Summer job cuts as minimum wage bites

New data shows the minimum wage increase is putting pressure on employers, who are cutting jobs this summer amid growing concerns about labor shortages in key sectors of the economy.

Figures from the Confederation of Recruitment and Employment, an industry body, show that the number of temporary job offers in the hotel, restaurant, tourism and construction industries fell sharply in April and May compared with the same months last year, following an increase in the minimum wage.

Separate data from Make UK, a lobbying group for manufacturing companies, suggests the sector is suffering from skills shortages that are “limiting expansion potential” as companies struggle to hire more workers. The revival in industry meant an increase in recruitment intentions