The Chancellor’s Scrooge-like hike in National Insurance for employers has seen part-time job vacancies drop for the festive period.
Rachel Reeves has been accused of killing the Christmas jobs market with her budget (Image: Getty)
Companies are saying ‘bah humbug!’ to recruiting part-time staff this Christmas as it appears the Chancellor’s decision to raise National Insurance for employers could lead to the extinction of the seasonal job market.
Under-fire Rachel Reeves has already earned the ire of pensioners and unions over winter fuel payment cuts and dismayed farmers by slapping them with a new brutal inheritance tax.
And now it seems those wanting to act as Santa’s little helpers in roles this Christmas could find it hard to secure a job as figures show the number of positions being advertised has plummeted.
According to figures from the job platform Adzuna, the number of part-time vacancies has fallen to a level not seen since the middle of the Covid pandemic.
The Telegraph reports, senior sources in the retail sector believe consumer confidence has also been hit by the October Budget and the demand for seasonal workers is therefore down. Huge employers like supermarkets have already warned Ms Reeves’ Budget will result in “inevitable” job cuts.
Rachel Reeves (left) has received more budget backlash over Christmas jobs (Image: Getty )
The research by Adzuna shows the number of Christmas jobs advertised has dropped by more than 30%, from 31,843 roles in November 2021 to just 21,576 this November. The figure for this year is also down several thousand from 24,699 in 2023.
Employer National Insurance rates will increase from 13.8% to 15% from April and the threshold on employee earnings at which NI applies will also drop from £9,100 to £5,000.
Accountancy firm Ridgefield Consulting warned the raid on employers would force smaller firms to skip hiring seasonal staff.
Simon Thomas, Ridgefield’s managing director, told the Telegraph: “We have noticed through our payroll and bookkeeping services, that we are seeing similar trends emerge among our clients, with many scaling back hiring or automating roles to manage rising employment costs.
“Seasonal hiring has faced significant challenges, particularly in industries such as retail, hospitality, and logistics.
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The Chancellor has so far been backed by the PM over her Budget decisions (Image: Getty )
Simon Thomas, Ridgefield’s managing director, told the Telegraph: “We have noticed through our payroll and bookkeeping services, that we are seeing similar trends emerge among our clients, with many scaling back hiring or automating roles to manage rising employment costs.
“Seasonal hiring has faced significant challenges, particularly in industries such as retail, hospitality, and logistics.
“These sectors are already under pressure from the cost of living crisis and tighter restrictions. As a result, businesses are finding it increasingly difficult to justify the hiring of temporary staff during peak periods.
“Consequently, many are choosing to reduce the number of new hires or cut back on the working hours of temporary employees.”
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