Employers are putting on the brakes when hiring staff in times of bleakness on the labor market

Employers have ‘slammed the brakes’ on hiring amid Labor’s foreboding and fears over workers’ rights plans.

New research shows bosses delayed hiring in September due to unclear government policy.

It comes ahead of this month’s budget and plans for an employment law shake-up.

An index that tracks the number of permanent vacancies showed a further decline last month.

The KPMG and REC study came to a score of 44.9. A figure of less than 50 indicates that the workforce has decreased.

Putting on the brakes: New research shows bosses delayed hiring in September due to unclear government policy

A separate employment index from accounting firm BDO recorded the lowest level since January 2013.

Neil Carberry, CEO of REC, said: ‘This is a picture of a labor market waiting for a signal… confidence is not yet high enough to push the button.’

KPMG’s UK chief executive Jon Holt said the slowdown was “to be expected as companies hit the brakes on hiring ahead of the budget and wait for clarity on tax, business and economic policy.”

BDO’s Kaley Crossthwaite said that ‘companies are looking for a clear roadmap’.

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