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Distance Learning Trade News
Unemployment may continue beyond recession
Employment may continue to decline even once the recession has passed, according to a leading economist.
Despite predictions that the economy will stabilise by next year, senior economist at the Institute for Public Policy Research (IPPR) Tony Dolphin is concerned that employment rates will continue to fall.
Based on analysis of the first four quarters of rising unemployment during previous recessions, the Trades Union Congress (TUC) has calculated that unemployment has increased faster in 2009 than during the 1990s and 1980s recessions.
The TUC estimates that it could take around three years for the economy to return to normal, based on this analysis.
This claim follows comments from George Derbyshire, chief executive of the national enterprise network NFEA, who claimed that redundancies will spur many people onto starting their own business - such as plumbers and electricians.
IPPR's Mr Dolphin added that there are two sides to the argument over the impact of the recession on employment market.
"It's much more flexible, there is no reason why the employment experience should continue to be so bad," he added. 

