One in three furloughed hospitality jobs at risk

23 July 2020 by
One in three furloughed hospitality jobs at risk

Around one in three furloughed hospitality workers' jobs could be at risk, according to accountancy firm PwC.

Analysis by the firm suggests 32% of furloughed workers in the sector are at risk of redundancy by the end of the year.

Jing Teow, senior economist at PwC, said: "Part of the success of the furlough scheme and other fiscal and liquidity support was that it relieved working capital pressures faced by businesses, reducing the need to lay-off workers to free up cash flow or prevent permanent business closures. However, the projected decline in demand for workers as a result of weaker economic activity means that in the absence of further support, not all furloughed workers will have jobs to return to when the furlough scheme ends…

"In the short-term, there should be a focus on supporting those workers most at risk from Covid-19, helping them adapt their skills to enable them to shift to sectors that are growing. In the long-term the focus should be on upskilling the workforce to meet the new needs of a digital economy and skills that are more difficult to automate, and create a more resilient workforce for a post-Covid future."

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking