The number of people unemployed due to ill health is growing by 300,000 a year, according to a new analysis from a leading health think tank.
Working-age people who left their jobs due to poor health were also three times less likely to return to work than people in good health, contributing to the number of people claiming disability benefits, according to the Health Foundation .
Official data has dashed hopes that the pandemic’s effects would fade and the labor market would return to its pre-pandemic situation.
The foundation said that, in addition to the 4 million people of working age who are unemployed and in poor health, there are now 3.9 million people with work-limiting health conditions in work – an increase of 1.5 million since 2013.
The foundation’s report shows that the number of working-age people with disabilities in Britain has increased significantly, impacting the way they do their work. The foundation’s report shows that these workers are three times more likely to leave the workforce than workers who are in good health.
While unemployment has risen only slightly since the start of high inflation and the cost of living crisis in 2021, the number of people experiencing mental and physical health problems has soared.
Reports from the Bank of England have highlighted how a lack of workers in key industries has forced employers to pay higher wages, preventing prices from stabilizing and having a knock-on effect on the economy.
Bank officials kept interest rates at 5% at their last meeting and said they wanted to see more data indicating a return to previous levels of labor market participation, which would ease price pressures, before cutting the cost of borrowing.
The foundation said the report’s findings are part of an interim review by the Commission for Healthier Working Lives to examine the growing challenges of poor health in working age.
Drawing on insights from employers, experts and the public, the report argues that the government should take new measures to support people with health problems and help them back to work where possible.
The report states that support for workers with health problems “often comes too late or is absent”.
It said: “Less than half of UK workers have access to occupational health services fit note system is ineffective and statutory sick pay is less generous than in other countries.”
“While many employers want to help, they often lack the capacity or knowledge, especially smaller companies,” the report said.
Sacha Romanovitch, chair of the Commission for a Healthier Working Life, said ministers must develop a strategy that supports a healthier workforce.
Ahead of this month’s budget, and an employment white paper expected in the autumn, Romanovitch said the government must close the employment gap. “Access to work” claims “so that people with disabilities and health problems receive the support they are entitled to without delay”.
She added that there was also a need for a review of working practices in the public sector, where the number of work-related health problems has soared.
“The evidence in this report shows that, despite common misconceptions, many people with long-term health conditions want to work and can make a meaningful contribution to the economy, but often don’t have the support and flexibility they need,” she said.