It is clear to all that Covid-19 and the subsequent lockdown measures have caused swathes of industries to restructure their businesses, some temporarily shutting down production and furloughing staff, some taking the decision to lay people off, some resilient enough to weather the storm and some sectors flourishing. With no fixed end in sight the uncertainty weighs heavily on people’s minds.
Social distancing is here to stay. When restrictions do finally lift, I’m confident it won’t simply be “business as usual”. Keeping everyone safe whilst ramping up production will be critical to companies striving to get back on track. Having spoken to a number of clients in recent weeks and during the past few days, we are starting to hear positive sentiment around production continuing, and increasing, albeit with a reduced workforce in most cases.
Unemployment will undoubtedly rise. However, the furloughing scheme is having a very positive impact on these numbers and hopefully it will last long enough to get through the most challenging times. On the first day of the application process, over 140k companies made financial claims for furloughed staff. With the 22nd April as the deadline for completing this period of claim, I’m sure these numbers will greatly increase. For every furloughed employee you could argue it’s a job saved.
Just like the financial crisis of 2008, unemployment rose sharply and at the time, it was hard to imagine how things would ever recover. The world did, and a lot quicker than you might remember. The same will no doubt happen again. As restrictions lift and reported cases dramatically drop, confidence will rise, and investment will hopefully flow. With investment comes jobs, and potentially lots of jobs. I think it’s fair to say that after all this, we may learn a thing or two. As a country we’re not as self-sufficient as we thought and our dependency on other countries has made us feel a little vulnerable. This in itself may spawn investment in new automated technology, new business start-ups and an increased appetite for stronger UK based supply chains.
“The team at Cartisian Technical Recruitment would like to extend their gratitude to the frontline services who are working tirelessly to save lives and to our valued customers, candidates and employees, we thank you, and wish you and your families well”.