The unemployment rate in Scotland has fallen to 3.8% and a record number of people are in work, the latest figures from the Office for National Statistics (ONS) show.

Monthly figures from the ONS show the unemployment rate in Scotland fell from 3.9% between July and September to 3.8% between August and October.

The number of people in work also remained static, with 2.45 million payrolled employees across Scotland, the highest number on record, between August and October.

This represented a rise of 0.8% over the last year.

Figures also revealed that wages have grown at a slower rate in Scotland over the last year after figures indicated a median monthly wage for payrolled employees of £2,334.

This was up 4.4% compared with November 2022 but is lower than the growth in median monthly pay for the UK over the same period (5.3%).

The number of people claiming working-age benefits also rose by 500 to 109,200 in November, but this represented a fall of 3,200 overall since November 2022.

Neil Gray, Wellbeing Economy Secretary said: “It is welcome that the latest early estimates of payrolled employees from HMRC Pay As You Earn (PAYE) Real Time Information (RTI) show the highest number of payrolled employees in Scotland since the series began.

“The latest ONS adjusted experimental estimates show that the employment, unemployment and economic inactivity rates for Scotland in August to October 2023 are relatively unchanged over the quarter.

“In the face of ongoing challenges to the labour market such as still-high inflation and the continuing impacts of Brexit, the Scottish Government is committed to using its limited powers to support more people into work through employability and skills support.

“This includes expanding Scotland’s provision of high quality funded childcare to support more parents, and those with caring responsibilities, into work, training or education, developing a lifetime skills offer for adults and our apprenticeship programme and supporting delivery of devolved employability support aimed at tackling structural barriers to people progressing towards, entering and sustaining employment.”

In the face of ongoing challenges to the labour market such as still-high inflation and the continuing impacts of Brexit, the Scottish Government is committed to using its limited powers to support more people into work through employability and skills support

Mr Gray continued: “Scotland is also leading the UK in creating green jobs. PwC’s Green Jobs Barometer 2023 … shows Scotland’s world-renowned reputation for being an innovative, pioneering nation, coupled with our clear goal to seize the benefits of a net zero economy, is helping us lead the UK in creating good, green jobs across key important sectors – from financial services, to construction and to sciences.

“However, with industries such as hospitality and agriculture still facing enormous recruitment challenges, the UK Government’s proposed changes to immigration policy will further prevent access to the international labour market that Scotland needs for our economy to prosper.

“With full powers over migration, Scotland could boost its workforce and tackle recruitment challenges, many of which have been caused by the end of free movement and the Brexit imposed on Scotland by the UK Government.”

Scottish Secretary Alister Jack said: “Scotland’s labour market remains strong with the number of people employed at an all-time high and unemployment remaining below the UK average.

“Now that inflation has been halved, we are focused on growing our economy to drive long-term prosperity across the country.

“That’s why, from next month, we’re cutting tax to reward work, reducing national insurance contributions from 12% to 10%, worth more than £450 for the average worker.

“And it’s why we have directly invested more than £2.7 billion across Scotland through our ambitious levelling up agenda to create jobs and opportunities.”