The global recession has taken its toll on the employment figure in UK, as every company is viewing job cuts as an easy cost cutting option, unemployment is soaring and according to recent reports unemployment has reached a staggering stage and reportedly there are about 10 job seekers for every vacancy registered in the UK. And in one area in the south east as much as 60 people are chasing for one job.
The unemployment figure is expected to reach a mind blowing 2 million and is expected to increase. This has led the government to rethink its strategies and this mass unemployment is forcing the government to reinstate with civil servants which have been diverted from child maintenance and disability claim. The Child Support Agency which has been renamed as the Child Maintenance and Enforcement Commission and the Pension, Disability and Careers Services has seen 600 & 300 of its employees respectively been shifted and asked to work with the growing figure of unemployed people.
The TUC has made a detailed study of the job crisis in the UK and in their study one can clearly see the deterioration in employment. In a nationwide study it has observed that in the Isle of Wight there are more job seekers for one job than anywhere in the country. There are about approximately 3000 people are going after approximately 50 registered vacancies. The TUC general secretary Mr. Brenden Barber has slammed the government’s claim that there are enough jobs for available in the market if people are willing to look.
The other area of concern that comes out from TUC ‘s research is the area of Central London where the number of unemployed is far more than the number of job vacancies. There are around 71,000 registered as unemployed and there are just 4,275 vacancies in hand, and the difference is staggering. Whereas in Hackney in east London there are around 37 registry for one vacancy.
As the unemployment is on the rise the analyst are worried that it will badly hit the consumer spending and in turn the retail market will also face problems thus creating a vicious financial circle.
