According to the 2024 Outplacement and Career Mobility Trends Report, one in five UK HR leaders have implemented hiring freezes this year, reflecting the broader cooling of the job market.
The UK leads among surveyed countries, with 20 percent of HR leaders reporting hiring freezes, compared to 19 percent in Canada, 14 percent in the United States, and 12 percent in Australia.
The report further reveals that 51 percent of UK HR leaders have either undertaken layoffs or are considering them in 2024. This has heightened employee anxiety, with 42 percent of workers expressing concerns about job security.
Strategic Shifts in Talent Management
In response to these pressures, UK companies are increasingly focusing on internal mobility and employee upskilling as alternatives to layoffs. The report notes that 65 percent of HR leaders are considering redeployment strategies to retain talent, with 26 percent of UK organisations already having such plans in place. These strategies are supported by a range of employee retention initiatives, including generous benefits packages (25%), leadership development programmes (22%), and manager effectiveness training (21%).
Disconnect in Employee Support
Despite these efforts, the report highlights a significant gap between the support HR leaders believe they are providing and what employees report receiving. While nearly half (47%) of HR leaders globally claim to offer mental health support during layoffs, only 14 percent of workers say they have actually received this support. Similarly, 45 percent of HR leaders report offering career coaching to outgoing employees, yet only 10 percent of workers confirm receiving it.
Addressing Burnout and Looking Ahead
The impact of layoffs extends beyond the affected employees, with 25 percent of HR leaders expressing concern about the increased workload on remaining staff leading to burnout. This issue is underscored by the finding that 28 percent of workers globally have considered leaving their employer due to burnout, and 21 percent have become less engaged at work.
Looking ahead, JC Townend, CEO of LHH UK and Ireland, remains cautiously optimistic. “Layoffs are challenging, but we expect job openings to recover in 2025, offering new opportunities for displaced workers both within their current companies and externally,” Townend said. She emphasised the importance of providing coaching and reskilling support to help employees navigate these transitions and maintain long-term employability.
The report also sheds light on what keeps employees in their roles, with 50 percent of workers globally citing flexible work options as a key factor in their job satisfaction. Additionally, 31 percent highlighted the importance of a workplace culture that supports career and skills development.
The 2024 Outplacement and Career Mobility Trends Report is based on data from 3,011 HR leaders and 8,101 white-collar workers across nine countries, including the UK.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
