The OECD says that investing in jobs should be a priority for a speedy recovery in the global economy.

The latest employment figures from the Office for National Statistics (ONS) has drawn a mixed response as records show unemployment has fallen, but so has employment.

The unemployment rate fell by 0.1% for the three months to January 2010, to 7.8%, the first quarterly fall since May 2008, and the number of people claiming Jobseeker’s Allowance saw its largest monthly fall since 1997 between January and February 2010, to 1.59 million.

However, the number of people in employment also saw a drop for the quarter, falling to 72.2% – its lowest figure since November 1996.

Brendan Barber TUC General Secretary commented that the statistics show a bright picture and are further evidence that the economy is moving in the right direction.

Mr Barber said: “Today’s record fall in dole claimants is great news for the millions of people across the UK desperate to get back into work. The surprise fall in the number of people out of work for between six and twelve months gives hope that long term unemployment is not going to be as bad as previous recessions.”

In a surprise move Mr Barber cites the government and Bank of England stimulus package as the reason for the fall.

However, Dr John Philpott, Chief Economic Advisor at the Chartered Institute of Personnel and Development (CIPD) said that the UK’s labour market statistics show a confusing picture.

“Unemployment is sharply down, however you measure it. Yet there are also 54,000 fewer people in work, with full-time jobs particularly hard hit. The apparent paradox is explained by a very sharp rise of 149,000 in the number of economically inactive people, with the number of students surging by 98,000.

“Jobless young people are thus turning to study in their households to avoid the dole,” explained Dr Philpott. “Whoever forms the next government will face a Herculean task in its efforts to return the UK economy to full employment within this decade.”

The Organisation for Economic Co-operation and Development (OECD) maintains that investing in jobs for the long-term should be one of the key priorities for economies across the world.

“The global recession has left deep scars,” said OECD Secretary-General Angel Gurría. “The only way to begin healing them is by taking effective action now to help our economies recover their lost potential.”

According to the OECD’s Going for Growth report, governments need to boost spending on training, and provide the right incentives to the unemployed. It claims that older workers, youths, those on low incomes and single mothers are at the most risk of losing out in the job market.

Across the globe there is a mixed picture for employment. The US, Japan and Canada are all enjoying falling unemployment rates, while Italy, France and Korea continue to feel the repercussions of unstable economies with rising unemployment rates.