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by business editor Trevor Sturgess
More jobs are likely to go in the next three months, according to a survey.
In the poll by the Chartered Institute of Personnel and Development and KPMG, the business advice organisation with a Gatwick office covering Kent, the number of employers planning to make redundancies is higher than those expecting to take on staff.
The net employment outlook fell to a record low in the survey of 500 employers, with all sectors in the firing line.
In a sign that the recession is hitting all sectors of the economy, the net employment intentions figure is now negative for all three main sectors of the economy for the first time.
Although the private sector is most pessimistic, the public sector is now also recording a minus figure due to a rise in the number of redundancies, especially in local government. The voluntary sector is also beginning to lay off staff.
John Philpott, chief economist, said: "We’ve always said that the worst of the recession for the jobs market would be felt in the first part of 2009, and unfortunately we’re now finding ample evidence to support our predictions.
"It is unsurprising that the private sector is being hardest hit. But here is evidence for the first time that the public sector is beginning to feel the pain. Following last month’s budget, this is certain to become a regular phenomenon for taxpayer-funded jobs."
He added: "Indeed, while I expect private sector net employment intentions to start to improve in the near future, the current figures for the public sector will look like a walk in the park as the drive to balance the books gets underway in earnest."
On the pay front, 27 per cent of employers have no intention of carrying out a review this year, up 14 points on the winter quarter.
The private sector is worst hit, with a third of private sector organisations planning to hold pay steady for the next year.
Harley Richards, head of people services at KPMG, Gatwick, said: "Whichever way you look at it, the labour market outlook remains bleak - even though some data is showing signs that the freefall in economic activity may be coming to an end."