Search Results for: redundancies

Half of employees ‘just going through the motions’ as redundancies hit morale

Half of employees ‘just going through the motions’ as redundancies hit morale

redundanciesMass redundancies across the UK are having a huge impact on the discretionary effort employees are willing to undertake on behalf of their employer, according to research from career transition firm Randstad Risesmart UK. (more…)

Legal and mental health concerns mount as businesses brace for redundancies

Legal and mental health concerns mount as businesses brace for redundancies

redundanciesDespite the last-minute extension of the furlough scheme, new research conducted among UK business leaders claims that great concern remains around making redundancies and in particular the legal risk. The survey of over 440 UK business leaders, conducted by employment law and HR support firm Ellis Whittam, also claims two-thirds (66 percent) believe the prospect of making redundancies has negatively impacted their mental wellbeing. (more…)

More stability in sight for employment but three in ten employers still planning redundancies

More stability in sight for employment but three in ten employers still planning redundancies

RedundanciesThe pace of deterioration in UK job prospects is starting to slow this autumn due to very modest improvements in planned recruitment activity and a slight decrease in employers’ intentions to make redundancies. This is according to the latest quarterly CIPD/the Adecco Group Labour Market Outlook (LMO) survey – involving more than 1000 employers and covering all sectors of the economy. (more…)

Redundancies set to double the peak reached in the 2008 recession

Redundancies set to double the peak reached in the 2008 recession

RedundanciesNew analysis of official data released to the Institute for Employment Studies (IES) claims that between May and July 2020, employers notified government of nearly 380,000 potential redundancies. This is more than double the peak reached in the Great Recession, when 180,000 staff were notified as being at risk between January and March 2009. (more…)

Artificial intelligence appears to cut more jobs than it creates

Artificial intelligence appears to cut more jobs than it creates

Artificial intelligence appears to be contributing to a net loss of jobs, according to a new analysis of how organisations are adopting the technology across their operations.Artificial intelligence appears to be contributing to a net loss of jobs, according to a new analysis of how organisations are adopting the technology across their operations. Research by Morgan Stanley, based on responses from nearly 1,000 companies that have been using AI for at least a year, suggests that British firms have shed more roles than they have created as a direct result of AI deployment. The study indicates a net reduction of around 8 percent of roles in the UK over the past twelve months, a higher figure than reported in comparable surveys of companies in the United States, Germany, Japan and Australia. (more…)

Employers increasingly see AI as a way of reducing headcount

Employers increasingly see AI as a way of reducing headcount

UK firms are bullish about the use of GenAI but their employees are not so certain, according to a new pollOne in six (17 percent) employers expect AI to shrink their workforce over the next year, with junior roles most at risk, according to the CIPD’s latest Labour Market Outlook which surveyed over 2,000 employers on their hiring, redundancy and pay plans.  Of those, almost two thirds (62 percent) believe that clerical, junior managerial, professional or administrative roles are most likely to be lost because of AI. The risk is highest in large private sector firms, where one in four (26 percent) expect headcount to fall, compared with 17 percent in the private sector overall and 20 percent in the public sector. (more…)

Employer confidence falls to record low as UK employers face rising costs and uncertainty

Employer confidence falls to record low as UK employers face rising costs and uncertainty

The number of UK employers expecting to increase headcount in the next three months has fallen to a record low outside of the pandemicThe number of UK employers expecting to increase headcount in the next three months has fallen to a record low outside of the pandemic, as they grapple with rising employment costs and growing global uncertainties. This is according to the latest Labour Market Outlook report from the CIPD, which shows that the rate of employers expecting to increase headcount has fallen sharply among large private sector employers, and in retail in particular. In response, the CIPD is urging the government to closely consult with employers and business bodies to limit the potential impact the Employment Rights Bill could have on employer’s hiring plans as businesses face mounting external pressures. (more…)

Half of businesses who have made people redundant in favour of AI think they may have messed up

Half of businesses who have made people redundant in favour of AI think they may have messed up

A new poll from Orgvue claims that 39 percent of business leaders who have deployed AI in their firms have already made employees redundant. Of those, 55 percent think there's a good chance they made wrong decisions about those redundancies.A new poll from Orgvue claims that 39 percent of business leaders who have deployed AI in their firms have already made employees redundant. Of those, 55 percent think there’s a good chance they made wrong decisions about those redundancies. Orgvue first conducted its international survey of 1,000 C-suite and senior decision makers at medium and large organisations in 2024. This year, the research highlights what Orgvue says is growing caution in deploying artificial intelligence and acknowledgment that businesses need to reskill people to work with the technology. (more…)

Firms scale back recruitment plans in wake of National Insurance hike

Firms scale back recruitment plans in wake of National Insurance hike

Nearly half of all companies across the UK are scaling back recruitment plans because of the hike in employers’ National Insurance which comes into effect on April 6thNearly half of all companies across the UK are scaling back recruitment plans because of the hike in employers’ National Insurance which comes into effect on April 6th, according to a new poll by Reed. The survey found that 46 per cent of firms said that recruitment decisions would be impacted due to the tax increase, with many reporting that they were already not hiring or postponing recruitment. Reed say the findings demonstrate the negative impact the increase in employer’s NI is having on the labour market, which has already seen vacancies fall for a record period. (more…)

A third of employers are responding to the Employment Rights Bill by cutting jobs

A third of employers are responding to the Employment Rights Bill by cutting jobs

four in five firms anticipate increased employment costs as a result of the Employment Rights Bill's proposed measures, and nearly a third are planning on reducing headcount as a result.A survey of more than 2,000 employers conducted by the CIPD reveals that nearly four in five anticipate increased employment costs as a result of the Employment Rights Bill’s proposed measures, and nearly a third are planning on reducing headcount as a result. The measures include reforms to Statutory Sick Pay, changes to unfair dismissal rules, and the introduction of guaranteed hours for zero-hours contract workers. Among those expecting costs to rise, 30 percent foresee reducing their workforce through redundancies or cutting back on recruitment, while 23 percent plan to introduce or expand automation to offset expenses. Other strategies being considered include reducing training budgets (22 percent), cutting staff working hours (17 percent), or increasing reliance on temporary workers (17 percent). (more…)

Office market upheaval means uncertain times for landlords

Office market upheaval means uncertain times for landlords

The UK office market is facing a period of significant upheaval, according to a new survey commissioned by workspace provider infinitSpaceThe UK office market is facing a period of significant upheaval, according to a new survey commissioned by workspace provider infinitSpace. The research paints what it says is a concerning picture for landlords, with a sizeable portion battling financial strain and even potential closure. Over 14 percent of the 250 surveyed landlords fear their office buildings could shut down within the next five years due to affordability concerns. (more…)

Most firms set to invest in AI but half admit they don’t know why or how

Most firms set to invest in AI but half admit they don’t know why or how

A new poll from Orgvue, an organisational design and planning software platform, suggests that businesses continue to ramp up investment in AI despite being unclear on its business impact or how to implement itA new poll from Orgvue, an organisational design and planning software platform, suggests that businesses continue to ramp up investment in artificial intelligence despite being unclear on its business impact or how to implement it. Four in five (82 percent) of organisations have already invested, with another 33 percent saying they will increase this by more than 50 percent in the coming year.  Based on a survey of 1,000 C-suite and senior decision makers at medium and large organisations, the report, Human-first, machine enhanced: the role of AI in workforce transformation, highlights contradictions in the business community concerning technology investment and AI’s impact on the workforce. (more…)