A quarter of private sector employers expect to be employing more people in one year’s time, but in the public sector no increase is expected during the same period. This is a key finding from the quarterly survey of HR trends and indicators by the Chartered Institute of Personnel and Development which covers over 1,300 employers, employing nearly 1.3 million people in the UK. Although there are employers in the public sector who expect to employ more staff, these increases are entirely offset by those expecting to employ fewer. This trend reflects the implementation of the Gershon efficiency review which recommended cuts in the civil service and other back-office jobs across the public sector.The survey also found that ongoing labour market pressures are still showing no sign of fuelling inflationary pay increases. One in four employers expect pay to remain stable or rise by less than 2%, and fewer than 5% of employers expect increases to exceed 4%. The vast majority (68%) expect pay increases to average between 2% and 4%.
HR Trends and Indicators survey, published by the Chartered Institute of Personnel and Development, will be available for download from http://www.cipd.co.uk/surveys from the end of January 2005.