unemployment debates ” ( no. 173 ), greenwood publishing group. bis central bankers ’ speeches appendix chart 1 : unemployment rate and projections chart 2 : cumulative employee growth by skill level cumulative increase since 2010q1, thousands unemployment rate, % 16 + unemployment rate february 09 ir projection february 14 ir projection 1, 800 highly skilled 1, 600 medium skilled 1, 400 low skilled 1, 200 total 1, 000 - 200 source : ons and bank calculations source : ons and bank calculations chart 3 : percent of 18 – 24 year olds not in employment, education or training chart 4 : nominal and real total pay growth per cent real pay growth total nominal pay growth - 400 per cent yoy - 2 - 4 - 6 2010 q2 2011 source : ons labour force survey bis central bankers ’ speeches - 8 - 10 source : ons and bank calculations chart 5 : percentage of people in employment who would like to work longer hours per cent chart 6 : percentage of people in employment on a zero hours contract per cent source : ons labour force survey notes : responses to the labour force survey can be affected by respondents recognising the term “ zero - hours contract ”. it is not possible to say how much of this increase is due to greater recognition of the term. chart 7 : fall in the labour share since 2009 per cent 60 % 55 % 50 % 2000 2001 2003 2005 2007 2008 2010 2012 2014 45 % bis central bankers ’ speeches - 12 % duration ( years ) depth ( % ) recovery ( % ) total change over seven years ( % ) bis central bankers ’ speeches financial and insurance activities transportation and storage electricity, gas, steam and air conditioning supply other service activities manufacturing agriculture, forestry and fishing information and communication mining and quarrying wholesale and retail trade ; repair of motor vehicles and motorcycles public administration and defence ; compulsory social security real estate activities education administrative and support service activities arts, entertainment and recreation accommodation and food service activities water supply ; sewerage, waste management and remediation activities construction human health and social work activities professional, scientific and technical activities chart 8 : median real pay decline by sector since 2009 per cent 0 % - 2 % - 4 % - 6 % - 8 % - 10 % table 1 : comparison of major earnings crises in uk history - 10 12. 8 1874 – 78 - 1. 7 0. 6 1921 – 23 - 8. 2 4. 5 1976 – 77 - 6. 6 14. 5 2007 – 14 - 7. 9 n / a

as much an economic waste as under - utilised time. at present, there are around 5 million people whose skills are mismatched, or are over - qualified, for the job they are doing. this number has increased by two percentage points since the start of the crisis. • even for those who have found work, levels of job security appear to be lower than in the past. around 6. 4 % of all employees in the uk are on temporary contracts. rates of self - employment have risen from 12 % a decade ago to around 15 % now. for some firms and workers, those trends are a welcome sign of job flexibility. but not for all. around a third of temporary contract workers would prefer a permanent contract. since 2011 the reported incidence of zero - hours contracts has risen rapidly, from 0. 6 % to 2. 4 % of the working population ( chart 6 ). what may be welcome flexibility for a company may be unwelcome insecurity for its workforce. • while participation rates in the uk workforce have increased, in some cases they remain low by international standards. female participation in the uk labour market remains well below our european neighbours, such as germany, the netherlands and sweden. and compared to these same countries, the fraction of neets in the uk is almost twice as high. • finally on wages, real wages have yet to return to their pre - crisis peak. rather, they are still 6 % below that level. since the crisis, we have seen one of the largest and longest squeezes on wages since at least 1850 ( table 1 ). • indeed, since the crisis real wages have fallen faster even than uk productivity, which itself has been extra - ordinarily weak having flat - lined for the past six years. bis central bankers ’ speeches put differently, labour ’ s share of the national income pie has fallen since 2009, from around 58 % to 53 % ( chart 7 ). • that squeeze on real wages has been even more acute for some. declines in median real wages among the young have been roughly twice as large as among the old. and workers in sectors such as construction, health and social work have seen far - larger declines in their take - home pay ( chart 8 ). in short, many workers in the uk have not in fact had that pay rise. • partly in consequence, the number of people earning less than the living wage is currently estimated to be around 5. 8 million. that is 700,