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Redundancies is set to almost double in the first quarter, a report from the Chartered Institute of Personnel and Development and KPMG showed on Monday. The survey conducted among 700 public and private sector employers found that employers plan to cut around 6.2% of the workforce in the first quarter of 2010.
Employers were planning to slash staff rather than hiring employees, with particularly bleak outlook for the public sector in the coming quarter. Although some private sector employers are emerging from the recession with intentions to increase staff levels, the overall net balance between the percentage of employers expecting to recruit and those expecting to cut staff across all sectors of the economy remained at negative 5%.
"The UK jobs market is still on the ropes, with a public sector fall in employment now a reality as it feels the impact of the longest recession in modern times," John Philpott, the chief economic adviser at the CIPD said. "Despite the jobs market proving resilient in recent months while, the number of redundancies has eased in the private sector and cuts yet to be felt in the public sector, this represents a mere pause for breath."
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