The 2019 Employment Trends Survey (ETS) reveals that 65% of businesses think that the UK labour market has become a less attractive place to invest and do business over the past five years - the highest proportion recorded in the ETS’ 22-year history.
However, businesses intend to continue creating jobs and raising pay with 43% expecting to grow their workforce in the year ahead and 68% expecting to raise pay for their employees in line with or above inflation at their next pay review.
In partnership with Pertemps Network Group, the ETS tracks key labour market trends and gathers the views of business on a range of current issues.
The 2019 ETS findings include:
- Only 60% of SME respondents affected by the National Living Wage are able to absorb all or part of the cost of increases, reduced from 75% in 2018
- 57% of respondents think that the UK labour market will become less attractive in the next five years
- 72% of firms see access to skills as a key current threat to UK competitiveness
- 71% of firms are acting to improve gender diversity and reduce gender pay gaps, and 65% are taking steps on ethnic diversity and pay gaps
- 98% of firms have seen a workplace benefit from engaged employees and 49% of respondents see effective line management as a key driver of engagement.