Labour shortages increase potential industrial muscle for workers

Today’s FT is full of news about how labour shortages are hitting the economy in numerous ways as a result of multiple market failures [£] which includes the pandemic, the pingdemic, market failure but obviously, we can’t add brexit to that list because UK newspapers don’t.

Supply-chains are suffering [£] – everything from the things we’re hearing about (no McFlurrys, empty shelves at Sainbury’s, temporary Nando’s closures etc, though to more serious worries around semiconductor shortages that can throttle manufacture of a widerange of manufactured goods (cars, domestic appliances etc).

Other stock-level shortages are combining to make manufacturers struggle to meet the resurgent demand (traditionally, like rising wages caused by labour-shortages,  a worrying harbinger of inflation.

There’s a very good thread here from Sarah O’Connor (not the mum in Terminator – the FT columnist) on the perfect storm that has hit truck drivers (that includes IR35) here – well worth a read for people looking at the labour market of all sectors of the economy – particularly freelance sectors:

(Sarah has written this up properly here [£])

Pigs will be pleased – they aren’t getting slaughtered at the planned rate [£]) while also “boosting worker’s clout [£]” (though it doesn’t seem to be able to find any examples of organised labour mobilising around this).

Update – employer confidence at nine year high – CIPD.

This entry was posted in Coronavirus, Economics, Employment, EU & Brexit, Gig economy workers, Inflation, IR35, Migration & working abroad, Pay & inflation, Productivity and tagged , , . Bookmark the permalink.

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