Almost eight million people are now in a part-time job, the highest since records began in 1992.
Those locked in part-time work because they cannot find full-time work increased by 73,000 to a record high of 1.4 million.
The latest official figures have ignited calls to create valuable full-time jobs with investment in much-needed housing.
Mile Leonard, director of the Modern Masonry Alliance, said: “The under 25's and over 50's are being cut adrift from society.
“Around 22% of young people out of work and many more young and old are having to work part time as they cannot get full time roles and make best of their knowledge and skills
He warned: “The public sector job cuts are in their early stages and with falling consumer confidence this will only get worse.
“The long term damage to our manufacturing sector capacity, the lost skills and the high risks associated with increasing levels of the young and old becoming disenfranchised are too dangerous to contemplate.
“The answer, Mr Cameron, is to make the funds available to build an additional 25,000 social homes now and Get Britain Building before it is to late!”