Is your organization feeling the effects of the global economic downturn?

Network HR recently completed a Market Confidence Survey of HR or Training Professionals in the UK to establish the extent of the effects of the recession on UK companies and their perceptions of the year ahead. 136 responses were received, from the following sectors:

Business to Business 13%
Construction 7%
Distribution 11%
Education 1%
Engineering 4%
Energy & Utilities 3%
Food/Drink Manufacturing 5%
General Manufacturing 18%
IT/Telcos 4%
Local Authorities 5%
NHS 1%
Not for Profit 10%
Professional Services 5%
Retail & Leisure 13%

1. Is your organisation feeling the effects of the global economic downturn?

81% Yes
12% No
5% unsure
2% Did not answer

2. If you answered Yes to Q.1, when do you feel market conditions will improve in your market sector?

26% 18 months
25% 12 months
20% Did not know
16% Did not answer
9% 9 months
4% 6 months

3. How secure do you feel in your role?

51% Secure for now
22% Uncertain
15% Very secure
10% Insecure
2% Did not answer

4. Do you expect employee numbers to remain stable, shrink or grow in your organisation in the next 12 months?

55% Shrink
29% Remain stable
9% Grow
5% Did not answer
2% Unsure

5. Do you feel media coverage of the economic downturn has been:

34% Overly negative
33% Damaging
17% Exaggerated
13% Realistic
2% Accurate
1% Did not answer

6. How is your organisation adapting in response to current market conditions?

This was a free type answer but the 10 most common strategies given are as follows:

1. Making cost reductions
2. Redundancy programmes
3. Business re-structuring
4. Recruitment freeze
5. Minimal recruitment
6. Business as usual
7. Lowering operating costs
8. Improving business efficiency
9. Introducing shut down/lay off periods

7. What are the 3 key themes for your HR/Training/Recruitment departmentís strategy in response to business challenges for 2009?

This was a free type answer but the 10 most common themes given are as follows:

1. Employee/talent retention
2. Training/improving talent/management development
3. Cost management/reduction
4. Improving employee morale/motivation
5. Employee engagement
6. Improving efficiency
7. Redundancies
8. Performance management
9. Restructuring
10. Recruitment freeze

8. To support current business challenges, does your department employ the use of Interim Professionals?

66% No
28% Yes
4% Unsure
2% Did not answer

9. Within your organisation, have budgets for Training & Development been:

49% Kept about the same as 2008
37% Decreased
9% Increased
5% Did not answer

10. Overall, how are you feeling about the year ahead?

47% Ready for the challenge
31% Concerned
14% Optimistic
3% Did not answer
3% Indifferent
2% Other (including uncertain, excited and philosophical)