A round-up of recent news from the UK and overseas, including:

British Executives Still Considering New Jobs

Despite the recession, 75% of currently employed executives are likely or very likely to consider a new job opportunity.

News from the UK and around the world

Close to a million people are working part time because they cannot find full-time work, Office for National Statistics (ONS) figures have revealed. Between March and May 2009, 927,000 people were in this situation, up from 672,000 a year ago. According to the ONS, the number of people in full-time employment was 21.47 million in the three months to May 2009, down 273,000 from the three months to February 2009. Meanwhile, the number of people in part-time employment was 7.53 million in the three months to May 2009, up 3,000 from the three months to February 2009. Part-time work and flexible working have been a feature of this recession as employers seek to reduce hours or pay to save jobs in the long term. This has been met with mixed reactions from the workforce. According to a survey of 2,900 people by the Keep Britain Working campaign, 48 per cent believed their employers were actively exploiting the situation by imposing unnecessary pay cuts, reduced hours and redundancies.

Recruitment companies are bearing the brunt of the recession with the number in critical financial difficulty soaring by 129% in the past year, according to administrators Begbies Traynor. The firm, which monitors the financial health of organisations in its quarterly Red Flag Alert report, found that recruitment is among the sectors with the worst financial health so far in 2009. As well as the numbers in a "critical" state – defined as companies facing county court judgments and/or wind-up petitions – there has been a 90 per cent increase in the past year in firms in "significant distress", a category which includes companies with near-insolvent or out-of-date accounts. Sectors with companies in distress in the past year were manufacturing ("critical" up 140 per cent, "significant" up 64 per cent), property services ("critical" up 131 per cent, "significant" up 82 per cent) and wholesale ("critical" up 185 per cent, "significant" up 62 per cent).

Morgan McKinley's employment monitor indicates that there are signs of improvement in the London financial services industry. The findings show that during June 2009, the number of new job vacancies within London's financial services industry increased by 20% compared with May 2009. Efinancialcareers reports that investment banks are hiring technologists as they look to grow. Companies reported to have hired recently include Barclays Capital, Credit Suisse, Deutsche Bank and HSBC.

The report, by a cross-party committee with former Cabinet minister Alan Milburn in the chair, has called for urgent action on the "closed shop mentality" which, it says, still characterises the professions in Britain. The panel found that over half of all top professional jobs are still taken by candidates who went to private school, even though they represent just 7 per cent of all schoolchildren. There are over 80 recommendations in the report, including a national 'Yes You Can' campaign with celebrity role models, an overhaul of work experience programmes, and armed services cadet forces to be established as the norm in state schools. At the moment, 75 per cent of judges and 45 per cent of senior civil servants were independently educated.

A long-running support programme that encourages collaboration between industry and academia has undergone a radical revamp. From the beginning of July, the Government-funded Knowledge Transfer Partnerships (KTPs) scheme has introduced a more flexible funding system. The programme part-funds a recent graduate to work with participating businesses on projects key to their future development. Usually, graduates and academic institutions collaborate with businesses for one-to-three years on long-term strategic development projects. Now though, short-term KTPs are being introduced that last between 10 and 40 weeks. These new opportunities are particularly aimed at businesses that have more short-term business problems to tackle. They will also act as a stepping stone for companies that have had little or no previous experience of collaborating with the academic knowledge base.

Social enterprises across the UK can scoop a £5,000 prize by entering a prestigious new competition. The government-backed Social Enterprise Awards are run by the Social Enterprise Coalition and aim to reward and recognise the social businesses that have made the most impact on society and the environment. Awards are up for grabs include Best Social Enterprise (Large and Small) Best New Social Enterprise. Initially, organisations are asked to enter one of four regional heats – one each in England, Scotland, Northern Ireland and Wales. A judging panel will choose three winners in each region (one per category), who will then be put through to a public vote to decide the overall UK winners. Each UK winner will receive up to £5,000 in cash, plus business support and advice. The closing date to enter one of the regional heats is 28 September. The awards are sponsored by The Office of the Third Sector, the Department for Children, Schools and Families, the Department of Communities and Local Government, Partnerships UK, Unity Trust Bank and the Wates Family Enterprise Trust. For further information about the Social Enterprise Awards, visit the Social Enterprise Coalition's dedicated competition website.

A new report has shown the impact the recession has had on third sector support providers across England. A recent report published by Capacitybuilders has demonstrated the increase in demand for support sector services in England owing to the current financial climate. The results are taken from the first in a series of surveys commissioned by Capacitybuilders to determine the effect of the economic slowdown on support sector services. Initial results report that 78% of support providers have seen an increase in demand for services and over 50% of these respondents felt they were coping well or very well. The report also highlights the need for increased collaboration between organisations as 47% of providers are forecasting a decrease in income within three years and 71% foresee a need for increased co-operation. A further 38% estimate that a need for a more enterprise-based model to source earned income will be apparent in the future. The areas of greatest increased demand included funding advice, building partnerships and collaboration as well as income generation, with these services seeing a growth in demand of up to 59%.

British recruitment consultants working in Australia have been forced to come home to the UK. Since the recruitment downturn began last year, hundreds of British recruiters working in Australia on '457 visas' have been forced to return after losing their jobs and failing to find new sponsorships in the required time frame, according to Australian recruitment and human capital web news service shortlist.net.au. UK recruitment consultants make up the vast majority of the employer-sponsored work visas issued to Australian recruitment companies. Leading Australian rec-to-recs say that in most cases they are now declining to represent recruiters who require 457 work visas to enter or remain in Australia because there is virtually no demand and the revised application process is too slow and complicated, Shortlist reports.

Despite the recession, 75% of currently employed executives are likely or very likely to consider a new job opportunity. According to the 2009 BlueSteps Executive Mobility Survey, the most important factor in an executive's decision to leave their current employer is poor company values, with 74% of respondents rating this as extremely important. The executives surveyed for the report maintain traditional ideas of executive mobility, with 57% expecting to work for four to seven organisations by the end of their career and 48% saying that two years is the shortest tenure an executive can have at an organisation without compromising the value of one's CV.

UK unemployment rose by a record 281,000 to 2.38 million in the three months to May, the Office for National Statistics has said. The jobless rate increased to 7.6%, the highest in more than 10 years. The number of people claiming unemployment benefit increased by 23,800 in June to 1.56 million, which was less than analysts had forecast. Unemployment among young people has been especially acute, as firms cut jobs to reduce costs in the downturn. Young people - those up to 24 years old - have been particularly hard hit with unemployment leaping to a 16-year high of 726,000. The number of those out of work for more than a year rose by 46,000 to 528,000, the highest for 11 years.

The UK Commission for Employment and Skills (UKCES) has launched its Talentmap website to make it quicker and easier for employers to navigate the sector services maze. UKCES said the tool was needed to support the UK economy in the current challenging economic and operational conditions. Under the tool’s framework, employers can search five broad themes for funding, training and advice. The themes cover: development, recruitment, improvement, engagement and support.
www.talentmap.ukces.org.uk

According to the Association of Graduate Recruiters (AGR) graduate recruitment has dropped at a record rate in the UK. The number of graduate vacancies has fallen by almost a quarter (24.9%) in 2009, according to the AGR's latest bi-annual survey. This so far exceeds the record decrease previously noted by the survey of 6.5% in 2002.

The war for talent has not ended with the recession and, in fact, operates on a global basis, according to Peter Cheese, head of talent at Accenture. Speaking at a talent management conference, Cheese said that demographic changes in Europe and different aspirations among the UK’s young talent meant that organisations needed to reassess their strategies in the war for talent.

Citigroup plans to reveal a $1.2 billion financing joint venture with the International Finance Corporation (IFC), the private sector unit of the World Bank. The move demonstrates a willingness by banks to fund trade in emerging markets.

Job offers to IT contractors into financial services doubled between April and May, according to new research by pre-employment company Powercheck. The research also found employment offers increased in insurance and banking.

With unemployment rates near 10% and many recent graduates still searching for work, young professionals need to stand out from the crowd. One recent graduate of Harvard Business School is doing his part to help individuals enhance their resume by creating Zoosa, a new website that connects professionals with nonprofit boards and skills-based volunteer positions. Zoosa aggregates the best social enterprise resources, including industry news and employment and volunteer opportunities, to create a single destination where professionals can learn about the renewable energy, education, and nonprofit sectors. While visiting Zoosa, individuals can create a social impact profile that highlights their professional skills, their offline actions, and their interests in certain social impact issues. After a successful launch, Zoosa has already become a useful tool for professionals searching for social impact news and opportunities. With over 1,100 positions included in Zoosa's jobs and volunteering section, professionals now have a single location to find all relevant positions without searching multiple sites. Several thousand additional news stories, blogs, and tweets are included in Zoosa's community section.

Older workers are suffering during the recession, with over-fifties increasingly likely to face redundancy and barriers to finding new work once unemployed, figures show. A survey of 800 jobseekers aged over 50 by The Age and Employment Network (TAEN) found a sharp increase – 47 per cent compared with 32 per cent in autumn – in the numbers seeking work because of redundancy. There was also a rise (39 per cent from a previous 30 per cent) in the numbers who said they were "desperate" for work. Perceptions of ageist barriers to work were also evident, with 72 per cent believing they are seen as too old to work compared with 63 per cent in the earlier period. The numbers who said they were sure they had been the victims of discrimination, either in the workplace or as a jobseeker, rose from 50 to 55 per cent. Only one in 10 respondents believed that age discrimination laws had helped older jobseekers find work. Meanwhile, statistics show that the actual number of age discrimination cases being filed is also steadily increasing. The annual report of workplace relations service Acas shows that the number of age discrimination cases passed to it for conciliation increased by 28 per cent in the year up to March 2009 – 3,395 compared with 2,652 in the previous 12 months.

A Government backed report has recommended charities work with private sector to survive the recession. The Building Stronger Communities report has been published advising charities not to rely on fundraising to assist them through the economic downturn and indicating they should adopt business practices to continue. The report was issued by the Building Stronger Communities Taskforce, a Government initiative set up to explore how third sector organisations and businesses may benefit from closer collaboration to help communities through recession. The report makes a number of proposals to safeguard charities against an uncertain financial climate. It recommends charities form partnerships with businesses that have proven success in winning Government contracts in order to develop commercial strategies. It suggests a skills bank should be formed to offer small and medium sized organisations professional business support for free or at cost price. It also indicated third sector organisations should receive help on “responsible downsizing” from businesses if they face organisational change.

Gordon Brown has today announced his support for a programme designed to attract more people to volunteering. The National Talent Bank has been created to tackle the recession and will 'share' talent between the private, public and third sector. It is intended to act as a liaison between companies forced to reduce their working hours, frontline volunteering opportunities and third sector organisations. The scheme will run initially for twelve weeks and will offer support to existing volunteering programmes to provide additional help to businesses and individuals affected by the current economic climate.

Britain’s best young business brains are invited to enter a prestigious enterprise competition. A £10,000 cash prize is on offer to the overall winner of this year’s Shell LiveWIRE Young Entrepreneur of the Year Awards. The contest is open to entries from budding entrepreneurs aged 16-30 who have a legal business that has been trading for a minimum of three months and a maximum of 18 months. Previous award winners include James Murray-Wells from GlassesDirect.co.uk, Lucy Cohen from Mazuma Money and James Watt from Brewdog. Entries must be made online by 11 September, with the winners set to be announced at a gala ceremony to be held in London on 27 October. For further information about the Young Entrepreneur of the Year Awards, visit the Shell LiveWIRE website.

UK Communities Secretary John Denham has announced the successful projects to be funded by the Government's Tackling Race Inequality Fund. A total of £9 million will be shared amongst 27 organisations, which will use the cash to improve opportunities for disadvantaged ethnic minorities and promote shared values amongst communities. This will be split between 21 national and six regional organisations including the Stephen Lawrence Trust, Age Concern, the Race Equality Foundation and Mind. Funding will be used to address several key areas: Equal opportunities for people from BME communities, Inequalities of access to services, Increasing civic participation, Tackling racially motivated crime, Helping disadvantaged groups and Research into race equality.

A fifteen strong network of voluntary sector organisations from across Europe have joined forces with NCVO to create the European Network of National Associations (ENNA). The ENNA project, spearheaded by NCVO and involving organisations from countries such as Austria, Cyprus, Estonia, Portugal and Scotland, will bring together voluntary and community bodies from throughout Europe in order to engage in discussion about the current economic climate. It is hoped the network will also serve to promote the sharing of best practice on capacity-building for the third sector, develop recession-beating tactics and resources and establish a European Charter, similar to the UK Compact. For further information, visit the NCVO website

Four major voluntary sector bodies in Buckinghamshire are set to merge forming one umbrella organisation to provide support to the whole county. The proposal has come from Voluntary Action Chiltern and South Bucks, Vale Volunteers, the Priory Centre (the council for voluntary service in Wycombe) and Buckinghamshire Community Action, the local rural community council. The four organisations have already been working together since 2006 to deliver a contract providing infrastructure support for Buckinghamshire County Council under the name 'Voluntary Impact Bucks'. They will take a final decision on whether to merge in the autumn and if the proposal is approved the new organisation could be launched in April.

Community Foundation appeals to women's groups to submit an application for a share of a £135,000 fund. The Scottish Community Foundation, which administers the Women's Fund for Scotland, is advising potential applicants to submit their entries in good time ahead of the December deadline. Grants of up to £5000 are available to registered charities and constituted community groups that provide support, services and activities to disadvantaged women and girls. Over £1 million has been distributed from the fund since its creation in 2002. The fund is supported by awards from the Scottish Government, private donations and International Women's Day Events. In the last round of grants Edinburgh group, Stepping Stones North, received £1600 to run two training courses for mothers aged 16-20. Fochabers pensioners' dance group Hip Bumpers were awarded £3000 to assist with their running costs for a year. To apply or get further information contact the Scottish Community Foundation grants team on 0141 225 6670 or visit the website.

Nominations are open for the Compliance Awards 2009, taking place at Park Lane's prestigious Grosvenor House on 9 November. These awards recognise compliance professionals that have made an outstanding contribution to the industry throughout the past 12 months. Nominate yourself, a colleague or a business for one or more of these awards and celebrate your success with fellow professionals at the ceremony. Visit www.complianceawards.co.uk for a full list of categories. Nominations are quick and easy, just select your category and fill in a short survey about the nominee. For any queries regarding nominations or booking your table at the Awards, please contact us at connected@complinet.com or alternatively call us on 0870 042 6400. Deadline for nominations: Friday, 2 October 2009.

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As London's small businesses bear the brunt of the recession many are still looking to grow, according to Business Link in London's new Diverse Business Confidence Index (the Index). The first of its kind, the Index surveyed over 3,000 small businesses in London and found that 84 per cent are planning on expanding and growing their business over the coming year. Nearly two thirds of entrepreneurs surveyed said that the recession is still affecting their business with 39 per cent saying the recession has significantly impacted overall budgets and expenditure. According to Patrick Elliott, chief executive of Business Link in London, the Index gives a significant insight into how London's small businesses are impacted by, and responding to, the recession and shows a clear trend emerge of a sector that is refusing to get bogged down in the doom and gloom. The Index indicates that there is confidence across the board, with many entrepreneurs across regional, industry, and demographic groups are responding to the recession by aggressively seeking out new market opportunities. Maintaining and generating sales was identified as the single biggest challenge facing all businesses. However, three quarters of those surveyed remain optimistic about their business over the next twelve months. Of those who are planning to grow, most planned to drive this through diversifying their business operation - 43 per cent plan to enter new markets, and 35 per cent are looking to develop new products and services. Start-ups were more likely to have difficulties with accessing funding while established businesses tended to have more difficulties with generating new business. A quarter of all pre-starts cited the falling value of the pound as the biggest impact and nearly half are revisiting their business plan projections as a result of the recession. However, despite being most affected by the recession, start-ups were the most optimistic about their business prospects with 89 per cent planning on growing their business over the next twelve months.

A £1 million programme has been launched to help North East of England-based businesses export their way out of the recession. After securing finance from the European Regional Development Fund, One North East and UK Trade and Investment have joined forces to offer the Horizons Grant programme. Funding is available for companies to develop a market entry plan that will help them target high-growth overseas markets, such as Brazil or China. Grants can cover a range of export activities, including participating in exhibitions and trade fairs, undertaking export skills development training, and assistance with translation and language services. The new programme is available to regional businesses that employ more than 10 staff and have an annual turnover in excess of £250,000. They must also be targeting one of the following high-growth markets, which include South Africa.

Mounting pension deficits in the UK's top listed companies are threatening to end final salary pension schemes, according to a new report. The latest figures from KPMG show that 22 per cent of FTSE 100 companies do not have the funds to clear current pension deficits. The combined shortfall among the UK's largest businesses is now estimated to be £80 billion – an amount which has quadrupled since the end of 2007. The report found that, for the first time, FTSE 100 companies are faced with spending as much on pension payments for past employees as contributions for current staff. KPMG predicted an escalation in this trend over the next five years, to the point where £4 of every £5 will be spent on past deficits. Now that pensions have reached "tipping point", the report questioned the feasibility of firms being able to continue with defined benefit pension schemes for existing staff.

Older workers are helping to boost profits at McDonald's, according to a study by the fast-food chain. The survey, which recorded a 4.3 per cent rise in sales last month, found that customer satisfaction levels rose by 20 per cent in restaurants employing staff over the age of 60. Over-60s, employed in 40 per of McDonald's stores, were found to be thriving in customer-service and front-of-house roles, according to the survey of 400 UK restaurants carried out by Lancaster University Management School. Fairhurst added that younger employees often benefited from the experience of older workers and several stores employed different generations of the same family, with grandparents working alongside their grandchildren. McDonald's, which has benefited from consumers trading down from restaurants to fast-food during the recession, currently recruits about 140 people per day. Over-60s currently represent 1.5 per cent of the 75,000-strong workforce, and the company is keen to attract more applicants from that age group. The retention rate of later-life workers is significantly higher than among McDonald's younger workforce. Those over 60 clock up an average of 10-and-a-half years' service, compared with two-and-a-half years for younger staff. Attractive healthcare benefits had contributed to this, with older workers taking advantage of the low private healthcare premiums McDonald’s offers due to its predominantly under-30 working population. Nearly 90 per cent of staff over-60 have signed up for private health cover at McDonald's – a benefit that becomes free after three years' service.

Younger workers are lying on their CVs in increasing numbers because of heightened competition for jobs during the recession, new research suggests. In a survey of almost 5,000 job applications to the financial sector over the past year, 19 per cent of CVs were found to contain lies or embellishments – a figure that has risen for the second consecutive year. The number of jobseekers under 21 attempting to deceive potential employers jumped 30 per cent from the year before. Previously the most truthful age group in 2008, it ranked as one of the least honest in 2009. Brokers were the most likely companies in the financial sector to receive deceitful CVs, although IT contractors saw a 55 per cent leap in the number of embroidered applications. The figures – compiled by pre-employment screening company Powerchex – also highlighted a difference in gender, with women more likely to lie on their CVs than men. The most common deceptions included false employment dates and academic qualifications.

UK employers are continuing to recruit migrant workers, despite a dramatic fall in demand for labour, according to CIPD research. The latest Labour Market Outlook (LMO) survey found that almost one in 10 employers (8 per cent) planned to recruit migrant workers in the third quarter of 2009. Yet broader recruiting plans for the same period are at a record low, with less than two-thirds (63 per cent) of organisations intending to take on new workers. Government statistics show that the number of non-UK nationals employed in Britain rose between the first quarter of 2008 and 2009, from 2.29 million to 2.35 million. Meanwhile, the number of UK nationals in UK employment fell during the same period from 27.12 million to 26.74 million. Migrant workers now hold more than one in 12 jobs in the UK – more than double the rate in 1997, according to the official figures. The LMO survey, conducted with professional services firm KPMG, showed that many employers continued to experience difficulties in filling roles with UK nationals. More than a quarter of the 900 HR professionals surveyed recruited migrant workers because they could not find British workers to do the job. This view was held particularly strongly in the private sector, where almost a third (32 per cent) recruit migrants because they cannot fill vacancies with British workers. Forty-three per cent of NHS employers and 28 per cent of education bodies gave the same reason for recruiting migrant workers.

Government immigration policies risk undermining employer retention strategies used to keep highly skilled migrants in the UK, according to a new report. The report by the Institute for Policy Research (IPPR) warns that global competition for highly skilled migrants is intensifying and urges employers to look at active ways of retaining them, such as through promotions or pay rises. But increasing entry barriers in government policy through the new points-based system and citizenship requirements risk undermining these efforts, according to the report. The report, Shall we stay or shall we go? Re-migration trends among Britain's immigrants, identifies a new breed of "super mobile" immigrants who are increasingly coming to the UK for a short period of time and then leaving. The migrants most likely to leave are those with high skills, good education and low barriers to movement, meaning UK employers risk losing out on future talent. More than three million immigrants to the UK in the last 30 years have subsequently left – half the total number. The report urges the government to award extra points under the new points-based system to highly skilled migrants, as well as simplifying visa and work permit requirements for this group. Schemes to encourage and help foreign students to find jobs in the UK after they graduate should be extended, while skilled migrants should be allowed to bring in their families more easily. Tax incentives for this group could also be introduced, the IPPR said.

Plunging morale among those who survive redundancy programmes will threaten to undermine growth in the upturn, according to the CIPD. As half of UK businesses consider making redundancies within months, the damaging effect on morale has been highlighted by a CIPD survey of 3,000 employees. The YouGov survey found that 70 per cent of employees said redundancies had damaged morale, with 22 per cent so unhappy about how redundancies were being handled that they were looking to change jobs as soon as the labour market improved. Just over a quarter said they were less motivated as a result of redundancies. Some 81 per cent believed senior managers needed to restore or improve trust in their leadership, as only a quarter said that they were consulted on important decisions. Just over half of employees said frequent and honest communications would have the greatest impact on improving trust. Public outrage at "rewards for failure" was also reflected in the survey, as 29 per cent said not rewarding failing senior managers was key to rebuilding trust.

TV companies have made "huge progress" with on-screen diversity but behind-the-scenes roles continue to be dominated by the white middle class, according to Channel 4 (C4) head of diversity Oona King. According to the former Labour MP, groups such as disabled people, ethnic minorities, older people, those from working class backgrounds and even people living outside London were all far from represented in broadcasting. Over 98 per cent of those working for the independent production companies that produce content for C4 were white, while disabled people "are not given a fraction of the chance that a non-disabled person is given", King said. The main barrier to a more diverse workforce was job vacancies that were not transparent, she said. King estimates that less than 1 per cent of people enter the industry through answering a job advert. "You get a job in broadcasting because a friend of a friend recommends you. Everyone is from a similar background, very middle class," she said. C4 has asked production companies to target media job adverts at different groups. King has also asked universities to "talent-spot" disabled students on media courses to increase the application pool. More than 30 of the 80 production companies that C4 works with have now committed to recruiting half of all new entrants, primarily runners, from under-represented groups.

The jobs market for temporary workers is "slowly returning to life", according to the latest report by the Recruitment and Employment Confederation (REC) and KPMG. The monthly survey of 400 recruitment consultancies found that the fall in appointments of temporary staff eased to its slowest rate in 10 months. There was also a smaller reduction in the number of vacancies for contract workers. But demand for permanent staff deteriorated again in July, according to the report. Appointments declined at a faster rate than in the previous four months, which had been relatively stable following steep falls at the turn of the year.

PricewaterhouseCoopers (PwC) has extended its internship programme to first-year university students, in an attempt to develop employability skills as early as possible. The financial services firm launched the five-day residential "talent academy" as part of its internship programme. The academy is intended to assist in selection for the main internship programme, which is oversubscribed. According to the organisation, the first year at university for many students is often a lost year, in terms of opportunities to gain real-life business experience or develop their employability skills. Students either take the summer off, or can't access opportunities for internships until second- and third-year breaks. Under the scheme, 50 first-year students from universities across the UK will take positions on the board of directors of a fictitious international transport business. According to PwC, they will face "some of the harsh realities of the business world, as they navigate the company through rising oil prices, trade union negotiations and supply chain disruption". Students will find that everything they have learnt in theory in the classroom is tested. It is also an opportunity for them to see how their personal skills and experiences can be brought to the table to help negotiate, build relationships and win people over. Successful students will be offered a place on the firm's paid summer internship programme in 2010, which has had a 40 per cent increase in applications this year.