- 51% of HR leaders in the UK have either undertaken or are considering layoffs in 2024
- However, 65% of HR leaders in the UK have considered redeployments as an alternative
LHH, a leading integrated talent solutions provider and global business unit of the Adecco Group, today unveiled the findings of its 2024 Outplacement and Career Mobility Trends Report. The report reveals that amid the cooling employment market in the UK, 51% of UK HR leaders had either undertaken or are considering layoffs in 2024.
The strain is also being felt by UK employees with 42% voicing concerns about being laid off, as a fifth (20%) of UK HR leaders reporting the highest incidence of a hiring freezes - followed by Canada (19%), the United States (14%), and Australia (12%).
Turning the dial
The 2024 report looks to point to an increased focus on upskilling employees and a prioritisation of internal mobility to retain top talent. This comes as two-thirds (65%) of UK HR leaders reported considering redeployments as an alternative to layoffs. In fact, strategic talent management is on the agenda as over a quarter (26%) of UK organisations have a redeployment plan in place.
These retention strategies, which are designed to reduce employee turnover and foster employee engagement include generous benefits packages (25%), rewards and recognition programmes (22%), leadership development training programmes (22%), a culture where employees can easily grow their careers (22%) and manager effectiveness training (21%).
Stepping up support
Where layoffs are unavoidable, comprehensive support programmes help to ensure a smoother process for both the employer and the employee. However, the report paints a conflicting picture as there is a disconnect when it comes to the support reported by HR leaders and workers. Globally, nearly half (47%) of HR leaders stated that they offered mental health support, whereas only 14% of workers reported receiving.
Career coaching was also a topic for contention as 45% of HR leaders globally stated that they had offered outgoing employees this assistance, compared to the 1 in 10 (10%) of workers that actually reported receiving this support from their employer.
Battling burnout
When laid-off workers have access to the help they need, it reassures the remaining workers that if laid off someday, they’ll receive some level of support. The impact of layoffs however spans wider than the HR team and the affected employee, with a quarter (25%) of HR leaders globally noting that they are concerned about the increased workload for remaining workers causing burnout.
Worker’s burnout needs to be tackled head on to improve morale and ensure business continuity. As a result of burnout in their teams, 28% of workers globally said they thought about leaving their employer, and 21% said that they had become less engaged at work.
JC Townend, CEO at LHH for the UK and Ireland said: “Layoffs are a tense time for any organisation and in the last year, they presented some real challenges for many business leaders. However, we expect job openings to begin to recover in 2025, providing more openings for redundant employees, both within their existing companies and externally.
“Redundancy can also be a time when employees have the chance to really explore their career moves in the context of the changing job market – assessing their skills and interests, closing training gaps, and setting themselves up for long-term employability. Sometimes this can be done through redeployment into new roles within their existing company – it can be easier and cheaper to retrain them for jobs of the future than to pay severance and seek candidates in hard-to-fill roles externally. And sometimes this is landing a role externally. Regardless, companies can support their brands and their workforce by providing the coaching and reskilling to help these employees land on their feet.” Added Townend.
The report also revealed the top reasons for employees staying in their role, with half of employees globally (50%) stating that flexible work options kept them content. Nearly a third (31%) reported that a culture where career and skills development are supported meant that they had stayed with their employer.
The 2024 Outplacement and Career Mobility Trends report features findings from 3,011 HR leaders and 8,101 white-collar workers across nine countries, including the UK.
About LHH
LHH is an integrated talent solutions provider helping people, teams, and organizations prepare for what's next in the future of work. Through Career Transition & Mobility, Leadership Development, and Recruitment Solutions, our end-to-end offerings allow us to work across the entire talent journey to help future-proof organizations and careers all over the world.
With over 8,000 colleagues and coaches spanning 60 countries worldwide, LHH combines global infrastructure with industry-leading technology and local expertise to help more than 15,000 organizations and nearly 500,000 candidates each year.
LHH is a global business unit of the Adecco Group, the world's leading talent advisory and solutions company, headquartered in Zurich, Switzerland.