THE HOT STORY

Households' confidence in job security hits six-month low

UK households' confidence in their job security slumped in February, according to a report by YouGov and the Centre for Economics and Business Research (CEBR). Job security perceptions fell to 92.6 on an index where a score higher than 100 indicates positive sentiment. February's score was down 1.1 on January's level and the lowest in six months. Despite this, respondents were more optimistic about the year ahead, with the forward-looking job security measure seeing a score of 117.6. The index looking at confidence in household finances for the next year came in at 95, while confidence in the housing market was up 3.2 to 134.8. Sam Miley, head of forecasting at the CEBR, noted that the situation in the Middle East poses a "major risk," adding: "The ensuing volatility in commodity markets and potential for pass through to UK consumer prices could damage financial perceptions in the months ahead."

The Standard

ECONOMY

UK in poor position to help households if energy costs surge, OBR official says

The Office for Budget Responsibility's David Miles has said the UK government is poorly positioned to cushion the blow to households from surging energy prices amid mounting public debt. Speaking at a Resolution Foundation event, Miles said there was uncertainty because the historically high tax burden was moving into “uncharted territory.” Resolution Foundation chief executive Ruth Curtice said: “The immediate economic outlook for Britain is highly uncertain, with [Wednesday's] forecasts already looking out of date, while the living standards picture for the rest of the parliament is very lopsided . . . This coming year is set to be a decent one for living standards, and a bumper one for poorer families, as wages and benefit support rise above the level of inflation. But a fresh energy price shock risks puncturing this good news.”

Financial Times

The Independent

TECHNOLOGY

UK to launch state-backed AI research lab

The UK government is committing £40m over six years to establish a new lab that will focus on fundamental AI research that can lead to breakthroughs in science, healthcare and transport. "This is a long-term investment in the brilliant minds who will keep the UK in the AI fast lane. If we are the ones breaking new ground on what AI can do, we can make sure our values are baked in from the outset. This is a critical part of our mission to make AI work for everyone," said AI minister Kanishka Narayan.

Financial Times

GOV.UK

CORPORATE

Nissan warns over 'Made in Europe' rules

Nissan has alerted ministers over the potential closure of its Sunderland factory if the EU excludes the UK from its 'Made in Europe' rules. These regulations require 70% of new electric vehicle components to be produced in EU countries to qualify for incentives. Nissan expressed concerns that this could disadvantage UK manufacturers, particularly in the corporate fleet market, which constitutes 60% of car sales in Europe. Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said he is "gravely concerned" by the UK's potential partial omission from the rules, saying it would put UK manufacturers at a "systemic competitive disadvantage." He added that the rules could be in breach of the EU-UK Trade Cooperation Agreement and could "discriminate against UK-made vehicles and component." The government is lobbying for full access to the scheme.

Daily Mail

STRATEGY

Morgan Stanley lays off 2,500 employees

Morgan Stanley has laid off about 3% of its workforce, or ‌roughly 2,500 employees, across its three major divisions. The job cuts affect investment banking and trading, wealth management, and investment management, but do not affect the lender's financial advisors. The cuts are tied to shifting business and location priorities, as well as individual job performance, and are occurring both in the US and overseas, a person familiar with the matter said.

Reuters

Wall Street Journal

Daily Mail

RETENTION

Support staff turnover hits record high

A report by the National Foundation for Educational Research (NFER) highlights a staffing crisis in schools, with 75% of leaders struggling to recruit teaching assistants. Support staff, who are crucial for quality education, are leaving at unprecedented rates, with 47% citing feeling undervalued as a primary reason. Kathryn Morgan, leadership and workforce specialist at union ASCL, said pay “has not kept pace” with growing demands on support staff. “Squeezed school budgets, combined with the opportunities available in other sectors, mean it is becoming more challenging to recruit and retain teaching assistants and other support staff,” she said. The report calls for government action to improve recruitment and retention, including better pay and career progression opportunities.

Schools Week

LEGAL

Officers awarded £22k in sex discrimination case

Two male officers from Suffolk Police have been awarded over £22,000 after an employment tribunal found they were discriminated against based on gender. The officers were removed from their roles in the South Kestrel Policing Team to achieve a gender balance. The judge ruled that the officers experienced direct sex discrimination and ordered the force to apologise and compensate them £11,483 each. Suffolk Police officials acknowledged the tribunal's decision, saying they would prevent such incidents in the future.

BBC News

Daily Mail

INTERNATIONAL

AI is not hitting European jobs for now, ECB says

Economists at the European Central Bank say artificial intelligence has only had minor effects on employment in Europe to date, but they cautioned that the future impact of the technology is uncertain. In a comparison of 3,500 businesses, some of which reported using AI and some of which did not, the economists overall found no difference in terms of creating or cutting jobs, and firms that use AI particularly frequently were in fact 4% more likely to hire new staff than average. "As things stand, based on firms' overall hiring plans, investment in and the intensive use of AI are not yet replacing jobs," the economists said in a blog post, adding "In fact, some firms are hiring additional employees - perhaps because they are looking to develop and implement AI technologies while maintaining their existing production processes, or because AI is a way to help them scale up more quickly."

France 24

Trump plan seeks to tie federal employee layoffs to performance

The Trump administration has proposed a change to employee retention rules. The new proposed rule would substitute job performance for seniority in deciding who is fired when an agency institutes layoffs. The proposal would rank employees primarily by a numerical "performance credit" based on their three most recent ratings of record, with veterans' preference points added on top. The proposal would make reduction-in-force regulations "more streamlined, efficient, and merit-based," the Office of Personnel Management said. Everett Kelley, the President of the American Federation of Government Employees, the largest union representing federal workers, said: “This proposal is part of a coordinated campaign . . . these proposed rules represent a blueprint for faster, less accountable mass firings and another step in the administration’s effort to dismantle the nonpartisan civil service.”

Bloomberg

Firms shift to remote work amid conflict

Professional services firms in the Middle East have activated emergency plans, moving hundreds of staff to remote work due to escalating conflict and increased uncertainty. Following missile strikes on a number of cities, the UK Foreign, Commonwealth & Development Office has advised British nationals to stay indoors. Robin Hickman, head of region at Addleshaw Goddard, said: "The safety and wellbeing of our people and their families is our top priority." Clyde & Co said teams are "operating in line with official guidance," including working remotely. A Baker McKenzie spokesperson said the firm has taken "precautionary measures . . . including asking our colleagues in the region to work remotely until further notice," while Freshfields said: "All colleagues are safe, and client work continues as normal within the region and globally." KPMG International commented: "We are advising employees in the region to follow local official advice, remain indoors and avoid travel."

City AM

Setback for union in works council election at Tesla's Berlin plant

IG Metall, Germany's top industrial union, has failed to win a majority in the works council elections at Tesla's plant near Berlin. The union, which has been fighting for more influence at the US automaker's gigafactory in Gruenheide, the company's only European production site, said it secured 13 of the ⁠works council's 37 seats, leaving the committee's majority in non-unionised hands. "Unfortunately, it was not enough to secure a . . . majority," IG Metall's lead candidate Laura Arndt said. "We will continue to do our utmost in the new works council to bring about change for us and our colleagues at the Gigafactory."

Reuters

The Human Times is designed to help you stay ahead, spark ideas and support innovation, learning and development in your organisation.

The links under articles indicate original news sources. Some links lead directly to the source material. Others lead to paywalls where you may need a subscription. A third category are restricted by copyright rules.

For reaction and insights on any stories covered in the Human Times, join the discussion by becoming a member of our LinkedIn Group or Business Page, or follow us on X.

Online

Advertise

This e-mail has been sent to [[EMAIL_TO]]

Click here to unsubscribe