Scale Stall, but losing inches

So we started a weight loss challenge in my company, over 3000 people are on this! = too much competition LOL!

I have a teammate and we've been steadily losing. I'm down over 11lbs since the 7th of this month. Not bad, but I apparently 'stalled' But I'm losing inches! So technically it's not a stall, just a scale stall.

I haven't been working out. I'd like to start walking again, slowly and work myself up but I have this fear of getting hurt again so I'm hesitant. According to some pro's, people tend to lose inches even though the scale isn't moving...

People are noticing the loss as well so that's always good!I've been extremely dedicated/and great on my plan so I guess I expected more of a loss. And when I have to do weekly weigh-ins (private weigh-ins) it gets a bit discouraging.

I wish we measured ourselves in the beginning because I took a before picture, wearing the same outfit I'm wearing now and took another and holy crap, there's a definite difference. So I guess I should be happy with that.