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Brexit and the labour market

With Halloween coming up very soon, you may not have noticed what’s going on in politics.

On Tuesday evening (22nd of October 2019), MPs have voted to allow the government’s bill to go forward to the next stage in the processHowever, they have rejected the rapid timetable, which leaves everyone uncertain about what’s going to happen on the 31st of October. 

Impact on businesses

Brexit unpredictability hit the jobs market with employment falling. Also, according to new figures from the ONS, the unemployment rate rose slightly from 3.8% to 3.9%. 

Since Brexit was confirmed, the recruitment industry has seen a significant increase in demand for workers to fill temporary jobs. As an employer we can confirm we are experiencing a high proportion of hard-to-fill vacancies in certain sectors.

Statistics show that 67% of organisations have reported they were having difficulty in filling at least some of their vacancies. This is compared to 51% during Spring 2017.

At the moment it’s very difficult to state what will happen with UK labour market in the near future. There are a number of events scheduled to take place across the UK where you can get help and advice to get your company ready for Brexit.

Frequently asked questions: 

How will my salary be affected?

Unfortunately, the impact of future salaries for employers is hard to predict and will be largely dependent on the state of the economy, along with the industry and role that you are currently based in.

I’m from the EU, what will happen to my job in the UK?

Information from the Government has stated that any EU National who are currently legally working in the UK (under the legal rules at the time of entry) are welcome to continue to work and live within the UK.

What is the situation for families of EU nationals? 

Family members who are living with, or join EU citizens in the UK by 31 December 2020 will be able to apply for settled status, after they have accrued five years’ continuous residence or pre-settled status if they have been in UK for less than 5 years.

Close family members (ie spouses, civil and unmarried partners, dependent children and grandchildren, and dependant parents and grandparents) will be able to join EU citizens following the UK’s exit from the EU, where the relationship existed on 31 December 2020.

For those worried about their job, Direct Response will be here to help and should you have any questions please feel free to contact us.