Unemployment could hit 7 million

macaque_2

The truth is that it will be cut by an average 2.3pc a year over this period - actual cuts of £22bn a year. Brown has never admitted this, nor have the Tories raised it - fearful of being asked what they would cut.

http://www.spectator.co.uk/coffeehouse/3674858/facing-browns-spending-deceptions.thtml

Cuts of £22b a year over four years amount to 4 million fewer jobs (based on average salaries). On top of this, private sector jobs are still dissapearing at a rate of 100,000 a month.

If an unemployment catastrophy is be avoided, the UK needs a cultural revolution. That means a much smaller and cheaper public sector, lower taxes and much less red tape. It also means greater tolerance of risk and less tolerance of monopoly power (big manufacturers, NHS, rail companies, utilities etc).

nearlynew

You won't often here me quoting kirsty allsop, but ...........




"CHRIST ALMIGHTY!"

amcluesent

The small part of the public sector I know is hugely inefficient, you could make 20% savings very easily by stopping relying on contractors & consultants who all invoicing at £800 to £1500 A DAY for their 'contribution'.

Anyhow, it's the £££ billions being passed out in benefits to scroungers that needs cutting most, not the numbers of AOs and EOs in some Swansea paper-factory.

BTW, if you include those on IB etc., the number of peeps of working age not economically active is already 8,000,000. So with the depression and cut-backs in the public sector, the number of people idle would be nearer 11,000,000. I predict a riot!

Broken_hearted

amcluesent wrote: »

Anyhow, it's the £££ billions being passed out in benefits to scroungers that needs cutting most, not the numbers of AOs and EOs in some Swansea paper-factory.

Yawn same old rubbish

mbga9pgf

But strangely irrefutable....

Great argument btw BH...

beingjdc

This is odd. You're worried that public sector cuts will cause a further spiral in unemployment, but you think the solution is public sector cuts?

SavvyMail

The problem is you take forecasting figures (percentage spend cuts) which are rightly correct, then assume every penny that is being cut is through laying people off work - which Fraser doesn't mention in his article. Your "7m" figure is wildly inaccurate. I could say that by the end of that same period only 500,000 people are out of work through other factors such as a rebound of the economy with public and private sectors employing MORE people.

The real problem is public sector are often overpaid and it's near impossible to be sacked from a position. This is not a presumption by myself, this is through my own experiences.

Dan:_4

70% Club still going strong.

Good Effort.

I_luv_cats

How can we create jobs when we have hardly any industry anymore??

We had all these retail /service sector / banking jobs built on a sea of credit!!!! We can't return there once more!

When I left school we had loads of factories here e.g. Rexel / Antiference / Hozelock / Ford / Leyland

Heyman_2

Y'know macaque, with your continued sensationalism and fear-mongering, i reckon you've got a long career in journalism ahead of you, you and the other fear-merchants on this thread.

You all really need to get out more and stop bashing the doom-bible!

mbga9pgf

Heyman wrote: »

Y'know macaque, with your continued sensationalism and fear-mongering, i reckon you've got a long career in journalism ahead of you, you and the other fear-merchants on this thread.

You all really need to get out more and stop bashing the doom-bible!

Lets be honest about this, 7 million is a ludicrous figure. Thats not to suggest however the basic logic is correct. We have a huge, and I mean huge deficit that will need correcting even before we start to pay back debt. The interest alone on these debts are starting to cripple the country, the interest payments even at these low rates is equivalent to the entire UK defence budget!

I think this is going to have a very bad effect on employment, but 7 million is going too far. I think we can expect figures in excess of 3.5 million one the government changes and election pressures subside. The next government have an onerous task, recovering our economy whilst having the worst debt since world war 2, at a time the rest of the globe has big economic issues to boot.

Not great.

As for difficulty in sacking the civil service, just wait and see... Last time the Civil service went on strike, did anyone really notice? I didnt. A few parking fines didnt get paid and the planning office didnt fine someone for building a house. Its hardly as if most of the council would be missed would they?