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Govt efforts to cut deficit ''will lead to long-term job creation''
SUBMITTED DATE: 11/06/10
While there could be a short term rise in unemployment as a result of the government's efforts to cut the deficit, this is likely to lead to more UK jobs growth in the long term, an expert has suggested.
Dr John Philpott, chief economic adviser at the Chartered Institute of Personnel and Development, has highlighted the fact that this action is unavoidable but that it will be helpful in the long term.
He said that the system of cuts has largely been modelled on Canada during the 1990s and suggested that this could mean that a rise in unemployment will be avoided.
Dr Philpott explained: "The reason that the fall in the share of Canadian public sector employment in the 1990s is so large is because private sector employment increased to fill the gap."
Green Party MP Caroline Lucas recently told the Guardian that her party would create more UK jobs through investments in green infrastructure.
Dr John Philpott, chief economic adviser at the Chartered Institute of Personnel and Development, has highlighted the fact that this action is unavoidable but that it will be helpful in the long term.
He said that the system of cuts has largely been modelled on Canada during the 1990s and suggested that this could mean that a rise in unemployment will be avoided.
Dr Philpott explained: "The reason that the fall in the share of Canadian public sector employment in the 1990s is so large is because private sector employment increased to fill the gap."
Green Party MP Caroline Lucas recently told the Guardian that her party would create more UK jobs through investments in green infrastructure.
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