What's up with the oddly positive employment figures?

The productivity puzzle, again.

The latest employment figures from the ONS are out and they're a bit surprising - the number of those in work is up by more than half a million on the previous year, with the largest annual rise since 1989. The employment rate was 71 per cent in the quarter to last November.

The "productivity puzzle" continues - strong employment amid a flatlining economy.  Neither do the figures help those who have argued that rising employment figures have to date been padded with part time workers - the largest rise in employment this time was in full-time jobs.

Philip Shaw from Investec told the Telegraph:

"The employment numbers continue to flatter to deceive. The trends in both unemployment and jobs creation are completely at odds with the weakness with much of the real economy data that are being published."

There are warnings that the lower unemployment rates come with lower wage growth though: average weekly earnings rose at only a 1.5 per cent rate, down from the previous rate of 1.8 per cent, and the number of self-employed workers has increased to 4.2 m. The secret to the oddly positive jobs data may well be found in these figures.

 

More empty seats at the job centre. Photograph: Getty Images

Martha Gill writes the weekly Irrational Animals column. You can follow her on Twitter here: @Martha_Gill.

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Benn vs McDonnell: how Brexit has exposed the fight over Labour's party machine

In the wake of Brexit, should Labour MPs listen more closely to voters, or their own party members?

Two Labour MPs on primetime TV. Two prominent politicians ruling themselves out of a Labour leadership contest. But that was as far as the similarity went.

Hilary Benn was speaking hours after he resigned - or was sacked - from the Shadow Cabinet. He described Jeremy Corbyn as a "good and decent man" but not a leader.

Framing his overnight removal as a matter of conscience, Benn told the BBC's Andrew Marr: "I no longer have confidence in him [Corbyn] and I think the right thing to do would be for him to take that decision."

In Benn's view, diehard leftie pin ups do not go down well in the real world, or on the ballot papers of middle England. 

But while Benn may be drawing on a New Labour truism, this in turn rests on the assumption that voters matter more than the party members when it comes to winning elections.

That assumption was contested moments later by Shadow Chancellor John McDonnell.

Dismissive of the personal appeal of Shadow Cabinet ministers - "we can replace them" - McDonnell's message was that Labour under Corbyn had rejuvenated its electoral machine.

Pointing to success in by-elections and the London mayoral election, McDonnell warned would-be rebels: "Who is sovereign in our party? The people who are soverign are the party members. 

"I'm saying respect the party members. And in that way we can hold together and win the next election."

Indeed, nearly a year on from Corbyn's surprise election to the Labour leadership, it is worth remembering he captured nearly 60% of the 400,000 votes cast. Momentum, the grassroots organisation formed in the wake of his success, now has more than 50 branches around the country.

Come the next election, it will be these grassroots members who will knock on doors, hand out leaflets and perhaps even threaten to deselect MPs.

The question for wavering Labour MPs will be whether what they trust more - their own connection with voters, or this potentially unbiddable party machine.