The outlook for jobs in Britain is worst than in any other country in Europe and beyond, fresh data has revealed as the pandemic continues to hit people’s pockets and prospects.
Jobs in hospitality and retail continue to be hammered by the fallout from the coronavirus pandemic as sporadic lockdown restrictions look set to roll on into early next year.
London in particular is suffering amid the pandemic, with the outlook for jobs in the capital by mid-2021 the worst on record, according to the research.
Prospects in the jobs market are also becoming increasingly divided across different industries, with ‘sharp improvements’ in the construction, finance and business sectors in terms of openings.
Outlook: Jobs market outlook across a number of countries early next year
Last month, Chancellor Rishi Sunak warned that the ‘economic emergency’ stemming from the pandemic had only just begun, with the Office for Budget Responsibility predicting that UK’s unemployment rate will climb to 2.6million people, or 7.5 per cent by mid-2021.
To date, over 250,000 job losses or potential redundancies have been announced since the start of the pandemic earlier this year, according to the Press Association.
While the outlook for jobs remains worrying, Britain’s jobs outlook has ‘rebounded six points in the last six months to -6%’, according to the latest ManpowerGroup Employment Outlook Survey.
But, ManPower said that people’s jobs prospects in Britain remain ‘disappointing’ when compared against other countries across Europe, with the UK still at the bottom of the pile.
Mark Cahill, managing director of ManPower UK, said: ‘The headline numbers are steadily moving in the right direction, and we are seeing a continued resurgence in key sectors like finance and business giving us reasons to be cheerful as we head into 2021.
‘However, despite this positive trajectory, the UK remains the least optimistic in Europe, with continued uncertainty over Brexit and the effects of a second Covid-19 wave still looming large.
‘Looking further ahead, our data also shows that only 49% of employers expect their hiring to return to pre-pandemic levels within the next 12 months.’
Demise: Topshop, part of the Arcadia group, has seen its troubles exacerbated by the pandemic
The outlook for the jobs market in the retail and hospitality sectors dropped further in recent months and now stands at the ‘weakest’ level on record, ManPower said.
Mr Cahill said: ‘The further decline of Britain’s high streets is deeply concerning.
‘Shops, restaurants, and bars have remained mostly shut across the country, and the young people who make up a large proportion of workers in this sector have often borne the brunt.
‘Stalwarts like Pret a Manger and TM Lewin are closing their doors as demand for quick lunches, smart shirts and suits has dried up, while Caffe Nero is on the brink of insolvency.’
The demise of well-known brands like Debenhams and Arcadia has been accelerated by lockdown shutdowns, with 25,000 people now at risk of losing their job at these two companies alone.
ManPower said the pandemic has also accelerated the switch from a ‘London-centric’ economy, with swathes of local cafes and restaurants suffering as workers steer clear of the capital and employers turn their focus to remote working.
While many sectors in the capital and beyond are struggling, hiring in sectors like finance is on the up.
Mr Cahill said: ‘Despite a tough year, many financial services firms have been able to adapt quickly to remote working, and this is most evident from the sector’s medium sized businesses.
‘There is also strong demand for business admin, HR, and management roles as more businesses prepare for long-term remote work and for the EU-Exit.’
Pent-up demand has also triggered an upturn in job prospects within the construction sector, coinciding with a ‘mini-boom’ in the housing market, which a growing number of experts think could pop next year.
ManpPower said that migrant workers had been particularly hard hit by the fallout from Covid-19, and nearly half a million have left the UK since March.
For many workers in Britain, the end of the Government’s furlough scheme at the end of March next year could spell a further rise in the number of mass job cuts emerging, as employers look to cut costs and stay afloat.
This post first appeared on Dailymail.co.uk