Senior
managers believe that employment will rise but costs will also increase if
Labour is re-elected, according to a special Recruitment Confidence Index
report by Cranfield School of Management.
The
report shows that 31 per cent of managers anticipate that unemployment would
increase under a Conservative government compared to 19 per cent under Labour.
Over
two thirds of managers believe a re-elected Labour government would increase
employment costs, compared to 32 per cent for the Conservatives.
Nearly
half of the directors and managers surveyed in 535 organisations believe entry
to the euro would also increase employment costs, claims the report.
Shaun
Tyson, professor of HR management at Cranfield School of Management, said,
"Employers appear to believe that entry to the euro would increase
employment costs. This is a somewhat irrational view which we assume is based
on the assumption that entry to the euro would bring more regulation from
Europe."
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