Why is the workforce shrinking?

Figures released today show that the number of people in employment has dropped by 50,000 since September, despite a national worker shortage of 1.25 million. Does this shed some light on the recession? Are these shortages simply because of disputes over pay or could the NHS waiting list be to blame? 

Also on the podcast, as public sector pay stagnates, how many will be lost to the private sector? 

Cindy Yu speaks to Fraser Nelson and James Forsyth. 

Produced by Cindy Yu and Oscar Edmondson.