Employment highest for 30 years

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Wales is experiencing its highest employment levels in 30 years, according to latest government figures.

More than 130,000 have been helped into work since 1997 and the UK government said Wales now had a higher employment rate than Germany, France and Japan.

But more needs to be done to get even more back into work - particularly in the south Wales valleys, it is claimed.

UK Work and Pensions minister John Hutton and First Minister Rhodri Morgan will discuss the issue on Friday.

The UK government report said almost 72% of people are now employed, but places which have had long- term unemployment problems still face difficulties.

In Merthyr Tydfil less than 62% are in employment.

Compelling framework

The government wants to increase employment levels in the south Wales valleys and right across Wales to 80% of the working age population.

That would mean the equivalent of more than 150,000 older workers, lone parents and incapacity benefit claimants who at the moment do not have jobs, returning to the workforce.

Mr Hutton said the new report "set out a compelling framework for the next stage of welfare reform which the government must now carefully consider".

"But we must go further and find new ways to support the hardest to help into work," he added.

Specific challenges

Mr Hutton said there were also areas in Wales "which haven't shared in the growing prosperity of the rest of the country".

"The valleys in particular deserve specific attention, where employment is still low and benefit receipt still high," he said.

Mr Morgan added: "Partnership between two administrations has given Wales the opportunity to focus on challenges specific to Wales.

"Initiatives covering welfare to work, childcare and skills can boost employment through benefiting both the claimant and the Welsh economy.

Mr Hutton will also visit an initiative in Swansea which supports people with disabilities in the workplace.