New research from the CIPD reveals that 32% of employers plan to reduce headcount or slow hiring due to rising employment costs. Redundancy intentions are now at their highest level in a decade, outside of the COVID-19 pandemic.
🔍 Key Findings:
📉 Hiring confidence is falling as businesses brace for increased costs.
💰 National Living Wage & NI increases are adding financial strain, with 24% of employers expecting a major rise in costs.
🏢 A quarter of businesses are scaling back expansion and investment plans.
😟 Job security concerns are rising, leading to financial stress among employees.
💡 How should businesses respond?
✅ Invest in employee wellbeing – Cutting back on wellbeing initiatives may lead to higher absenteeism & burnout.
✅ Prioritise workforce resilience – Implement tech-led strategies to support & retain employees.
✅ HR must lead the conversation – Transparency & clear communication are vital to keeping employees engaged and informed.
As Mark Williams from WorkJam puts it:
“Investing in technology and automation to support employees will create a more resilient workforce in the long run.”
👉 How is your organisation preparing for these challenges? Let’s discuss!
📧 applications@andersonknight.co.uk
