Employers ‘more confident’ about creating jobs


Employers are more confident about being in a position to offer new jobs, which could spell good news for IT jobseekers during the second half of 2012.



Employers ‘more confident’ about creating jobs



Employers are more confident about being in a position to offer new jobs, which could spell good news for IT jobseekers during the second half of 2012.

The Chartered Institute of Personnel and Development’s (CIPD) latest Labour Market Outlook, which is released every quarter, revealed an employment balance of +25 in the private sector for the second quarter of the year.

The employment balance is calculated by measuring the difference between those employers who plan to hire more employees against those planning to lay off members of staff. Across all sectors, the balance is +6 - a marked improvement from the -8 recorded during the winter and the first time the balance has risen into positive figures in 2012.

Gerwyn Davies, a CIPD public policy adviser, said the figures are “very welcome” at a time when the jobs market is in need of good news, although added that employers will remain cautious about increasing staffing levels while the recession remains.

Mr Davies went on to highlight the dangers faced by employers when offshoring operations to oversees companies, which has been a regular fixture in the IT industry.

“Employers need to weigh up the wider impacts when considering offshoring decisions, such as the potential adverse impact on customer service or employer brand,” he commented.

His comments came after the CIPD’s report also revealed that more than one quarter (26 per cent) of employers that have used offshoring have begun initiating plans to bring more operations back to the UK.

Today (15th May), the CIPD warned that company reward strategies may be “futile” if communication channels do not improve. According to the organisation, too many UK employers are “leaving employees in the dark” about the true values of packages.

Charlie Gilbert | Tuesday 15 May 2012



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