April 2020 – Uncertain times for the UK jobs market
April 2020 – Uncertain times for the UK jobs market
COVID-19 continues to ravage the globe and Government efforts to stop the spread of the virus is having an unprecedented impact on the UK jobs market. Uncertainty is set to continue for months, maybe years, as we learn the full effects of the pandemic.
AlertBI created The Jobs Monitor as a beacon of light for businesses. You can take advantage of our real-time data analysis and gain valuable insights into job market fluctuations, enabling you to make informed decisions based on accurate jobs data, gleaned from over 200,000 sources.
In April 2020, The Jobs Monitor recorded 56,704 job movements across the UK’s private sector. As expected, job losses accounted for over two thirds of the total at 68%, while job gains made up the final 32%.
Our data paints a dire picture of the job market since March as the effects of the crisis took hold. In March, job gains were substantially less than the pre-crisis numbers but still outnumbered job losses by two thirds. April saw the latter overtake the former for the first time in 2020
Property and Construction continued its steady but small growth despite the crisis as businesses, like Lichfields, secured new contracts and hired more staff. We anticipate an upwards trajectory of hires followings the Government’s permission for construction workers to get back to work.
Some parts of the services sector are bucking the trend and thriving. For example, thanks to the increased demand for educational services, and school closures causing parents to seek out tools that maintain their children’s education, Outschool – providers of live online classes for ages 8–18 – started to recruit 5,000 new staff to handle the sharp rise in demand.
Retail and Wholesaling accounted for almost 15% of the total job losses as businesses entered administration and closed stores. Firms that depend on brick and mortar revenues are the most vulnerable to the pandemic effects, as shown by Oasis Stores which cut 4,100 jobs and closed 92 stores permanently, with another 90 at risk unless it finds a buyer.
The Government plans to allow non-essential retail outlets with street-level entrances and exits to reopen on June 29th – phase three of the lockdown-easing measures – which we expect to jumpstart hiring.
One of the biggest victims of the coronavirus pandemic is the Transport and Storage sector as employment rates continue to slump. Passenger numbers have collapsed and forced redundancies, while many businesses, such as P&O Ferries, are close to insolvency and seeking rescue deals or buyers. British Airways have cut 12,000 jobs, affecting one in four employees, following the drastic downturn in air travel.
Leisure and Hospitality, the second largest casualty of the crisis, suffered much smaller losses compared to March, but enjoyed zero gains. We expect the industry to start bouncing back in July at the earliest when the Government is expected to lift lockdown measures to allow businesses like pubs, restaurants and hotels to reopen.
Regionally, the South East suffered 40% of the job losses in April as it hosted some of the biggest victims of the pandemic. London followed behind with 23.85%.
London also experienced the most job gains with almost one quarter of the final total, while the East of England enjoyed the second highest gains with 14%.
Region – Private sector only
|East of England||2712||15%||200||0.6%|
|Yorkshire and the Humber||895||4.9%||79||0.3%|
|United Kingdom Total||18118||100%||31359||100%|
Sector Group – Private sector only
|Food & Beverages||4262||23.5%||842||2.7%|
|Engineering & Manufacturing||1957||10.8%||396||1.3%|
|Vehicles & Components||1685||9.3%||0||10.0%|
|Property & Construction||1277||7.0%||368||1.2%|
|Health & veterinary services||855||4.7%||32||0.1%|
|Retailing & Wholesaling||717||4.0%||8532||27.2%|
|IT & telecommunications||172||0.9%||234||0.7%|
|Transport & Storage||84||0.5%||13591||43.3%|
|Energy, utilities, waste||56||0.3%||3866||12.3%|
|Engineering & Manufacturing||56||0.3%||210||0.7%|
|Banks & financial services||47||0.3%||1253||4.0%|
|Leisure & hospitality||30||0.2%||200||0.6%|
|Chemicals, pharmac & biotech||20||0.1%||8||0.0%|
|Consumer goods & services||3||0.0%||148||0.5%|
|Media & publishing||0||0.0%||774||2.5%|
|Aerospace & defence||0||0.0%||0||0.0%|
|01/04/2020||Kier Group||4100||18778||Property & Construction||Berkshire Office Closed – 40 Jobs Lost – Part of Ongoing Cost-Cutting Plan – £65 million Savings Sought|
|01/04/2020||Karro||0.8||1100||Food & Beverages||At Least 400 Jobs Created Across the UK – Roles for Staff Affected by Outbreak|
|02/04/2020||The Perfume Shop||215||2197||Retailing & wholesaling||Stores Closed & Online Operation Ceased – 1,875 Jobs Affected – Response to Pandemic|
|02/04/2020||Aker Solutions||223.67||1827||Engineering & manufacturing||250 UK Jobs Cut Temporarily- Norwegian Operation Also Affected – Turnover to Drop by 20% – Scaled back investment plans – Oil Price Slide|
|02/04/2020||Bristol University||608||6199||Education||Made 84 Redundancies – Started Online Teaching|
|06/04/2020||E-On||6100||7709||Energy, utilities, waste||4,000 Staff Furloughed – Plan to Top Up Salaries|
|06/04/2020||G’s Growers Ltd||64.1||291||Food & Beverages||Recruitment Drive Underway – 2,500 Seasonal Vacancies|
|06/04/2020||Lyons Holiday Parks||30.08||600||Leisure & hospitality||10 Sites Closed – 500 Jobs Lost|
|06/04/2020||M & S Food||10380||80097||Retailing & wholesaling||New Southampton Store – 44 New Jobs – Part of Wider Growth Plans|
|07/04/2020||Petrofac||4520||11500||Energy, utilities, waste||Cutting Workforce by a Fifth – Follows Pandemic & Drop in Oil Prices – 2,300 Jobs at Risk|
|07/04/2020||Futura Foods||60.94||26||Food & Beverages||22 North Wales Jobs Created – Continued Scaling Up of Operations – Business Growth|
|08/04/2020||Page Group||1500||7532||Business services||250 Jobs Cut – Directors Pay Cut by 20% – Part of Response to Outbreak|
|08/04/2020||Weetabix||303||1002||Food & Beverages||Created 90 Jobs – Increased Food Demand due to Pandemic|
|08/04/2020||Walkers Crisps||167.1||461||Food & Beverages||Created 80 Jobs at Coventry Factory – Recruitment Drive|
|09/04/2020||JDP Furniture||37.64||540||Retailing & wholesaling||In Administration – Follows Drop in Revenue – 540 Jobs at Risk|
|14/04/2020||The Oasis and Warehouse Group||293||2300||Retailing & wholesaling||Expected to Enter Administration – 2,300 Jobs & 90 Stores at Risk – Buyer Sought|
|14/04/2020||Interserve||2900||41423||Business Services||1,500 Jobs Created – Roles Across the UK – Increased Demand Following Outbreak|
|14/04/2020||Borr Drilling||1.13||250||Energy, Utilities, Waste||Planning to Cut Jobs – 230 Roles at Risk – Cost Synergies Sought|
|15/04/2020||Action on Hearing Loss||39.55||985||Charities||70 Staff Furloughed – Follows Covid19 Outbreak|
|15/04/2020||Skanska Costain Strabag||25000||130000||Engineering & Manufacturing||£3.3 billion HS2 Contract Secured – 1500 Jobs Expected|
|17/04/2020||Christian Aid||120.4||976||Charities||Cutting 160 Jobs – Fall in Income Following Outbreak – Retrenchment Programme will Reduce Overseas Operations|
|17/04/2020||Mash Direct||18.42||203||Food & Beverages||30 Jobs Created – New Employment Platform Launched – Part of Pandemic Response|
|20/04/2020||Quest Global||36||12800||IT & Telecommunications||Making 192 Redundancies – Contracts Cancelled|
|20/04/2020||EC-OG||–||–||Energy, Utilities, Waste||£1.6 million Investment Secured – Creating 40 Jobs – Increasing Manufacturing Capacity|
|20/04/2020||Le Pain Quotidien||38||806||Leisure & Hospitality||Business on Verge of Collapse – 500 Jobs at Risk at 26 Sites – Pre-Pack Administration Deal Expected|
|21/04/2020||Kirkpatrick||–||65||Engineering & Manufacturing||In Administration – 50 Jobs Lost|
|21/04/2020||Formica Group||79.5||79.5||Engineering & Manufacturing||250 Staff Return to Work – Restarting Manufacturing Following Lockdown Adaptations|
|22/04/2020||Pennine Foods||–||430||Food & Beverages||Food manufacturing – 430 redundancies – 35 staff moved to other sites – decline in ready meals demand|
|22/04/2020||Asseal||180||1800||Engineering & Manufacturing||Industrial Seals manufacturer – £20m investment to double headquarters size – Creating 200 jobs|
|23/04/2020||Safran Seats||274.97||1250||Aerospace & defence||Making 400 Redundancies – Cutting 25% of Workforce|
|23/04/2020||H. Young (Operations) Ltd t/a Animal||162.4||623||Retailing & Wholesaling||Plan to Close 21 UK Stores – 500 Jobs at Risk – Trading Worsened by Coronavirus Outbreak|
|27/04/2020||Renfrewshire Council||–||7900||Local Government||200 Job Cuts Postponed Until 2021 – Follows Covid19 Outbreak – £45 million Savings Sought by 2023|
|27/04/2020||P and C Residential Services Ltd||–||88||Health & veterinary services||Plan to Expand Cumbrian Premises – 50 Jobs Expected – Business Growth|
|28/04/2020||Antalis||493.87||1091||Transport & Storage||New Headquarters Planned – Creating 50 Jobs – Increasing Capacity|
|28/04/2020||CPUK||23||91||Property & Construction||In Administration – 90 Jobs at Risk – Follows Collapse of Key Client|
|29/04/2020||British Airways||1300||42384||Transport & Storage||Cutting 12,000 Jobs – 1 in 4 Staff Affected – Follows Downturn in Air Travel|
|29/04/2020||Church Farm Nursing Home Limited||5||197||Health & veterinary services||Creating 10 Jobs – Increasing Service Standards|
|30/04/2020||Guidant Global||583.5||750||Business Services||Making 500 Redundancies – Lost Contract with Airbus – Downturn in Demand|
|30/04/2020||Home Instead Senior Care||–||13000||Health & veterinary services||300 New North East Jobs Created – Increased Demand|
|30/04/2020||Deliveroo||476.2||2296||Transport & storage||Making 367 Redundancies – Reducing Workforce by 15% – Reducing Costs|