UK employers stuck in "low-hire, low-fire" mode, survey shows

LONDON, Aug 17 (Reuters) - British employers remain reluctant to hire and confidence has stayed near its weakest levels outside the COVID-19 pandemic, according to a survey published by the Chartered Institute of Personnel and Development (CIPD) on Monday.

The survey was published a day before official data is also expected to paint a weak picture of the labour market, something the Bank of England is watching as it considers its next moves on interest rates which have been on hold since December 2025.

• The CIPD's net employment balance held at +9, close to its lowest level outside the pandemic

• Private-sector hiring intentions remained at +11, matching a record low outside the pandemic

• 57% of private-sector employers plan to recruit in the next three months, also a joint post-pandemic low

• Redundancy levels have not rise and CIPD sees "low-hire, low-fire" labour market

• Median expected pay rises remained at 3%, their level for more than two years

• 31% of employers had hard-to-fill vacancies and 14% expect significant recruitment difficulties in the next six months

• CIPD called for lower hiring costs and more support for youth employment

• The survey was based on responses from 2,017 employers between June 24 and July 24.

(Writing by William Schomberg, editing by Andy Bruce)