This archive report was first published on 16 July 2020.
As the UK's job market continues to feel the devastating impact of the coronavirus pandemic, a new report reveals that nearly one in three firms plan to lay off staff over the next three months.
According to the British Chambers of Commerce's (BCC) quarterly recruitment outlook, 29% of 7,400 firms surveyed expect to axe jobs over the third quarter, a record high for the study.
Published on July 16, 2020, the report also found that 28% of firms polled had already cut roles between April and June, with 41% of large companies and 41% of small and medium-sized firms expecting to cut staff over the next quarter.
Recruitment has ground to a halt, with just 25% of firms looking to take on new hires, another grim record for the report.
Despite welcome interventions made in the summer statement, including a Job Retention Bonus scheme and a Kickstart Scheme, the BCC and Totaljobs urged the Government to take more action, calling for a temporary cut in National Insurance contributions to help protect businesses and jobs.
Hannah Essex, co-executive director at BCC, said: "Many businesses are suffering from an historic cash crunch and reduced demand, meaning firms will still face tough decisions despite welcome interventions made in the summer statement."
She added: "The Government should consider additional support for employers before the autumn Budget to reduce the overall cost of employment and prevent substantial redundancies."
At least 150,000 jobs have already been cut or put at risk at more than 60 major British employers during lockdown, according to recent analysis by the PA news agency.
Overall, around 75,000 job losses were announced last month alone.
A Government spokeswoman said: "Throughout the pandemic, we have acted with speed to safeguard jobs and incomes, with our support package totalling £160 billion so far."
She added: "The Plan for Jobs announced last week, including the Job Retention Bonus and the new Kickstart Scheme, will give businesses the confidence to retain and hire, and to create new jobs in every part of our country."
