Employer hiring plans fell post-Brexit, report finds
Employers hiring intentions have fallen post-Brexit, according to the Labour Market Outlook by the CIPD and Adecco Group UK & Ireland.
The data is based on the fortnights preceding and following the EU referendum. It found that the number of employers expecting to increase staffing levels over the next three months dropped by four per cent from pre-Brexit (40%) to post-Brexit (36%).
62% of those surveyed said they employed EU migrants, but 31% of them were unable to confirm what percentage of their workforce is made up of EU migrant workers.
On top of this, two-fifths believed that Brexit would make it harder to hire EU migrants over the next year.
John L Marshall III, CEO of Adecco Group UK & Ireland, said: “While we have not yet experienced a significant effect on overall hiring since the referendum, it is clear that uncertainty around Brexit is making employers nervous. The survey indicates that employers have translated this into a wait-and-see approach. This caution seems sensible but unless employers want to see their growth stymied, they need to take proactive steps to future-proof their labour force. This means labour force planning and it means investment in training.
“Employers also need to start thinking about how they attract talent. Four in ten companies think hiring EU migrants will be harder over the next 12 months as a result of Brexit. Organisations need to understand the make-up of their workforce, how restrictions on migrant talent may affect them, and where they are strong and weak on skills. The next step is thinking about how to get the right talent through your door.
“There is undoubtedly uncertainty but this is also a time of opportunity for organisations to get ahead. Whilst there’s no ‘one-size-fits-all’ approach for future-proofing against Brexit, there are steps that employers should consider. These include conducting a detailed audit of their workforce, mapping current and future skills gaps and investing in training and development.”