Anticipated cuts in public sector jobs will make it difficult
for the West Midlands to maintain the latest fall in unemployment
figures announced today, said business leaders.
Katie Teasdale, head of policy at Birmingham and Solihull
Chamber of Commerce and Industry (BCI), said: "Given the national
trend which shows a rise to a 16-year high of 2.5 million and the
severity with which our region has been affected by the recession,
it is pleasing to see that unemployment fell by 6,000 to 253,000 or
9.5% of the working population between December and February.
"This is testament to the hard work of multiple public agencies
as well as employers who have fought to avoid redundancies and keep
their staff despite at times, appalling business
conditions.
"Our Quarterly Economic Survey for Quarter 1 reinforced that
businesses are still implementing measures like reduced hours and
part-time working to retain staff.
"It will be extremely difficult for the West Midlands to
maintain this trend in the coming months. Partly because rising
unemployment as a lagging factor tends to accompany the first
shoots of recoveries, but more seriously because of the anticipated
cuts in public sector employment post-election.
"To combat this, we are continuing to urge all parties to commit
to a complete reversal of April 2011's NI rise and to focus upon
creating the business environment which will allow our members to
create jobs."