One in six people in Walsall rely on out of work benefits

The Government’s latest figures for unemployment in Walsall massively underestimate the number of people without work in the borough, Walsall Labour is warning.

Detailed figures from National Office of Statistics show that almost one in six people in the borough are receiving out of work benefits, more than double the official job seekers count released this week.

Walsall Labour are now calling for neighbouring councils to work together to tackle unemployment and help people back to work by attracting investment and jobs.

And Labour Group leader on Walsall Council, Cllr Tim Oliver, warned the level of people not working in the borough is set to increase as the economy continues to stagnate.

“This week the headlines have been dominated by the awful increase in the official job seekers figures allowance but a more detailed survey of those receiving out of work benefits shows the true scale is frighteningly higher.

“In Walsall 27,860 (17.5%) of working age are in receipt of such benefits compared to the simple job seekers allowance count  released this week which only  registers 10,425 (6.6%).

Although the official unemployment figures are bad enough, they clearly underestimate the level and misery being suffered by those without work in the borough.”

Unemployment figures released this week only show the number of people receiving contributory and non-contributory job seekers allowance during December 2011.

But more detailed data collated by the National Office of Statistics counts all out of work benefits including ESA and incapacity benefits, lone parents’ payments and carers’ allowances.

The NOS has explained that because the more detailed data takes longer to compile, the latest statistics available for May 2011; before the latest increase in unemployment.

Cllr Oliver added: “Since these more comprehensive figures were collated, the economy has slowed down and the numbers without work has increased further, so the true scale of unemployment is Walsall is probably much worse.

“In the meantime, the Government says that it won’t change track and the Tory leadership of Walsall council seems more interested in arguing how it deserves a pay rise.”

Walsall Labour are now planning for the coming local elections which offer the prospect of newly elected Labour councils in Walsall,  the Black Country and Birmingham working together to tackle joblessness.

A Labour run Walsall council would publish the true scale for those without work, lobby for greater investment in the region and for economic policies which would encourage jobs and growth and oppose the government’s plan to cut as many public sector job as quickly as it can. The party will also work and learn from other authorities on the best ways to help people back into work.

Cllr Oliver explained: “As a first step we need Labour councils across the Black Country and Birmingham to join together to promote sustainable local economic and industrial policies and plans across the region  –  with our primary concern to bring skilled employment to the borough of Walsall.

“In Walsall, we need this investment to offer a real future for employees and for businesses rather than the Tories preferred low skilled ‘pick ‘em and pack ’em’ jobs in distribution and warehousing.”

The figures quoted above refer to people aged between16-64 and can be obtained at http://www.nomisweb.co.uk/reports