Builders cut 3,200 jobs in 7 days

baby_boomer

And the ripples of unemployment gloom are starting to spread .

Telegraph

"Troubled housebuilder Persimmon will confirm tomorrow it has made around 1,000 staff redundant - bringing the total number of jobs losses announced in the sector in the past seven days to 3,200..........

.....The bad news will be compounded by the release of the KPMG/REC monthly survey of the employment market tomorrow, which will show that the number of permanent jobs available in Britain has fallen for the first time in five years. The findings will also reveal that the number of people looking for work rose in June.

It follows a warning from the Organisation for Economic Co-operation and Development that unemployment in Britain will rise by 100,000 over the next two years...."

## - For the housing market, there will be a knock on effect with some foreclosures, but it will also mean a shortage of available housing stock.

Roger Bootle in the Telegraph - All the signs of a recession are here

And it may take five years before a proper upturn.

"....As regular readers will be well aware, all along I have been pretty pessimistic about the economic outlook, arguing that the Brown "miracle" was a mirage, founded on a sea of debt and resting on an illusion of prosperity created by rampant house price growth and a yawning balance of payments deficit...."

sreppaw

I expect those are direct employees, most of the building work will be done by sub-contractors... How many of those will there be?

johnycoldears

There's actually a lot more than that. The press are only picking up on the National House Builders.

There are a lot of medium sized multiple discipline construction companies who are laying off and in some cases going under. Take Chase Norton Construction a £40million a year turnover company employing 120 -140 people who went under last week.

http://www.coventrytelegraph.net/news/coventry-news/2008/07/07/140-coventry-jobs-to-go-at-chase-norton-meriden-92746-21273580/

These kinds of examples are not yet being picked up in the national press . As someone in the industry I can tell you that it's starting to become a blood bath.

adr0ck

approx 150 small housebuilders have gone under so far

SouthCoast

And several of my local sites are mothballed.

carolt

Update:

http://www.guardian.co.uk/business/2008/jul/08/persimmon.housingmarket2

Persimmon lays off 2,000 staff as housing sales slump

Housebuilder Persimmon is laying off 2,000 staff - 40% of its workforce - after a slump in sales, and warned that conditions in the housing market remain tough.

The job cuts bring the combined job losses in the housebuilding sector to more than 4,000. Last week Barratt laid off 1,000 staff from its 6,500-strong workforce and closed six offices, while Taylor Wimpey, the biggest housebuilder by volume, axed 900 jobs. Smaller firm Kier Residential is to cut 300, about 60% of its staff.

Guy_Montag

The bit no-one seems to have pointed out is that the 2000 odd staff that are being made redundant are dwarfed by the number of subbies who suddenly won't be able to get a job for love nor money.

mr.broderick

baby_boomer wrote: »

And the ripples of unemployment gloom are starting to spread .

Telegraph

"Troubled housebuilder Persimmon will confirm tomorrow it has made around 1,000 staff redundant - bringing the total number of jobs losses announced in the sector in the past seven days to 3,200..........

.....The bad news will be compounded by the release of the KPMG/REC monthly survey of the employment market tomorrow, which will show that the number of permanent jobs available in Britain has fallen for the first time in five years. The findings will also reveal that the number of people looking for work rose in June.

It follows a warning from the Organisation for Economic Co-operation and Development that unemployment in Britain will rise by 100,000 over the next two years...."

## - For the housing market, there will be a knock on effect with some foreclosures, but it will also mean a shortage of available housing stock.

Roger Bootle in the Telegraph - All the signs of a recession are here

And it may take five years before a proper upturn.

"....As regular readers will be well aware, all along I have been pretty pessimistic about the economic outlook, arguing that the Brown "miracle" was a mirage, founded on a sea of debt and resting on an illusion of prosperity created by rampant house price growth and a yawning balance of payments deficit...."

So sad, horrible when even 1 person loses their job.

Zammo

Bring it on.

:beer:

mr.broderick

Zammo wrote: »

Bring it on.

:beer:

That tickled me zammo.
Somebody mentioned you and carolt in a post last week and made a comment about you wishing families break up due to job losses, credit squeeze etc. so you can afford a house. Is that true zammo?

fc123

mr.broderick wrote: »

That tickled me zammo.
Somebody mentioned you and carolt in a post last week and made a comment about you wishing families break up due to job losses, credit squeeze etc. so you can afford a house. Is that true zammo?

Zammo works in the jobcentre...so more 'clients' to keep him in work.