UK’s labor market report is out and the employment rate has fallen as Brexit uncertainties continue to wreak havoc on the economy. According to data released by the Office for National Statistics (ONS), employment rate has fallen 0.1% lower to 76% between March and May when compared to February-April period.

Even though the employment rate remains higher than it was a year ago, this is the first time since June-August 2018 that this figure has dropped lower. Employment in May has also dipped 0.2% lower when compared to April. Meanwhile, the unemployment rate held steady at 3.8% as expected.

Falling employment rate as the Brexit deadline of October 31 nears is a cause for alarm as far as the British economy is concerned. There are also expectations for the GDP figures due for release next month sliding lower for Q2 2019.

GBP/USD has fallen below the key 1.25 level and is currently trading at 1.2465 after the release of this labor market report.