The latest CIPD Labour Market Outlook 2025 has shed light on some pressing realities of today’s UK job landscape — and the challenges facing employers are more complex than ever.
Employer confidence remains subdued, weighed down by rising National Insurance costs, increased minimum wage thresholds., and the new immigration rules introduced in July.
These changes are already making waves across sectors, especially in social care and overseas recruitment.
Here’s what we’re seeing: Students and early-career professionals trying to get their foot in the door.
⚕️ Social care employment is under pressure, with more organisations reducing staff than expanding. Overseas recruitment has become more restricted, making it harder to hire non-British or non-EU-settled candidates.
In social care, the impact is particularly stark. The net employment balance has declined, and the proportion of hard-to-fill vacancies has dropped from 44% in spring to 34%, according to the CIPD report. This signals a growing mismatch between demand and supply — a challenge that cannot be ignored.
On a personal note, I’ve recently spoken with a bright, talented graduate who’s been applying for roles for months with no success. She’s got the skills, the drive, and the right attitude — but the opportunities just aren’t there. And I’ve seen experienced professionals, with years of valuable expertise, struggling to find roles that match their potential. It’s challenging, and it’s overwhelming.
Let’s keep the conversation going. If you’re seeing similar challenges — or have ideas on how we can navigate them — I’d love to hear your thoughts.