Gordon McLellan, Commercial Director of hr inspire, shares his thoughts on last week’s Spring Budget:

“Extending the Furlough scheme until September is a double-edged sword. The scheme will continue to be a great support to help protect the economy, businesses and jobs but long term it could leave businesses feeling obliged and believe they need to keep their people structures and headcount in place due to the Furlough support and the Government’s employment push. However, all businesses know their current market challenges and the risks of a slow market recovery and must start to act now to prepare their business and to stabilise for the next 12 to 24 months. The dream of an avalanche of spending is in my opinion only going to happen in the hospitality and retail areas for the Summer.”

Apprenticeship boost

“As an HR consultancy, we can see clear long term benefits for employers from the Chancellor’s £126m boost for traineeships and the increased cash incentives of £3000 to businesses that take on an apprentice, regardless of age. This scheme will greatly improve employment opportunities and provide confidence to SMEs to continue to recruit if there is a need and to develop specific skills.”

Transitioning the workforce

“The Chancellor’s array of financial support packages in today’s budget does mean that the Government’s debt increases by £100+ each second of the day, reinforcing the need for many businesses to be able to return to normal working locations as soon as possible, which for some employees means the choice of being able to work in the office. The move back to the office will be a tough challenge though with many having worked remotely for so long, but the Government does need to take a lead in this process to get offices returning to normal operations as soon as the safety of employees allows.”

 

 

 

By Lisa Baker, Senior Editor

Senior Editor Lisa Baker is the owner of Need to See it Publishing Group, providing contract news for business and news sites across the UK. Lisa is an experienced HR writer and commentator, editing HR publications for more than 5 years.