In times when economic, technological, and other factors significantly impact the labour market worldwide, Wales is facing some changes. Changes so big that analysts have compared them to the French concept of ‘voisins du zero’ – implying that many key indicators are reaching a critical point that could signal a major change in Wales’ labour market.
In this guide, we’ll focus more on the labour market changes in Wales and see which professions will be most in demand in the future. So, let’s delve into more details!
Key Takeaways
| Employment rate | 73.2% (down by 0.4% from the previous year) |
| Unemployment rate | 3.1% (lower by 0.3% from the year before) |
| Economic inactivity | 28.1% (up by 1.9%) |
Labout Market in Wales: Its Current State and Changes
According to the data from the Annual Population Survey (APS) and the Office for National Statistics (ONS), Wales is facing a decrease in its employment rate. That’s why we decided to explore this a bit further and compare it even to the overall employment rate in the UK.
In the year that ended in June 2024, the employment rate for people from 16 to 64 in Wales was 73.2%. This is lower by 0.4% than the year before. In comparison, the UK had an employment rate of 75.4%, which decreased by 0.1% in June 2024.
However, there were also some increases in employment rates in Wales. More precisely, in Merthyr Tydfil, the rate was 73.3%, which is higher by 6.6%. Then, Cardiff also has an increase in the employment rate, which is 75.5%, up by 3.2%. Lastly, Caerphilly had the lowest growth in employment, with only a 2.9% growth rate. In June 2024, the employment rate was 76.8%.
On the other hand, the unemployment rate in the year ending in June 2024 showed a decrease of 0.3%, meaning it’s 3.1% for people aged 16+. On the other hand, the UK unemployment rate didn’t change, standing at 3.7%.
However, if we go more in-depth, the most significant decrease in the unemployment rate for the year ending in June 2024 was recorded in Newport, which fell by 1.6% and hit 4%. In comparison, Rhondda Cynon Taf had the highest increase (of 1.1%) and now has an unemployment rate of 5.3%.
Still, many individuals, such as the self-employed, don’t always reveal whether they’re actively working or not, so they’re often not included in the traditional employment or unemployment statistics. Others may not be actively seeking work, even if they are of working age.
Workforce Jobs in Wales
ONS stats show that there were 1.46 million total workforce jobs in Wales in 2023. However, this number decreased by 1.1 % over the year despite the overall increase of 16.4 % since September 1999. On the other hand, statistics for the UK show that the number of workforce jobs increased by 2.2% over the year, based on methods similar to those used for calculation of winnings in financial or gaming contexts, relying on percentages, base figures, and trend analysis.
If we examine workforce jobs by industry, you’ll notice that the biggest portion goes to human health and social work activities. This category accounts for 15.1% of workforce jobs in September 2023. Wholesale and retail trade follows this sector with 12.9% of all workforce jobs.
Professions in Demand: Forecast
In order to stabilise the labour market changes in Wales, the government has focused on the so-called growth sectors, which are basically priority sectors for planning the development of skills. Due to their strategic importance, employment levels, and increasing or high economic value, they’re crucial for improving the labour market.
Based on all the data gathered through the years, the government of Wales has identified nine such sectors, including:
- Construction
- Retail
- Hospitality
- Social care
- Energy
- Professional services
- Creative industries
- Finance
- Tourism
- Life sciences
Each of these sectors and the jobs they offer are seen as among the areas with the highest growth in Wales. However, the quality of the jobs varies. For example, professional services, construction, and finance offer higher salaries. On the other hand, retail, social care, and hospitality are paid lower.
That said, some of the most demanded professions in Wales in 2025 are:
- Architect
- Artificial intelligence specialist
- Healthcare and social workers
- Software developers and programmers
- Cybersecurity engineers
- Teachers and teaching assistants
- Physical therapists
- Hospitality and catering staff
If you’re currently looking for a job in Wales, you need to understand how significant the technological impact is on different industries. Nearly all businesses today, from local companies to global corporations like Microsoft, require some level of AI integration and cybersecurity.
With rapid events worldwide, labour markets are changing. Therefore, Wales’s employment rate decreased by 0.4% in 2024 compared to the previous year. Luckily, some professions are in demand and are part of the government’s identified growth sectors.
Therefore, jobs such as cybersecurity engineers, AI specialists, architects, teachers, physical therapists, and hospitality staff are among the most sought after in Wales.