Employment market should not be put at further risk by tax on jobs

REC comment on news that the total number of people out of work has risen to 1.92 million over the past month, the highest level for more than a decade. This is an increase of 85,000 on last month.
Responding to the latest figures, the Recruitment & Employment Confederation’s chief executive Kevin Green said: “This gives great cause for concern but the recruitment industry will respond by working with Jobcentre Plus in getting people back into work as soon as possible.
“However, this can only be achieved if the Government does not make matters worse by removing the VAT Staff Hire Concession which will result in up to 150,000 temporary jobs being put at risk in the financial services, education, health-care and charity sectors.
“It is in the interests of the economy that recruiters, employers and jobseekers are given every incentive by the Government to ensure the labour market is not damaged further by this ‘tax on jobs’.
“We shall continue to lobby the Government and tell it in the strongest possible terms that such measures are totally counter-productive in the current economic climate.”

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