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CBI survey finds three quarters of firms worried about labour shortages

A survey carried out by the CBI has revealed that three quarters of UK businesses are concerned about the impact of labour shortages on competitiveness.

21 Sep 2021

A survey carried out by the Confederation of British Industry (CBI) has revealed that three quarters of UK businesses are concerned about the impact of labour shortages on competitiveness.

The survey found that 87% of firms are planning on recruiting this year, and seven in ten businesses are planning to increase pay in line with or above inflation.

Three in five firms are retaining coronavirus (COVID-19) safety measures in order to support employees in returning to offices.

Matthew Fell, Chief Policy Director at the CBI, said: 'After a challenging year it's encouraging to see the jobs market rebound. With demand returning, businesses both small and large have put their recruitment plans into action. But as the UK's labour market emerged from one crisis, it's been plunged into another, with shortages holding back growth.

'Whilst firms have been stepping up to address labour shortages through further investment and training, these steps take time and do little to ease the pressure firms are facing now. From logistics to hospitality, firms are feeling strain across the whole economy, and expect this to continue not just for two months but two years.'

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