One in three employers are likely to implement staff redundancies by early next year, according to new research.
A survey of 1,000 businesses, conducted by the conciliation service Acas, found that larger companies are more inclined to lay off staff than smaller firms.
Kevin Rowan, Acas’s director of dispute resolution, highlighted the findings, stating: “The results of our poll reveal that a third of businesses are considering redundancies by the start of next year.”
He urged organisations to exhaust all alternatives before considering job cuts.
Rowan emphasised the legal obligations involved, adding: “Organisations should look at all possible alternatives to redundancies first, but if employers conclude they have no choice, then they have legal requirements they must follow.”
He warned that failing to consult staff early could lead to a “costly legal process.”
The news comes at a time when some of the UK’s biggest companies are set to implement cuts across their workforces.
It was reported last month that staff at BBC News were told to expect significant redundancies with the division reportedly set to cut costs by around 15 per cent.
As many as 2,000 jobs were believed to be at risk in a major downsizing for the broadcaster. The changes are part of the largest round of job reductions at the BBC in almost 15 years.
The cost-slashing plan was set in motion just weeks before former Google boss Matt Brittin assumed the role of director-general later in May.
His appointment came after former director-general Tim Davie resigned in November. His resignation followed accusations of bias over the editing of a clip of a Donald Trump speech in a Panorama documentary.
Richard Burgess, the director of news and content, said on a video call with around 300 employees of BBC News, that the entire news division can expect to have to make cost cuts of “around 15 per cent”.
“Most of our savings are people, frankly,” he told staff, as reported by The Guardian.
“[The cuts will be] 15 per cent of our income. Our income is not entirely salary bill as we have other things as well, although it is the majority.”
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