Commenting on Labour’s victory in the UK General Election, Neil Carberry, REC Chief Executive, said:
“With a decisive mandate in hand, this new government has goodwill from businesses and support for its core goal – getting growth and prosperity flowing across the UK. Only business can deliver this – so a strong partnership is necessary.
“A credible industrial strategy, as promised in the Labour Party manifesto, is essential but can only work if it is based on people. There is no doubt that Labour cares about the workforce – but what matters now is how they deliver. The labour market has changed over the past few decades – of course workers need to be treated well, but that includes choice and opportunity on how and when they work. Workers and businesses across the country understand the goals of Labour’s plan but its implementation must support a growing economy and accept that there is no one best way of working. That is not what people want. By working in partnership with businesses and unions, and committing to the value of our flexible labour market, this new government can learn the lessons of past Labour successes such as the National Minimum Wage and pensions automatic enrolment. We can deliver big change when we tread carefully and take the practical experience of firms into account.
“Nowhere is the value of the flexible workforce more apparent than in the health, social care and education sectors. Attacks on flexible work during the campaign – when agency workers are keeping these services afloat – mis-represented the true picture of public sector workforce planning that has been in chaos. This new Labour government has the chance to change all that by getting public sector employers, unions and agencies together to address procurement issues and deliver better, more efficient services for voters.”
Notes
Employers demand focus on tax and skills from the next government’s first 100 days, REC, July 2024
Asked to select a top priority that the next government must prioritise in its first 100 days, from a list of eight options, nearly a quarter (24%) chose reducing business taxes to increase the scope for investment. And a fifth (20%) said reforming the skills system, including the Apprenticeship Levy, to improve training for all workers, including temporary workers.
Overcoming shortages – How to create a sustainable labour market, REC, July 2022
In this report, we show exactly how much damage could be done if we do not step up. With a 10% surge in demand for staff across the economy, and the labour market restricted by shortages, we could see a 1.2% fall in expected GDP and productivity by 2027 – costing the economy anywhere between £30 billion and £39 billion every year. This figure is just short of the entire current defence budget, or two whole Elizabeth Lines.
