Between December 2024 and February 2025, the unemployment rate stood at just 1.5%, the lowest in the UK. However, despite this positive indicator, the overall employment rate declined over the year, falling to 71.3%.

Meanwhile, 27.2% of the population is considered “economically inactive”, a category made up of individuals who are not working or available to work, such as students, carers, or those suffering from long-term illness. Notably, long-term sickness was the leading cause of economic inactivity, with 122,000 people falling into this group. This figure represents 37.5% of the economically inactive and marks an increase of 11,000 compared to the same period in 2023-2024.

On a more encouraging note, wages across Northern Ireland have continued to rise at a pace faster than inflation. In February, the average monthly pay was £2,359 – an increase of £191 or 8.8% compared to the previous year. This was the highest annual growth rate of all 12 UK regions.

The number of workers on company payrolls also continued to climb, reaching 810,700 in February. This represents a 1.4% increase year on year, highlighting ongoing strength in the labour market despite the challenges of economic inactivity.

These figures paint a mixed picture – while unemployment remains low and wages are rising, the drop in employment and the increase in long-term sickness raise concerns about workforce participation and public health.