The government's hope that private sector employers will create enough jobs to make up for public sector cuts have been dealt another blow with news that a growing number of businesses are planning to cut staff.Just under third of employers – 32% – across the state and private sectors said they expected to make some workers redundant during the next three months. It was a rise on the 29% recorded in the previous quarter, according to a survey run jointly by the Chartered Institute of Personnel and Development and accountants KPMG.
Redundancies were more likely in the public sector, where 36% of employers planned to shed jobs, reflecting cuts for government departments and councils announced by the new chancellor George Osborne in June. But the outlook in the private sector was not much brighter with 30% of employers planning staff cuts, up from 24% three months earlier.
