With the UK set to leave the EU on 31st October, 40 percent of employees in the UK say that Brexit has resulted in their company cutting jobs, according to a new survey. The online survey, conducted by The Harris Poll on behalf of Glassdoor, shows the extent to which employees are worried about redundancies at their employer and how concerned they are that their own job might be eliminated.
With Brexit constantly in the news, employees are clearly conscious of the impact this is having on their employer. Half of employees (50 per cent) say that Brexit has had a negative impact on their company’s financial performance. Further, nearly half (49 percent) say they believe their company will make redundancies over the next year.
In a sign that many people are fearful for their job security, nearly half of employees (48 per cent) say they are worried their job may be made redundant over the next 12 months. Workers aged 18-44 are more likely than those aged 45+ to be worried about job security (59 per cent vs. 33 per cent). These fears may be leading to a change in spending habits as a precautionary measure. Over half of employees (57 per cent) say they have consciously reduced the amount of money they spend every month in case their job is made redundant. Again, this is more prevalent amongst employees aged 18-34 (68 per cent) and those aged 35-44 (65 per cent), compared to those aged 55+ (35 per cent).
John Lamphiere, EMEA Managing Director at Glassdoor, commented,
Many UK employees are anticipating job cuts and are naturally concerned, prompting them to reduce their financial outgoings. Despite current low unemployment levels, this likely means the UK labour market is experiencing uncertainty and that looks set to continue well into the next financial year.
With roughly half the workforce worried about Brexit having a negative financial impact on their employer, it might be a good time for companies to engage with their employees to reassure them about jobs, growth and business momentum.
In terms of looking for a new job, about two thirds (62 per cent) of employees say they do not plan to search for a new job until the job market looks more positive.
This suggests employers may need to work harder to recruit quality talent in the near term. However, it may well be that knowledge workers, in other words those leveraging specialised skill sets or capabilities and being career-focused, would be more open to a job move.
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