Scotland's Labour Market Insights: April 2025

People not in work

Unemployment rate (LFS)

International Labour Organisation (ILO) Unemployment measures those who are available for and actively seeking employment.

The unemployment rate for people aged 16 years and over in Scotland based on the ONS Labour Force Survey was estimated at 4.2% in December 2024 to February 2025. Scotland's unemployment rate was below the UK rate of 4.4%.

Unemployment rate by sex (APS)

The unemployment rate for men in Scotland has consistently been above the unemployment rate for women. In January to December 2024, the estimated unemployment rate for men in Scotland was 3.8% and for women it was 2.6%.

Figure 10: Unemployment rates are higher for men than for women in Scotland across the time series

Unemployment rates for persons aged 16 and over by sex, Scotland, year ending December 2004 to year ending December 2024

Source: Annual Population Survey, January to December datasets, ONS

Shaded areas represent 95% confidence intervals around the estimates.

Unemployment rate by length of time unemployed (APS)

In January to December 2024, an estimated 89,200 people aged 16 and over were unemployed in Scotland.

The majority of those were unemployed for less than six months (an estimated 59.1% of unemployed people). This proportion decreased during the pandemic to 50.6% in January to December 2021, indicating that at that time there were more people unemployed for longer durations.

Being unemployed for 12 months or more is often considered long-term unemployed. In January to December 2024, 26.5% of unemployed people were estimated to be long-term unemployed.

Figure 11: The majority of unemployed people aged 16 and over have been unemployed for less than six months.

Duration of unemployment for those aged 16 and over, Scotland, year ending December 2004 to year ending December 2024

Source: Annual Population Survey, January to December datasets, ONS

Shaded areas represent 95% confidence intervals around the estimates.

Note: The estimate for those who were unemployed for 6-12 months in 2023 is less robust and should be used with caution.

Based on the current data quality rules and data confidence ratings we considered as part of our Quality Assessment of the Office for National Statistics Labour Force Survey and Annual Population Survey data for Scotland:

• the duration of unemployment estimates for January to December 2024 remain robust
• we have moderate confidence in the 2024 estimate for those unemployed for less than six months indicating the estimate is a suitable, but incomplete, measure of reality and conclusions can be drawn but limitations should be understood
• we have limited confidence in the 2024 estimate for those unemployed for 12 months or more indicating that the estimate provides a restricted view on reality. It should be considered alongside other more reliable indicators and limitations must be understood before drawing conclusions or making decisions
• we have low confidence in the 2024 estimate for those unemployed for 6-12 months indicating that caution should be taken when using this estimate to make decisions. Careful consideration of wider information is needed to put this estimate in context as it has a number of draw backs and should not be taken as the principal estimate

Economic Inactivity rate (LFS)

Economic inactivity measures those who are neither in work, available for work or actively seeking work.

The economic inactivity rate for people aged 16 to 64 years in Scotland based on the ONS Labour Force Survey was estimated at 22.4% in December 2024 to February 2025. Scotland's economic inactivity rate was above the UK rate of 21.4%.

Economic Inactivity rate by sex (APS)

The inactivity rate for women in Scotland has consistently been above the inactivity rate for men in Scotland, however the gap has narrowed in recent years.

Figure 12: The economic inactivity rate for women in Scotland in January to December 2024 was 25.9%, higher than the inactivity rate for men in Scotland at 20.0%

Economic inactivity rates for persons aged 16 to 64 by sex, Scotland and the UK, year ending December 2004 to year ending December 2024

Source: Annual Population Survey, January to December datasets, ONS

Shaded areas represent 95% confidence intervals around the estimates.

Economic Inactivity rate by reasons for inactivity (APS)

In January to December 2024, an estimated 798,000 people aged 16 to 64 were economically inactive in Scotland.

“Long-term sick or disabled” was the main reason given for being inactive in Scotland. In January to December 2024, an estimated 33.7% of inactive people aged 16 to 64 gave their reason for being inactive as “long-term sick or disabled”, the highest proportion in the time series beginning in January to December 2004. This was higher than the UK (28.2%).

The proportions of inactive people who were long-term sick or disabled had been gradually decreasing over time. However, it has been increasing in recent years for both Scotland and the UK.

Being a student is the second most common reason for being inactive (an estimated 23.8% of inactive people in January to December 2024). The proportion of inactive people who were students had been gradually increasing over time but has remained relatively constant in recent years.

“Looking after family/home” is the third most common reason reported for inactivity and has typically been decreasing over time.

Figure 13: The proportion of people aged 16 to 64 who are inactive and gave their reason for being inactive as long-term sick or disabled was the highest across the January to December time series

Economic Inactivity for persons aged 16 to 64 by reason for inactivity, Scotland, year ending December 2004 to year ending December 2024

Source: Annual Population Survey, January to December datasets, ONS

Notes:

1. ‘Other’ reason for being inactive includes those who are discouraged.
2. Shaded areas represent 95% confidence intervals around the estimates.

Based on the current data quality rules and data confidence ratings we considered as part of our Quality Assessment of the Office for National Statistics Labour Force Survey and Annual Population Survey data for Scotland:

• the economic inactivity by reason estimates for January to December 2024 remain robust
• we have high confidence in the 2024 estimates for those who gave their reason for being inactive as ‘Student’, ‘Looking after family/home’, ‘Long-term sick or disabled’ and ‘Retired’ indicating the estimates can be used to draw accurate conclusions. There is substantial trust in the information presented, which is likely to provide a good reflection of reality
• we have moderate confidence in the 2024 estimate for those who gave their reason for being inactive as ‘Other’ indicating the estimate is a suitable, but incomplete, measure of reality and conclusions can be drawn but limitations should be understood.
• we have limited confidence in the 2024 estimate for those who gave their reason for being inactive as ‘Temporary sick’ indicating that the estimate provides a restricted view on reality. It should be considered alongside other more reliable indicators and limitations must be understood before drawing conclusions or making decisions

Economically Inactive people who want to work (APS)

The proportion of inactive people aged 16 to 64 who want to work had been relatively constant over time but has decreased in recent years. In January to December 2024, an estimated 16.8% (133,800) of inactive people aged 16 to 64 reported that they wanted to work.

Figure 14: The proportion of inactive people aged 16 to 64 who want to work had been relatively constant over time. However the proportion has been gradually decreasing in recent years

Economic Inactivity for persons aged 16 to 64 by whether they want to work, Scotland, year ending December 2004 to year ending December 2024

Source: Annual Population Survey, January to December datasets, ONS

Shaded areas represent 95% confidence intervals around the estimates.