Around eight million people have been short of work this year, including the jobless, under-employed and economically inactive, new research has revealed.
Leading economist Dr John Philpott said the work shortage rate was 23.2%, three times higher than headline unemployment.
The total includes over 2.5 million unemployed, three million under-employed and 2.3 million economically inactive.
Dr Philpott, director of The Jobs Economist, said: "Unemployment has not reached the levels feared at the start of the financial crisis but it's totally wrong to conclude that the labour market has got off lightly.
"On the contrary, the degree of pain inflicted on the labour market has been as severe as expected it's just that the pain has been diffused differently than in previous recessions.
"A proper temperature check shows the UK workforce is still shivering with as many as eight million people either fully or partly short of work, despite the welcome job creation of the past two years, and millions more feeling a real pay squeeze.
The total of eight million, for mid-2012, was 375,000 more than in mid-2011, said Dr Philpott.
In a separate study, the Recruitment and Employment Confederation, and KPMG reported a second successive monthly rise in permanent staff placements, with the rate of growth picking up to the fastest for 19 months.
Temporary jobs also increased at a sharper rate, with the pace of expansion the highest since March 2011.
Bernard Brown of KPMG, said: "Twelve months ago employment prospects were bleak. Today, however, the negative outlook has been replaced by cautious optimism as employers gradually gain confidence to make decisions about the vacancies they want to fill.
"For November, the latest figures offer evidence of an improved jobs market across the country. Intriguingly, the growth outside London has been more pronounced, particularly in the North of England where there was a marked increase in the availability of permanent employment.
"The Midlands also shows positive signs, with a sharp rise in temporary positions being filled."
REC chief executive Kevin Green added: "Recruiters are reporting another monthly increase in the number of people they have placed into permanent and temporary jobs and it's beginning to look like an accelerating trend.
"Employer confidence is genuinely bouncing back with businesses feeling more encouraged to hire, which bodes well for the New Year."
The studies were published ahead of new unemployment figures on Wednesday.
