How will the 2024 General Election impact the job market?

The UK unemployment rate currently sits at 4.3% as of March 2024, down from 7.9% when the Conservatives came into power in May 2010. The job market is facing issues, with AI impacting the way we work on a day-by-day basis, war in Ukraine and Israel affecting our economy, and big companies like The Body Shop facing administration. Here’s what the Labour Party, and the Conservative Party are promising should they win in July, and how it will impact the job market. 

What are the Conservatives promising, and how can it impact the job market? 

Raising Defence Spending to 2.5% of GDP by 2030 
This commitment will likely lead to job growth in defence manufacturing, R&D, and military services, bolstering employment in these sectors. 

Introducing National Service for 18-year-olds 
Aimed at reducing youth unemployment, this policy could provide skills and training, though its long-term career benefits are uncertain. 

Seeing the Rwanda Plan Through  
Designed to address illegal immigration, this policy may impact the availability of low-wage jobs by reducing competition from undocumented workers. 

Keeping Inflation Low  
Maintaining low inflation stabilises the economy, encouraging investment and job creation by ensuring predictable business costs and purchasing power. 

Abolishing National Insurance 
By eliminating this "double tax," the Conservatives aim to lower labour costs, potentially increasing hiring and boosting disposable income for workers. 

NHS Workforce Plan and Productivity Reforms  
Investing in the NHS workforce and improving productivity will create more jobs in healthcare, addressing current shortages and enhancing service delivery. 

Guaranteeing the Pensions Triple Lock  
Ensuring financial security for retirees may affect labour market participation rates, potentially freeing up job opportunities for younger workers. 

Doubling Free Childcare  
This policy aims to boost workforce participation, particularly among parents, by making it easier for them to balance work and family commitments. 

What are Labour promising, and how can it impact the job market? 

Delivering Two Million More NHS Appointments a Year 
This initiative requires a significant increase in healthcare professionals, expanding job opportunities within the NHS. 

Setting Up Great British Energy 
Creating a new public energy company will generate jobs in the green energy sector, promoting sustainable employment. 

Closing Private Education Tax Loopholes 
Redirecting funds to improve public schools could lead to more jobs in education, enhancing the quality of schooling. 

Improving Local NHS Care  
Focusing on community health services will increase local healthcare job opportunities, ensuring better access to care. 

Stopping Water Bosses’ Bonuses 
By curbing executive bonuses, Labour plans to reinvest in environmental jobs and infrastructure, promoting sustainable practices. 

Ending Hotel Use for Asylum Seekers 
Redirecting resources from temporary housing to other services could impact jobs related to asylum seeker support. 

Greater Support for Victims of Violence Against Women 
Expanding support services will create jobs in social care and protection roles, addressing this critical issue. 

Establishing Great British Railways 
Creating a public rail operator will generate jobs in the transport sector, focusing on efficiency and passenger service improvements. 

Making the Minimum Wage a Genuine Living Wage  
Increasing the minimum wage aims to improve income for low-wage workers, though it might raise costs for businesses, impacting their hiring capacity. 

Free Breakfast Clubs in Every Primary School in England 
This initiative will create jobs in education and childcare, supporting working parents and enhancing children's wellbeing. 

The upcoming election promises from both parties present distinct visions for the UK's job market. The Conservatives focus on economic stability, tax reductions, and defence investment, aiming to stimulate private sector growth and innovation. In contrast, Labour prioritises public sector expansion, social welfare, and sustainability, seeking to improve job quality and social equity.  

The balance between these approaches will ultimately shape the future landscape of employment in the UK, influencing everything from job creation and income levels to economic growth and workforce participation. 

For further details on their specific promises, visit the Labour Party's policy page and the Conservative Party's website. Neither party has released their official party manifesto yet, but you will be able to find these on their website once released.