Latest Labour Market Outlook Report from the Chartered Institute of Personnel & Development
UK economy could be close to unemployment peak, according to the latest Labour Market Outlook Report by the CIPD
“UK companies report strongest employment intentions since onset of Covid-19 pandemic, survey shows”
(Source: Labour Market Outlook by the CIPD, 21/02/21)
Sectors that are indicating strong hiring intentions include healthcare, finance and insurance, education, and information and communications.
The report goes on to say that over half (56%) of the 2,000 employers surveyed indicated they are looking to recruit in the first quarter of 2021, up from 53% in the previous quarter and 49% six months ago. The share of organisations planning to make redundancies in the first quarter fell to 20% compared with 30% for the last quarter.
Confidence may be increasing due to a combination of factors, including the Brexit free trade agreement, the extension of the Coronavirus Job Retention Scheme to the end of April and the anticipation of economic recovery later this year. Future uncertainty of both future restrictions and government support beyond April could further test business confidence in the medium-term.“ The CIPD is therefore urging the government to extend the Coronavirus Job Retention Scheme until at least the end of June to help support sectors most affected by the restrictions.
Gerwyn Davies, Senior Labour Market Adviser at the CIPD:
(Source: Labour Market Outlook by the CIPD, 21/02/21)
Sectors that are indicating strong hiring intentions include healthcare, finance and insurance, education, and information and communications.
The report goes on to say that over half (56%) of the 2,000 employers surveyed indicated they are looking to recruit in the first quarter of 2021, up from 53% in the previous quarter and 49% six months ago. The share of organisations planning to make redundancies in the first quarter fell to 20% compared with 30% for the last quarter.
Confidence may be increasing due to a combination of factors, including the Brexit free trade agreement, the extension of the Coronavirus Job Retention Scheme to the end of April and the anticipation of economic recovery later this year. Future uncertainty of both future restrictions and government support beyond April could further test business confidence in the medium-term.“ The CIPD is therefore urging the government to extend the Coronavirus Job Retention Scheme until at least the end of June to help support sectors most affected by the restrictions.
Gerwyn Davies, Senior Labour Market Adviser at the CIPD:
“These are the first signs of positive employment prospects that we've seen in a year. Our findings suggest that unemployment may be close to peak and may even undershoot official forecasts, especially given the reported fall in the supply of overseas workers. However, it is far too soon to rule out further significant private sector redundancies later in the year if the government does not extend the furlough scheme to the end of June or if the economy suffers any additional unexpected shocks. It would be hugely counterproductive if the government’s financial support faltered while some of the biggest sectors of the UK economy are still in survival mode.”
See the Labour Market Outlook by the CIPD here
See the Labour Market Outlook by the CIPD here