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CIPD Data Analysis

The report which we’ll be making is about the impact of Brexit on different organizations of UK

and their recruitment and employment processes. We’ll also be making a comparison between

the organizations of public sector and also of the private sector by using the information which

we’ve been provided with by YouGov plc which is the chartered Institute of Personnel and

Development and the Adecco Group. The data which we’re going to analyze today has been

collected between the dates of 25 March 2020 to 7th of April in 2020. The research department of

the business school of our university has taken this work as they were offered to do some

consultancy work by the government of the country. The Government wants to know about this

information because they are interested in assessing and analyzing the impact of Brexit on the

organizations of UK and what their recruitment and employment processes and procedures are so

that they can base their further actions according to the results they get.

The Government is also offering up this consultancy work because they are interested in

examining and analyzing whether various organizations in the country are planning and plotting

to grow or shrink their workforce with time to fit in their needs. They also want to know what the

potential market for new staff will be in the coming years as the hiring process will depend on

what the status of the market is after a few years. The Government is very much keen on
knowing whether they should come up with a new planned program and whether a new points

based immigration system would be seen as problematic in operation in the future. For all of this,

we’ll be analyzing the given data in order to understand the information required by the

Government and select the questions which we wish to analyze upon to provide the information

required. I’ll also be highlighting the interesting findings which I’ll find when analyzing the data.

So, if we start by the question that whether Brexit will impact the recruitment process of an

organization and whether it will reduce the workforce in UK, the answer will be a yes because

EU Nationals make up to around 7% of the overall UK workforce and the end of this free and

undisturbed movement between the countries of Europe will have a serious and damaging impact

on recruiters and the business organizations that normally rely and depend on EU migrants as

most of their workforce consists of migrants who have come from different countries to UK for

the quest of finding a job. Most importantly, we are all going through a pandemic which has

seriously affected the recruitment process of organizations anyway as they were forced to cut

down because of loss in business. If we combine it with the exiting from Brexit, we’ll see that

the economy of UK will be negatively affected even further as we come out of the Covid

pandemic. The companies situated in UK will be less likely and less keen to hire new staff and

this means that there will be even fewer job openings and therefore, the competition will be even

tougher as many people will struggle to get a job which they want and the organizations will

have to change their policies of recruitment as the situation will be very different.

So, the first question which I’ve selected to analyze upon in this report is that is your

organization planning to recruit employees in the next three months? It is very important to find

this out as this will show the new potential recruitment policies of different organizations and

whether they want to increase their workforce during this time. This will show how the
companies plan to change their current hiring policies and how keen they are in getting new

employees after the exit of UK from the European Union (Brexit). So, A is the private sector

which contains information regarding private organizations. B is the public sector and it contains

information regarding the recruitment process of the public organizations. C is the voluntary

sector which can be explained as a sector which contains organizations whose primary and main

purpose is to create social impact rather than profit. It means that the main goal of these

organizations is not to earn profit and have a large sum at the end of the year. Their main focus is

on bringing a social change instead of just earning profit. It is also called the third sector and the

civil society. These are mainly non-profit or not-for-profit organizations that are for the

betterment of the society. So, coming back to the question, the unweighted base was 2053 for

this question which means that the total number of organizations before any weightage was

applied. The Base number was also identical as it was also 2053. The unweighted base for the

private sector (A) was 1453 while it was considerably less for the public sector (B) as the

unweighted base for public sector was 427. For the third and the voluntary sector (C), the

unweighted base number was 193 and for the private sector with the size of about 2-249, the

unweighted base number was about 781. Lastly, for the private sector which is considered large

as it contains more than 250+ employees, the unweighted base number was about 652. The

weighted base number was 1560 for private sector, 349 for public sector, 144 for third or

voluntary sector, 708 for the private sector organizations which are considered smaller as they

have around 2-249 members while it was 852 for the private larger sector large organizations

with more than 250 employees.

So, if we come to the number of organizations that said yes, no or don’t know, we have a wide

range of data. Around 532 of the private sector organizations said that they’ll be planning to hire
new employees in the period of the next three months. The public sector organizations were

around 217 which said that they’ll be hiring new employees in the next three months. The

number is considerably less if we compare it to the private organizations and I think that the

main reason for this is that the public sector has employees for a long period of time and they

have a specific time of retirement and the employees tend to stay in the public sector for a longer

period of time and because of this, the space for the new employees is very less as compared to

the private sector. 63 voluntary sector organizations said yes that they’ll be hiring new staff in

the next three months. For the private sector organizations of the size 2-249, 150 of them said

that they plan on recruiting new staff in the next three months while the large private sector

organizations containing more than 250+ members, 382 said that they’ll be hiring.

If we come to the number of organizations that said no, we see that a lot of the private sector

organizations said no. This is because of the impact of Brexit as many private organizations have

been hit hard as they had a lot of migrant employees from the other European countries that’ll

now face several difficulties in keeping their jobs. 94 of the public sector organizations said that

they’ll not be hiring new staff. This is low if we compare it to the private organizations and the

reason is that such organizations in the public sector had less impact of Brexit as the public

sector is under control of the government and they normally have employees from UK who are

not very much affected by the Brexit. 70 organizations of the third sector said that they’ll not be

hiring new staff. When we come to the private organizations, 498 of the smaller ones with less

than 249 members said that they’ll not be hiring while the large ones with more than 250+

employees said that around 371 of them will not be hiring.

Now, we will move towards the data which we have for our next question which was asked to

the organizations. The question was that is your organization planning to make any redundancies
during the next three months? We saw that the answers were mixed and we kind of have an

unexplained data which is not following a specific pattern. The total unweighted base number

was 2053 for this question too and the base number is also identical. For the private sector, it is

1433, 427 for the public sector, 193 for the third and the voluntary sector, 781 for the small

private sector organizations and 652 for the large private sector organizations with more than 250

employees. If we talk about redundancies, many organizations had to make redundancies

because of Brexit as they had to let go of employees who were Non-residents of UK because of

the exit as the policies were changing. If we combine it with the current ongoing pandemic, the

redundancies have increased a lot as the organizations are not in need of new employees because

of different factors. Around 362 of the private sector organizations said that they’ll be making

reductions in the next three months which is not a huge number and it shows that the

organizations do care about their employees as they know that it is a hard time. 60 of the public

sector organizations said that they’ll be making reductions. This is even a much smaller number

than the private organizations. Again, the reason is the same which I stated in the above question

that the organizations have less migrant employees and more local employees and they do not

have much need to do any kind of reductions. Around 24 of the voluntary organizations said that

they’ll be making a reduction which is even a lesser number as they are the ones who are not

working for the profit and they care more about the employees of their company. 110 of the

private organizations with less than 249 employees said that they’ll be making a reduction while

252 of the larger ones said so as they have to bear more financial loss.

If we come to the number of organizations that said that they’ll not be making organizations, the

number was really high which does show that most of them were not willing to do so. About 778

of the private sector organizations said so. The number was 231 for the public sector
organizations and we can see that the number is pretty less than the private sector. 94 of the

voluntary organizations also said no. The number for the large and the smaller private

organization was 419 and 358 respectively. If we talk about the question, it was that thinking

about the next three months, what will be the overall effect of recruiting new staff and/or making

redundancies. The responses were pretty definite and the information which we have related to

this question tells us a lot about the impact of Brexit and how organizations plan to work now

with new policies. 719 of the private organizations said that they’ll be maintaining total staff

level, 200 of the public sector organizations said so. We can see that the number of public

organizations that said so is quite less than the private ones. 89 of the voluntary sector

organizations said so and the number is fine considering the less number of such organizations in

the country. 373 of the small private ones said that they’ll maintain the staff level while 346 of

the larger ones also said so. Here, the number is almost similar which shows that the number of

employees did not matter here.

245 of the private sector organizations said that they’ll increase staff level while 255 of them said

that they’ll be decreasing the total staff level. The number is almost equal in this case. 83 of the

public organizations said that they’ll be increasing total staff level while 29 of them said that

they’ll be decreasing the total staff level. If we talk about the ones who said that they’ll promote

their employees, 245 of the private organizations said so while 255 of them detracted. This

shows that almost same number of private organizations want to promote their employees while

the number of them want to detract too. 83 of the public organizations were promoters while 29

of them were detractors. The net employment score was -10 for private organizations which is

really low if we compare it to the public sector one as it was 52. Moving on to the next question,

it was that in the past three years, has your organization employed people from any of the
following groups? This was asked to see the diversity in the organization and how Brexit will

affect this diversity. If we talk about the private organizations, 1024 said that they have

employed people aged 50-54, 467 said that they have employed people aged 65 and above, 656

said that they have employed people with a disability or long term health condition, 853 said that

they have employed people from a black, Asian, or minority ethnic background, 883 said that

they have employed people aged 19-24 with few or no qualifications while 477 said that they had

employed people aged 16-18 like this and 206 agreed that they had employed Ex-veterans. 715

had accepted parents returning to the workforce. 130 said that they had done none of the above

which is surprising as there are a lot of categories. 257 public organizations had employed people

aged 50-64 while 128 had employed people aged 64 and above. The number is way less than the

private organizations because of the strict policies of the public organizations.

216 public organizations said that they accepted people with a disability and 247 had employed

people from different racial background. 207 and 121 organizations had employed people

aged19-24 and 16-18 with little to no qualifications respectively. 69 had employed ex offenders

while 206 had accepted parents returning to the workforce. We can see that more private

organizations had diversity and the diversity was maintained in these organizations while it had

decreased in the public organizations. If we talk about the third sector, they had employed 112,

62, 91, 77, 43, 25, and 84 people in the order mentioned above. So, I found several interesting

findings while analyzing the data about different organizations. I found out that sometimes, the

public organizations were doing better and in some cases were less affected by Brexit while

sometimes, the private organizations were doing better and had more diversity too which is a

positive point. So, the proposed immigration system will have a lot of issues which will need

immediate correction in order to let everything run smoothly. Because of Brexit, the minimum
skill level of sponsored workers will drop in both public and private organizations and the

general minimum salary threshold will also drop. Recruiters will need to take more informed

decisions and will need to utilize data and workplace in order to decrease the effect of Brexit.