Non-core functions shed amidst economic uncertainty

businesses

The political and economic uncertainty of the last six months has seen British businesses shed non-core job functions to focus on roles that directly drive revenue, according to new research* released by LinkedIn, the world’s largest online professional network.

The study, based on a sample of LinkedIn’s 21 million UK members between April and October 2016, reveals a net, year-on-year fall in the number of administration (-3.7 percent) and support (-3.4 percent) roles in the UK. In contrast, commercially-focused business functions have grown, with product management (+4.1 percent) and business development (+3.7 percent) roles recording the biggest net year-on-year rises in headcount.

Businesses in the retail, manufacturing and oil and energy sector have led the charge, cutting the most administration and support roles in the last six months, LinkedIn finds. Commenting on the findings, University of Oxford economist Dr Craig Holmes said, “As businesses fight to remain competitive in uncertain times it is natural that they cut back on costs where they can and invest in bolstering sales of their core business.’’

LinkedIn’s data also reveals that entrepreneurial spirit is very much alive and kicking in the UK, with the professional network recording a 5 percent growth in the number of micro-businesses with fewer than ten employees. Holmes suggests that ‘‘this could in part be explained by British businesses’ increasing need for flexibility, as they cut some roles and drive a growth in self-employed consultants and freelancers as a result.’’

Josh Graff, UK Country Manager and VP, EMEA at LinkedIn said, “Despite cuts to jobs, professionals in non-core roles should not feel disheartened. Our findings show that there is still a role for professionals working in these areas – albeit more flexibly than before. A change in focus for bigger businesses has given people an opportunity to strike out on their own – and it’s encouraging to see that the UK’s thriving entrepreneurial culture is showing no signs of slowing down.’’

Read more

Latest News

Read More

How to maximize your development efforts

26 December 2024

Newsletter

Receive the latest HR news and strategic content

Please note, as per the GDPR Legislation, we need to ensure you are ‘Opted In’ to receive updates from ‘theHRDIRECTOR’. We will NEVER sell, rent, share or give away your data to third parties. We only use it to send information about our products and updates within the HR space To see our Privacy Policy – click here

Latest HR Jobs

A highly successful CPO/People/HR Director that loves to help businesses unlock their potential and drive through people solutions that change lives. If yes, then this

As the BBC Studios HR Director, you will have responsibility for a global HR team within commercial subsidiaries of the BBC, and lead and foster

As the BBC Studios HR Director, you will have responsibility for a global HR team within commercial subsidiaries of the BBC, and lead and foster

Are you an experienced Human Resources Manager? Are you experienced making and supporting strategic business decisions? I want to talk to you I am looking

Read the latest digital issue of theHRDIRECTOR for FREE

Read the latest digital issue of theHRDIRECTOR for FREE