Job cuts hit NHS and IBM
The NHS faces potential job cuts of up to 36,000 nursing positions as it seeks £20 billion in spending reductions, while IBM considers cutting 299,000 permanent staff roles and rehiring them as contractors. Both moves highlight growing pressure across public and private sectors to reduce personnel costs.
CIPD warns UK must prepare for 10% public sector cut
The CIPD warns the UK public sector must prepare for a potential 10% workforce reduction in the next government’s term, cutting approximately 500,000 jobs from the current 5.8 million roster. The organization states that addressing the UK’s national debt at 80% of GDP requires tackling public sector inefficiency, contrary to what major political parties’ manifestos suggest.
Public sector pensions – an election issue?
Public sector pensions emerged as a potential election issue in the 2010 general election due to rising costs from generous benefits and unfunded schemes. The CBI released a reform report recommending moving public sector staff away from defined benefit pensions toward more sustainable models like Sweden’s notional defined contribution scheme.
Research reveals new talent in town – Gen R
Generation R—professionals who survived the recession while taking on expanded responsibilities—are now seeking recognition and advancement. Research shows 73% believe they’re performing above their current job title, with employers acknowledging these retained employees are more commercially aware and proficient than before the economic downturn.
Law essentials: Equality bill
The Equality Bill harmonizes discrimination law across protected characteristics including age, disability, sex, and sexual orientation, while introducing new protections such as bans on pre-employment health questions, discrimination by association, and dual discrimination claims.
Equality bill gets washed up
The UK’s Equality Bill received Royal Assent in April 2010 during the parliamentary wash-up period, consolidating multiple equality rules into a single act effective October 2010. The legislation extends discrimination protections to include young mothers and school-age mothers-to-be, while lifting restrictions on civil partnership ceremonies in religious settings, though churches retain hiring discretion.
Election 2010 – your manifesto
HRzone is inviting HR professionals to submit policy ideas for a 2010 election manifesto wishlist, covering topics from National Insurance and minimum wage to pensions and business regulation. The publication will compare community suggestions against actual party promises to track which pledges are kept.
Mandelson: Business leaders ‘tricked’ by Tories
Lord Mandelson has accused the Conservatives of “tricking” business leaders into backing their plan to reverse a 1% National Insurance rise on employers, claiming the pledge involves hidden costs through VAT increases. The Tory-backed letter from 23 business leaders, including EasyJet’s founder, contradicts Labour’s tax policy ahead of the election.
Government takes on long term unemployment
The government launched a “Jobseekers Guarantee” requiring long-term unemployed claimants to accept jobs or work placements or lose benefits. Funded through existing budgets, the initiative extends the Future Jobs Fund and introduces personalized Job Centre Plus support, alongside expanded disability employment programs.
Manifesto for employment – what do you want to see?
Hays recruitment consultancy has released an employment manifesto calling for greater workforce flexibility, reduced employer National Insurance, reformed employment laws, and closer alignment of education with industry needs rather than traditional academic focus.
Budget reveals funding for skills
The UK Budget allocates £2.5 billion to improve skills and innovation among small businesses, addressing a widening skills gap revealed by national employer surveys. The funding aims to boost workforce proficiency in areas like literacy and numeracy during economic recovery.
Budget 2010: our forecast
Alistair Darling’s 2010 budget focused on tackling unemployment through stricter benefit rules, requiring young people to pursue training after six months on the dole, and introducing work experience for school leavers. The budget also saw a bonus tax that raised double its estimated revenue.
Female students rule out career in finance due to perceived discrimination
Top female students at Oxford are rejecting finance careers, citing discrimination concerns and ethical issues with banking. Meanwhile, two-thirds of NHS healthcare workers report high job satisfaction and believe they make a meaningful difference in their roles.
Recession continues to strain employee-employer relations
Recession-driven strain on workplace relations is intensifying, with calls to Acas’ conciliation service doubling since September. The service has referred over 8,000 pre-claim cases and prevented approximately 5,000 employment tribunal cases through arbitration, which resolves disputes in about three weeks compared to six to nine months for tribunals.
Tories unveil plan to ‘get Britain working’
The Conservatives have unveiled a ‘Service Academy’ plan to create up to 50,000 training places and work placements for the unemployed, with 11 major employers in hospitality and tourism already signed up. The scheme aims to provide industry-designed pre-employment training to give jobseekers practical skills and career entry routes as part of their ‘Get Britain Working’ welfare reform plans.
Train and gain or snooze and lose
UK employers must increase investment in staff training to remain globally competitive as the economy recovers. A national survey found skills gaps rising to 19% in 2009, yet fewer workers are receiving training despite the worsening gap between employee capabilities and job requirements.
Landmark agency and permanent staff wage equality
Asda has secured a landmark agreement with its meat and poultry suppliers to pay agency workers the same wages as permanent staff. The move, made in partnership with Unite union, is expected to set a precedent for other supermarkets and aligns with upcoming European Agency Workers Directive protections.
Businesses petition against NIC increase
Multiple UK business groups have launched a petition against a planned 1% National Insurance contribution increase, warning it will function as a “tax on jobs” that could lead to significant job losses and discourage hiring during economic recovery.
A possible 25,000 jobs to go in public sector
Local councils in England could cut up to 25,000 jobs over the next three to five years due to falling revenues and increased demand from the recession, potentially creating social unrest. A BBC survey of 49 councils found over 70% predicted spending cuts of 5-20%, with roads, libraries, and leisure services facing the highest risk of cutbacks.
HR professionals ‘risk being left behind’, says CIPD
HR professionals must evolve from traditional administrative roles to strategic advisors who provide business insight and guide sustainable organizational change, or risk being sidelined by senior leaders seeking solutions elsewhere, warns the CIPD.
