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With budget cuts looming, the TUC has released research which indicates a disproportionately high number of jobseekers compared to vacancies. In Hackney, the local authority with the worst ratio, there are 23.9 JSA claimants to every job vacancy. This is balanced by areas in the South East and South West which have ratios of better than 4:1, but this still leaves an average of 5:1 for the whole country.
Brendan Barber, general secretary of the TUC, has suggested that this situation is only set to worsen once the emergency budget is announced. Rather than fixating on the deficit, he says "[the government] must instead focus on getting people back into work and the economy motoring again." He goes on, "this country needs investment, not a spending axe."
Despite the grim figures for Hackney, the research reveals a very clear north-south divide. The North East is a blackspot for high claimant-to-job ratios and the Wirral also features in the top 10 worst affected regions. North Ayrshire and East Renfrewshire follow Hackney most closely, with ratios of 18.6:1 and 17.8:1 respectively. Unemployment figures set to be released tomorrow are expected to show the level remaining at around 8%. It is unlikely that this research will make a dent in the government's plans so soon before the budget is announced, but it's vital that the implications of spending cuts aren't overlooked.
Companies like Careerplan4.me will continue working to help jobseekers gain a competitive edge, but this work will only remain a success if the jobs exist at all. The TUC's warnings must be heeded before any more damage is done to the UK job market.
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