RECRUITMENT plans by private firms remain “cautious” and pay restraint is now the norm, says a new report.
Research among 300 firms by the CBI and recruitment firm Harvey Nash found one in five plan to freeze pay to stay competitive. A third expect to recruit staff in the coming year, although one in five predict cuts.
CBI director-general John Cridland said: “Businesses have been creating jobs where they can over the past few months and it looks as though that steady trend of employment growth in the private sector is set to continue.
“But hiring plans are cautious and pay awards in particular remain low.”
TUC general secretary Brendan Barber warned against firms turning “crisis-averting wage restraint into a new norm”.