Survey predicts sharp rise in public sector job losses

News Article - 23 February 2011
Category: Business

Redundancies in the public sector are expected to rise sharply in the coming months, according to a recent survey.

The Chartered Institute of Personnel and Development (CIPD) study revealed the number of employers considering redundancy plans were at their highest level since 2004. The survey discovered more than half of public sector organisations were planning some form of job cuts in Q1 2011.

The CIPD's quarterly labour market outlook revealed employment intentions in the public sector have dropped to minus 66, a figure even higher than the negative figures reported in the last year.

On the flip side, the CIPD also reported data from the Recruitment and Employment Confederation (REC) that showed overall recruitment had bounced back in January and that demand for staff had grown at its quickest rate since summer 2010. This has been largely attributed to the growth in employer confidence in the private sector.

REC chief executive, Kevin Green, said: "Employer confidence, which up until now has been fragile, is finally starting to harden. This is promising news but there is still a job to be done to ensure that all of society benefits from this renewed optimism."

Despite the private sector enjoying much-needed growth, the CIPD expects unemployment figures to continue to climb until 2012. While the private sector is employing more workers overall, it is not enough to compensate for the cuts in the public sector. As a result, competition for jobs in the private sector is particularly fierce.

Many HR departments are now expected to support staff through every single aspect of the employee lifecycle. Doing so efficiently requires tools to streamline the communication, collection and analysis of information across the entire organisation. Without these tools businesses often lack the time required to support employees successfully.

With an increasing number of applications per job, businesses must evaluate internal processes to ensure recruitment campaigns are executed smoothly. Access HR software can help businesses plan, manage and execute the recruitment process. It provides an attractive solution for organisations wishing to leverage technology and discover the ideal candidate.

For more information, please call Access on 0845 345 3300.

Article keywords: Chartered Institute of Personnel and Development, CIPD, public sector, Recruitment and Employment Confederation, REC, Kevin Green, HR departments, employee lifecycle, Access HR software, recruitment process

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