Manufacturing leads the way in balancing public sector job cuts
1 min read
Large-scale public sector job losses are still overwhelming a slight rise in private sector recruitment although the manufacturing sector is leading the way in trying to redress the balance.
According to this quarter's Labour Market Outlook which utilises a net employment index measuring the difference between the proportion of employers that intend to increase total staffing levels and those that intend to decrease total staffing levels, the manufacturing sector (+41) is among the most buoyant parts of the UK economy. This is in sharp contrast to the public sector (-52).
The survey, from the Chartered Institute of Personnel and Development (CIPD) and KPMG, also forecasts that pay inflation may pick up in the next 12 months, with average pay award expectations across all sectors rising to 1.7% from the 1.3% recorded last quarter.
Across all sectors, the net employment index has risen marginally to +3 from -3 in the past three months.
The CIPD's Gerwyn Davies (pictured) said manufacturing was "taking large strides forward" but the risk of an employment slowdown appeared to be finely balanced.
