How will the general election impact the job market?

17 Jun 24 | Blog

Sometimes, we’re so focused on what’s happening in our organisation, we forget to consider what’s going on outside of it. For any HR department, it’s key to be proactive and anticipate the consequences of external events. Global disasters, market fluctuations, and – in this instance – national elections can mean a lot of changes for organisations.

In this article we’ll look at one timely example: the UK 2024 General Election. Because in a multitude of ways, it’s bound to have a significant impact on the job market, and as a result, potentially your own staffing and recruitment.

3 ways the election could impact your organisation

Right now:

Until the 4th July, the future is unclear. And that will impact the labour market in one simple way: everyone’s waiting to see what will happen. For some sectors, that will mean pausing any recruitment efforts due to the uncertainty of what’s to come. If your organisation is in one of these sectors, that has obvious implications on people planning. If it’s not, it means there may be an opportunity to advertise job openings while others wait.

There’s also the possibility of prospective hires holding off on their job hunts too, as they wait to see if any new opportunities arise after the election is called…

Post-election:

A new government means a total shake-up of several workforces. And this goes beyond the obvious changes to governmental roles. Talent from the third sector and other policy-driven organisations are likely to be drawn to – or poached by – the next government.

This means there are going to be new and tempting spaces opening up in a range of organisations, across multiple sectors. So it’s a good time to consider if you have any ‘flight risk’ employees in your organisation.

Longer term:

Whatever way the election goes, there’s bound to be some changes that have an impact on businesses and the labour market itself. Here’s just a few examples, based on some election promises so far…

  • If the Conservatives win… the introduction of mandatory national service will impact sectors who rely on younger employees – whether they opt for the 12-month placement (removing them from the labour market) or the 25 days of unpaid volunteering.
  • If Labour wins… their pledges to ban zero hour contracts, fire and rehire, and to deliver a genuine living wage would have an obvious impact on organisations – meaning employees have more reason to expect organisations to do better, and look for employers that uphold the generally rising standards

Obviously, the result of the general election will have huge implications on all organisations – and there’s a lot that leaders and HR professionals need to consider. But if it all feels a little overwhelming, don’t despair. There’s really only one thing you need to prioritise to cope with external events like the general election…

Be prepared: know everything about your team

You can’t control everything. Weather, politics, cultural phenomena… all of this is out of your control. But what is in your control? That’s simple: you have the power to understand what’s happening in your own organisation at any one time. If you know how your HR metrics – like attrition – are trending, you can mitigate and react to external events appropriately.

How do you stay on top of your people metrics? Well, there’s always Qlearsite. You can get a free account for our HR analytics and benchmarking platform – and that gives you all the information to quickly, cleanly, cleverly understand your people. So when the next major event happens in the world, you can put your best foot forward.

Sign up for people metrics & benchmarks

Someone with no money

UK cost-of-living crisis: what it means for your business

A 9% rise in inflation has triggered a cost-of-living crisis. And like any other crisis, that’s going to have an impact on your business.

Missing staff

The UK labour shortage: what you need to know

Have you noticed it? The lack of response to your job advertisements, the overstretched teams? For...

HR’s guide to the EU Pay Transparency Directive

All too often, pay isn’t fair. From different wages for the same job, to a culture of silence...
Overworked person

HR department of one? Here’s how to make a difference

It’s lonely to be in a one-person department. It’s even worse to be a one-person Human Resources...
Time out

5 things that HR doesn’t have time for

There’s only so many hours in a day. And there’s even fewer working hours… in theory. But for a...
What does HR do for employees really?

Seriously, what does HR do for employees?

“Oops, watch out - HR might be listening” “Don’t tell HR I said that!” “I’m not sure HR would be...
Window with money behind

Pay transparency is business critical: here’s why

‘Competitive’. What does the word mean? What is it hiding? Do people writing job advertisements...
Not talking about money

3 reasons bosses avoid ‘pay chats’ (and how benchmarks help)

No-one actually enjoys talking about money, do they? Whether you’re the employee or their manager,...

Salary benchmarking by Qlearsite Pro

Whatever kind of people leader you are - HR professional, CEO, team lead, line manager - then...
Absence management software

Why (and how) to choose absence management software

If you’re a people leader, there’s a lot to keep on top of. And managing absence isn’t always...

Get a live demo
of the platform 

Anne Therese Bogen, Head of HR, Thommessen

"Qlearsite’s platform is a really helpful tool to push through OKRs – it’s easier when you have statistics and concrete evidence to back up initiatives."