By Marcus Leach
Figures released by Reed today, Tuesday, predicted that job opportunities in the private sector would continue to fall over the next two years.
Jonathan Russell, a partner at ReesRussell, believes the figures are slightly skewed for April due to the double bank holiday.
“It may well be that job opportunities in the private sector are falling as a result of successful recruitment and this may result in unemployment growing less than possibly anticipated," Jonathan Russell, a partner at ReesRussell, said.
“April had very short working weeks and few employers would be releasing new job opportunities when people were so unfocused on work. It may well be that we now see an increase in opportunities, in particular, short term opportunities to cover summer holiday breaks.
“For the Government, there still remains the underlying problem that public sector redundancies do not necessarily mean jobs are created in the private sector. One would hope that most redundancies are people surplus to the needs of efficient delivery or providing unwanted services. This means there is no function for the private sector to fill which in turn means no new jobs are created.”
Spencer Wright, Chief Executive, Dains LLP, also commented.
“Even with the best efforts, there will be a time delay before the private sector can replace jobs vacated by the public sector. Key initiatives such as the recently announced Enterprise Zones, whilst very welcome, will take time to take effect," he said.
“Here in the West Midlands the Enterprise Zone strategy put forward by the Greater Birmingham and Solihull Local Enterprise Partnership has the potential to create 100,000 new jobs but this will be spread over the next 5-10 years."