Hiring plans among British businesses have slipped to their lowest level since the COVID-19 pandemic, with wage growth cooling, according to Reuters citing surveys published on Monday. The Chartered Institute of Personnel and Development (CIPD) said just 57 per cent of private sector employers intend to recruit staff over the next three months, the weakest reading since early 2021. The HR body cited higher employer social security charges, a higher minimum wage, and planned changes to employment law as weighing on hiring, particularly in hospitality and social care. CIPD economist James Cockett said upcoming rules that could make it harder to dismiss staff in their first two years were discouraging firms from hiring less experienced workers. Separately, the Recruitment and Employment Confederation (REC) reported that growth in starting salaries slowed in July to its weakest pace since March 2021, while temporary pay rises were the smallest in five months. REC noted that higher payroll costs and weak business confidence had contributed to a sharp drop in permanent hires. The data comes ahead of official figures on Tuesday, expected to show the unemployment rate steady at 4.7 per cent, near a four-year high, as the Bank of England monitors signs of easing domestic inflation pressures. Attribution: Reuters Subediting: M. S. Salama
