IoD press release Increased cost of hiring continues to dampen job market
Commenting on this morning’s release of ONS labour market data, Alex Hall-Chen, Principal Policy Advisor for Employment at the Institute of Directors, said:
“Today’s figures indicate declining employer demand for labour in the UK job market, with the number of payrolled employees decreasing on the month by 0.1% and vacancies falling by 42,000 on the quarter.
“The business case for hiring has been weakened by a perfect storm of last month’s increased employer National Insurance Contributions and above-inflation increases to the minimum wage, alongside a wave of measures in the Employment Rights Bill which will make hiring staff riskier and costlier.
“If the government is to achieve its aim of an 80% employment rate, it must take urgent action to restore business confidence in hiring. We urge the government to support targeted changes to the Employment Rights Bill which would ensure that the Bill works for both businesses and employees.”
