UK workers voice concern over Brexit

Guy Lougher
Guy Lougher

UK workers are showing significant resilience in the face of Brexit uncertainty, according to research commissioned by Pinsent Masons.

The survey of workers in large businesses, conducted by Yugo on behalf of the firm found that:

  • Almost two thirds of workers (64 per cent) believe there is a realistic prospect of an economic downturn within the next three years as a result of Brexit.
  • Around one in three workers (36 per cent) felt it likely they could lose their job as a result, while two in three (65 per cent) thought it likely people they knew could lose their jobs.
  • While 37 per cent thought it likely their employer will increase pay to offset inflationary impact over the next 12 months, the majority (57 per cent) expected their real pay to fall this year even though economic growth is tipped to accelerate.
  • Despite that, almost 60 per cent of workers surveyed were confident that their employer is well-placed to react to economic difficulties arising from Brexit, compared to just 14 per cent who did not feel confident.
  • Scottish workers surveyed were more pessimistic compared to their UK counterparts the survey revealed. North of the border 76 per cent believe an economic downturn as a result of Brexit is likely or very likely, while 60 per cent of Scots workers think it unlikely they will receive a pay rise within the next 12 months to offset the impact of inflation.
  • Scottish based workers shared the same view as Londoners in thinking there was a realistic possibility of losing their jobs if there was an economic downturn (41 per cent) but those in the Midlands were more upbeat with only 30 per cent taking that view.

    Regardless of economic factors, the survey revealed UK workers seem determined to tough it out, with 92 per cent of workers saying they were unlikely to leave the UK in the next 12 months as a result of Brexit. EU citizens (15 per cent) were less assured and appeared to be twice as likely relocate abroad as UK nationals (eight per cent).

    However, the likelihood of workers leaving the UK after 2-3 years was somewhat higher – suggesting that some workers may await the outcome of Brexit negotiations before making a final decision about relocation.

    Guy Lougher, head of the brexit advisory team at Pinsent Masons, said: “On the whole the UK workforce is demonstrating resilience, anticipating a downturn but retaining a level of confidence in their employers.

    “What is particularly interesting is that, those workers who felt their businesses were not open about the impact of Brexit on the business were more likely to be fearful about the prospects for the future. Of those who described employer communications around the referendum as poor, 1 in 10 said they would be likely to leave the UK within the next twelve months.

    “Conversely, those who rated the communications of their business highly were notably more confident about the ability of the business to react to the challenges and opportunities afforded by Brexit.

    “There is a clear message to UK Plc that they need to plan ahead for the business, despite the attendant difficulties in doing so, and communicate openly about those plans with their people to engage and retain talent.”

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