Unemployment in Northern Ireland has increased by record levels, it was revealed today.
The tally rose to 38,400 in January last month. The 62 per cent (14,700) increase over the year to January was the highest since the benefit claimant count series began in 1971, outstripping the rate across the UK.
Magherafelt, Co Derry, Dungannon and Cookstown, Co Tyrone, were worst affected with engineering businesses like Powerscreen shedding workers and the building slump both contributing.
Economy minister Arlene Foster said: “Although our unemployment rate has risen to just over 5 per cent, it is still below the UK average. That said, it is clear the local economy, in line with other UK regions, is facing very immediate economic pressures.
“Northern Ireland cannot expect to emerge unscathed from the global downturn, however, we are working to limit its detrimental impact.”
The annual percentage increase in Northern Ireland was 62 per cent. Nearly 80 per cent of the annual increase happened since July 2008.
Construction workers and solicitors have been badly affected by the house market slowdown. A number of high street retailers have also closed their doors as difficulties obtaining finance have deepened.
Ms Foster added: “At this point, I would encourage businesses to revisit their strategies for change, to ensure they remain flexible and resilient in the face of adverse economic conditions.
“Improvements in competitiveness and quality, combined with the opportunities offered by the sterling exchange rate, can help offset the worst effects of the global slowdown.”
The unemployment rate was measured at 5.1 per cent for the period October to December 2008. It was below the UK average and that of the EU and the Republic of Ireland.
There were 774,000 people in employment, a 1.1 per cent decrease over the year.
PA