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U.K. jobs hit record high amid slumping GDP. What gives? Add to ...

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At last count, 29.7 million people had jobs in the U.K., the highest level ever. That is cheering news, up to a point. While employment is rising, GDP has fallen. In the beginning of 2008, real GDP was 3.3 per cent higher than now – and employment was 0.7 per cent lower. In other words, the two counts – jobs and output, are moving in opposite directions. Economists express that discrepancy as a fall in productivity, output per worker. What’s going on?

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