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Employment growth set to continue – CIPD

Employment is set to grow in the first quarter of 2013, according to the latest CIPD/Success Factors report. The Labour Market Outlook report measures net employment balance – the proportion of companies that intend to increase the number of employees versus those which plan to decrease.

Net employment has remained positive at +5 for the first quarter of 2013. The private sector balance is at +16 but the public sector is at -29.

However, a CIPD survey of over 2,000 employees found 30% of part time workers would like to work more hours. 66% said they are maintaining staff at higher levels than necessary as they thought they will be forced to make job cuts if output doesn’t pick up in 2013.

Gerwyn Davies, labour market adviser at the CIPD, said: “Growth in employment looks set to continue in the short-term, despite faltering economic growth.

“Some employers are clearly using flexible working and reduced hours to adapt to trading conditions. For many workers, this will mean they are offered less security, fewer hours and less money than they want. However, for others this provides greater opportunities to secure flexible working. This is especially the case for older workers, who have fared best since the recession, but still have the greatest difficulty re-entering the jobs market.”

Paul Roberts, UK and Ireland country manager at SuccessFactors, said: “Those organisations that have the necessary tools required to gain insight into the bench strength of their talent, and the ability to effectively calculate their workforce analytics and planning requirements, will not only make the most of their people, but also maximise their ability to execute. As the survey demonstrates, a tight economy does not necessarily lead to shedding talent. UK companies understand that human capital is an asset.”

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