In response to the latest ONS labour market statistics released today, Gerwyn Davies, the Chartered Institute of Personnel and Development (CIPD)’s Labour Market Adviser, comments: “In a continuation of recent trends, today’s official ONS employment figures appear to show yet another strong labour market performance. However, a number of factors suggest that fault lines are emerging. For example, redundancy activity has picked up for the first time this year and there are record numbers of self employed and people working part time because they cannot find a full time job. There is also a continued increase in the number of people on government funded employment and training programmes.
“In addition, today’s figures don’t reflect the lengths to which a significant number of employers are going to in order to hold on to skilled staff despite low levels of demand; as the CIPD reported in its quarterly Labour Market Outlook earlier this week. The continued fall in productivity and increase in unit labour costs will put more pressure on employers.”