With the end of the vacation plan, the job market has a bumpy road ahead

The think tank stated that the plan has achieved “overwhelming success”, protecting more than 11 million jobs since March 2020, and it is expected to Coronavirus diseaseThe surge in unemployment driven by it has yet to materialize.

But the foundation added that about 1.7 million workers were still on vacation in late July, and the pace of people taking vacations stagnated, and the labor market was still “far from being completely healthy.”

Its report shows that if the vacation rate continues to decline at the same rate as when the economy reopened from April to June, about 900,000 employees would still participate in the program at the time of closure.

Many of these employees will return to their previous jobs, but the think tank stated that the company is unlikely to be able to immediately hire all previously laid-off employees.

It is predicted that the number of unemployed persons in the fall may increase by about 150,000.

Hannah Slaughter of the Resolution Foundation said: “The vacation program protected 11 million jobs and prevented unemployment disasters. But since the program will end in less than four weeks, the job market will happen next. What is huge uncertainty.

“Up to 900,000 workers were still involved when the program closed, but most of them may return to their previous jobs.

“Since the company has reported a’recruitment bottleneck’, even a surge in new jobs is unlikely to be enough to stop the unemployment rate from rising this fall.”

GMB General Secretary Gary Smith said: “After a decade of cuts, the Covid crisis exposed the terrible inequality in the UK economy.