A “Budget for Jobs”? |
 |
 |
| Thursday, 30 April 2009 00:00 | |||
|
The latest labour market figures from the Office for National Statistics (ONS) show a sharp rise in the official UK unemployment rate alongside further evidence that private sector employers are keeping a tight grip on pay. Against this background, the CIPD considered last week’s “Budget for Jobs” a modest affair, but recognised that the Chancellor had limited room for manoeuvre. John Philpott, CIPD chief economist, commented: Economic outlook “The Chancellor appeared relatively upbeat on his economic growth forecasts, but was probably more sober than expected on the outlook for public borrowing. Consequently, his scope to announce a major “Budget for Jobs” was limited and is unlikely to prevent unemployment rising above three million by next spring.” Support for long-term youth unemployed “The CIPD has consistently highlighted jobless young people as in particular need of targeted action. Although the Chancellor was not in a position to do much, the package aimed at the under-25s offers a good ‘bang for its buck’ in creating opportunities for work and training. The experience of past schemes is that they provide short-term relief to the young jobless but do little to enhance their long-term employability. Providing support which is more than simply ‘make work’ will be the acid test of this new initiative. Statutory redundancy pay “While the increase in statutory redundancy payments to £380 might be welcomed by those facing job losses, it could damage the willingness of employers to recruit during the recovery and slow the fall in unemployment.” In other reactions to the Budget, Ruth Spellman, chief executive of the Chartered Management Institute, argued that it was a missed opportunity. She said that the measures announced might have a short-term bounce, but would do little to stimulate growth over the long term.?Nigel May, tax principal at accounting firm MacIntyre Hudson, commented, “The Chancellor has confirmed by his silence that Employers’ National Insurance Contributions will rise as planned by 0.5% in April 2011. What happened to the ‘Budget for Jobs’? This represents a rise in the nearest our system has to a tax on jobs, planned to come in just as unemployment reaches a new peak.” Mary Monfries, UK head of entrepreneurs and private companies and private clients at PricewaterhouseCoopers, said, "The 50% higher rate of income tax is being introduced one year earlier (April 2010) than originally planned. This is driving the nail further into the coffin as far as attractiveness of the UK to internationally mobile businesses is concerned." It remains to be seen if this will affect patterns of relocation.
|
Related Articles
Relocation News
- CIPD comments on latest ONS migration statistics
- LSS Relocation acquires The Relocation Partnership
- Prime central London property prices 'rose 3.2% in February'
- Reward professionals 'optimistic', survey shows
- Ashford town centre plans approved
- Celebrity guest speaker for Re:locate Awards
- Childcare costs ‘increasing’ despite recession
- Changes to student support system needed, says think tank
- Fewer parents getting first-choice school than previously thought, study finds
- Are schools ‘misdiagnosing’ learning difficulties?
- Coaching conference will address global themes
- Getting the most from performance management
- HR still not making business case for employee engagement, says think tank
- Average price of UK home ‘has risen to £163,481’
- Serviced apartments ‘up by over 15%’, report says
- Are there signs of an economic spring?
- Bupa International opens new support centre in Spain
- Ashford wins national shared space award
- New parental leave regulations to be introduced
- New parental leave regulations to be introduced
- The Good Work Guide
- Bupa International introduces new online services
- Civil Service relocations on the cards
- Firms still plugging skills gap with migrant workers, survey finds
- ORC triumphs in Expatica survey awards
- HCR acquires Phoenix trading assets
- Changes to Australia’s immigration system announced
- BPF 'broadly welcomes' response to Rugg Review consultation
- Indian government issues guidance on employment visa changes
- Indian government issues guidance on employment visa changes
Re:locate Jobs Board
Whether you are recruiting new staff, or looking for a new job, the Re:locate jobs board is the place to find or advertise relocation, global mobility, international HR, immigration jobs. [more]
