Employment in HR soars over past decade
New CIPD analysis highlights which occupations have seen the biggest employment growth in the UK over last 10 years
New CIPD analysis highlights which occupations have seen the biggest employment growth in the UK over last 10 years
Before the onset of COVID-19, employment in the UK was at a record high. New analysis, which was used in our submission to the Work and Pensions Parliamentary Select Committee inquiry into DWPs preparations for changes in the world of work, showed that the UK economy generated an additional 3.4 million jobs between 2011 and 2019. And contrary to the narrative that the future of work consists of more insecure, poor quality and low wage work, the data shows that growth in employment was primarily high-skilled and permanent. Indeed, employment increased fastest in managerial and professional occupations, whose numbers grew by 27% and 23% respectively. In contrast, employment growth was slower (or non-existent) in low-skill occupations – apart from care work.
The growth also shows, as history has previously illustrated, that technological change can generate a high number of jobs as well as destroy them. This is because technological innovation tends to reduce costs, expand existing markets and open up new ones. It is also due to the expansion of high-skilled occupations such as programmers and software development professionals, whose numbers have grown by 74%. On the downside, technology is also part of the explanation behind the decline in a number of other occupations, such as clerks and retail staff (see table below).
Perhaps one of the surprises of the analysis is to see HR managers and directors lying in second place in this occupation league table. The number of HR managers and directors increased by 66% during the same period; their growth even outstripping that of their finance colleagues.
Together, employment in these accounted for 438,000 people in 2011, increasing to 562,000 in 2019- an increase of 28% (see chart below).
The number of people employed as trainers hardly increased at all, possibly reflecting changes in both the organisation of training and its delivery (such as more on-the-job learning, online delivery). The number of people employed in the most routine HR jobs fell slightly, which is perhaps a consequence of automation removing the need for people to carry out functions such as payroll or record-keeping.
In 2011, there were 107 HR managers/directors for every 100 HR officers; by 2019, this ratio had increased to 136. It is difficult to identify precisely why this occurred. Has HR work become more complex, requiring more skilled and/or experienced staff? Or has there been an element of job title inflation?
Looking ahead, 2020 will see this period of employment growth come to an end. It is impossible yet to say what this will mean for employment in HR, however the demands on HR departments appear to have changed but not diminished, even if staffing isn’t immune from wider changes in organisation context and priorities.
Mark's respected labour market analysis and commentary strengthens the CIPD’s ability to lead thinking and influence policy making across the whole spectrum of people management and workplace issues.
Prior to joining the CIPD, Mark was an economic consultant and for over 20 years worked as an economist in the Civil Service, latterly at Chief Economist/Director level, in a range of Government departments including the Department for Business Innovation and Skills (BIS), the Department for Innovation, Universities and Skills (DIUS), the Department of Trade and Industry (DTI) and HM Treasury.
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