UK facing one million job cuts in 2020 due to virus — study

UK facing one million job cuts in 2020 due to virus — study

Wednesday, September 16, 2020

Print this page Email A Friend!


LONDON, United Kingdom (AFP) — Coronavirus could potentially cost one million jobs in Britain this year, with most losses anticipated during the current third quarter according to a study published yesterday.

Job losses could hit 450,000 between July and September, the Institute for Employment Studies (IES) forecast in a report, warning this could worsen to 690,000 positions under a worst-case scenario.

Another 200,000 cuts could follow in the fourth quarter, or three months to December, the research group predicted.

Recent official data showed that Britain has already shed around 240,000 jobs in the first six months of 2020.

The latest IES forecasts, based on official Insolvency Service data, could therefore bring the annual total to more than one million.

“This data lay bare the scale of the jobs crisis that we're facing in the autumn,” said IES Director Tony Wilson in the study.

“The sad reality is that this restructuring cannot be averted entirely, but we can do a lot more to minimise the job losses and support those who are most at risk,” he said.

The dire IES forecast come amid growing concern about the end of the British Government's jobs retention plan which was launched in the wake of the March 23 nationwide virus lockdown.

In October, the UK Government will wind up the so-called furlough scheme, under which it has paid up to 80 per cent of private-sector wages for around ten million workers during the pandemic.

Analysts have repeatedly warned this would result in soaring unemployment across Britain.

“There are still many parts of the economy where perfectly viable businesses cannot bring people back because of the ongoing disruption caused by the pandemic,” warned Wilson at the IES.

Britain's economy shrank by a fifth in the second quarter, more than any European neighbour, as the lockdown plunged the country into its deepest recession on record.


Now you can read the Jamaica Observer ePaper anytime, anywhere. The Jamaica Observer ePaper is available to you at home or at work, and is the same edition as the printed copy available at http://bit.ly/epaper-login


ADVERTISEMENT




POST A COMMENT

HOUSE RULES

1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper � email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.

6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.

7. Lastly, read our Terms and Conditions and Privacy Policy



comments powered by Disqus
ADVERTISEMENT

Poll

ADVERTISEMENT
ADVERTISEMENT

Today's Cartoon

Click image to view full size editorial cartoon
ADVERTISEMENT