- The staff shortage has now become a critical issue for the UK’s economy as more than three quarters of UK businesses are suffering from shrinking trade and slower growth.
- The skill shortages have increased due to the pandemic, rising costs and Brexit and has affected the performance of businesses.
- Approximately 78% of businesses said they had seen fall in profitability, output and growth.
The skill shortage has now become a critical issue for the UK’s economy. As per a recent report, more than three-quarters of UK businesses are suffering due to the shrinking trade and growth rates across the country.
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The skill shortages due to the pandemic and Brexit have affected the performance of businesses. Around 78% of the businesses have said that they have seen a drop in their profitability, output, and growth. Another 28% had reported that they had to shut down operations due to manpower-related problems.
Besides the fall in productivity and output, businesses have been struggling with overload on the existing employees and are worried about the employees’ well-being. Of those surveyed, 72% of them hinted that the workload on existing employees is immense due to the staff shortage.
In May, the Office for National Statistics (ONS) said that the job opportunities have gone up to a record high of 1.3 million. The hospitality sector reported the most as it saw a huge demand after the economy reopened post-pandemic.
Investors can look at these three FTSE-listed staffing and employment stocks to keep a check on the market.
Parity Group Plc (LON: PTY)
Management consulting company Parity Group Plc had a market cap of £8.63 million on 29 June. The FTSE AIM All-Share company's YTD was positive at 20.07%, while its one-year return dipped and was at -18.15%. Its Return-on-Equity is -9.31% in the last twelve months, its shares were trading at GBX 8.38, at 8:09 AM (GMT+1) on 29 June.
Robert Walters Plc (LON: RWA)
British recruitment company Robert Walters Plc is engaged in placing professional talents in different types of jobs across the globe. As of 29 June, the FTSE All-Share company holds a market cap of £361.30 million. The share value has dipped in the last one year, the Year-to-Date return was -38.96%, while its one-year return stood at -34.09%, as of 29 June. With a Return on Equity (ROE) of 19.47% in the last twelve months, its shares were trading at GBX 470.00 at 8:09 AM (GMT+1) on 29 June.
Pagegroup Plc (LON: PAGE)
The Surrey-based recruitment company is engaged in offering recruitment consultancy and other ancillary services to its clients in the United Kingdom, Asia Pacific, Americas, and EMEA (Europe, the Middle East, and Africa) regions. As of 29 June, the FTSE 250-listed company holds a market cap of £1,372.31 million. Its share value has gone down in the last one year, its Year-to-Date return was -35.66%, while its one-year return stood at -31.21%. With a Return on Equity (ROE) of 36.08% in the last twelve months, its shares were trading at GBX 431.60, down by 0.96%, at 8:09 AM (GMT+1) on 29 June.
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