Redundancies set to rise in 2011, report predicts

There is likely to be a rise in the number of redundancies this year, a report has suggested.

The Chartered Institute of Personnel and Development (CIPD) Labour Market Outlook was released earlier this week in partnership with KPMG.

It predicted that as the public sector cuts are implemented, the number of employees who are let go from their positions will rapidly increase.

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More companies could therefore seek dispute resolution advice as a result, as 77 per cent of local government bosses are planning to make reductions to their working teams.

The report also showed that redundancy intensions have increased to their highest level and more than half of public sector employers are preparing to make their members of staff redundant during the first three months of the year.

Earlier this month, the CIPD's Employee Outlook Survey revealed that 31 per cent of employees in the public sector consider themselves to be at risk from redundancy.

Posted by Ross George