as these are not out-of-work or income based benefits. DLA is paid to those needing help with personal care. These people can, and some will, be in full-time employment. If DLA claimants are also in receipt of JSA, IS, ESA or Incapacity Benefits in addition to DLA they will be counted under the relevant statistical group. In addition, we exclude those claiming solely carer's benefits or claiming carer's benefits alongside income support, as DWP does not pursue active labour market policies for this group. Carers benefits are paid to those with full time caring responsibilities. The group entitled to Carer's benefits alongside Income Support (IS) includes around 86,000 claimants and has been stable over time.

This Nomis series is different to that published in the Office for National Statistics (ONS) Labour Market Statistics Bulletin (table 25) and on the DWP website at http://tabulation-tool.dwp.gov.uk/100pc/wa/tabtool_wa.html (against the link entitled "One-Click" Key Out-of-Work Benefits). This Nomis series uses DWP Jobseeker's Allowance numbers, whilst the other two series use the ONS Jobseeker's Allowance figures, using different methods and reference periods.

UK Business Counts

The data contained in the table are compiled from an extract taken from the Inter-Departmental Business Register (IDBR) recording the position of units as at March of the reference year. The IDBR contains information on VAT traders and PAYE employers in a statistical register which provides the basis for the Office for National Statistics to conduct surveys of businesses.

The table presents analysis of businesses at both Enterprise and Local Unit level. An Enterprise is the smallest combination of legal units (generally based on VAT and/or PAYE records) which has a certain degree of autonomy within an Enterprise Group. An individual site (for example a factory or shop) in an enterprise is called a local unit.

The employment information on the IDBR is drawn mainly from the Business Register Employment Survey (BRES). Because this is based on a sample of enterprises, estimates from previous returns and from other ONS surveys have also been used. For the smallest units, either PAYE jobs or employment imputed from VAT turnover is used.

Estimates in the table are rounded to prevent disclosure.

Labour Demand

Labour demand includes jobs available within the area.

Jobs Density

The level of jobs per resident aged 16-64. For example, a job density of 1.0 would mean that there is one job for every resident aged 16-64.

The total number of jobs is a workplace-based measure and comprises employee jobs, self-employed, government-supported trainees and HM Forces. The number of residents aged 16-64 figures used to calculate jobs densities are based on the relevant mid-year population estimates.

Workforce Jobs (WFJ)

Workforce Jobs (WFJ) is a quarterly measure of the number of jobs in the UK and is the preferred measure of the change in jobs by industry. Estimates are only available at national and regional level.

It is a compound source that draws on a range of employer surveys, household surveys and administrative sources. WFJ is the sum of employee jobs measured primarily by employer surveys, self-employment jobs from the Labour Force Survey, and government-supported trainees and Her Majesty's Forces from administrative sources.

The industry codes used in the table are Standard Industrial Classification 2007 Sections. Refer to the SIC 2007 manuals for details of the activities included in each Section.

Earnings by Place of Work

The figures show the median earnings in pounds for employees working in the area who are on adults rates of pay and whose pay was not affected by absence. Figures for earnings come from the Annual Survey of Hours and Earnings (ASHE). The ASHE is based on a 1 per cent sample of employees, information on whose earnings and hours is obtained from employers. The survey does not cover self-employed. In 2004 information related to the pay period which included 21 April.

The earnings information collected relates to gross pay before tax, national insurance or other deductions, and excludes payments in kind. It is restricted to earnings relating to the survey pay period and so excludes payments of arrears from another period made during the survey period; any payments due as a result of a pay settlement but not yet paid at the time of the survey will also be excluded.

Jobcentre plus vacancies

The figures in the tables are based on the number of live unfilled vacancies handled by Jobcentre Plus. These are vacancies actively available to jobseekers on the count date and are derived as a by-product of administrative systems. Users should be aware of the following points when using and interpreting the series:

  • Coverage relates just to vacancies notified to Jobcentre Plus and as such represent a market share of vacancies throughout the whole economy. This proportion varies over time, according to the occupation of the vacancy and industry of the employer, and by local area.

  • The time-series is susceptible to discontinuities arising from changes to vacancy taking and vacancy handling (e.g. 2006 changes to employer follow-up processes).

  • Local area data can throw up spurious figures. For example, Lincoln local authority includes all national vacancies notified by the Ministry of Defence since these are recorded against a single central postcode irrespective of actual location.

For further details see: https://www.nomisweb.co.uk/articles/406.aspx

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Source: Office for National Statistics

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