According to a recent press release from The Chartered Institute of Personnel and Development (CIPD) and KPMG, a labour market outlook report released this week reveals that demand for migrant workers has increased along with improvement in the U.K. labour market this past year. According to CIPD and KPMG, the new report advises the U.K. government to phase in a new cap on migrants in order to avoid harming U.K. competitiveness. The U.K. government earlier this year announced plans to enact a permanent immigration quota next year which will reduce overall immigration from non-European Union countries from the hundreds of thousands to the tens of thousands. British employers claim that in the third quarter of 2010 almost one-fifth of employers surveyed intend to recruit migrant workers, with over a third of these workers being recruited from outside the European Economic Area.
The CIPD and KPMG report surveyed almost 600 firms with almost half of the employers surveyed reporting vacancies that were hard to fill, particularly in engineering, IT and finance. The report estimated that nearly one in 10 employers running global operations will be forced to relocate jobs abroad in the next year, most likely to India and China, if the right skills mix in the U.K. cannot be found.