Trade unions concerned over Shropshire jobs forecast
Local trade unions say they are increasingly concerned about the forecast of a jobs disaster for Shropshire.
Shropshire and Telford Trades Council are dismayed at the forecast from the West Midlands Regional Observatory, which provides economic data and intelligence about the West Midlands Region.
The Observatory has forecast that the worst-hit areas are Shrewsbury and Oswestry where 2,000 public sector job losses will occur by 2016 (1,500 in Shrewsbury and 500 in Oswestry). But it has also warned that as a result of these job losses, 6,000 private sector jobs could be lost in Shrewsbury due to reduced demand in the local economy. The primary sectors impacted by this reduced demand include public transport, car parking, nurseries and creches, food outlets and pubs and bars.
Brett Davis, President of the Trades Council said: 'this report shows a direct link between the loss of public sector jobs and the resulting effect on the local economy. It doesn't take an expert to see that if people have less money to spend then the local economy will suffer, which will then in turn affect the council's ability to collect business rates from shops which have gone out of business. It's a terribly demoralising economic vicious circle for everyone concerned'.
The report also shows that with half of staff qualified to degree level or above, the public sector has been a key source of higher skilled 'knowledge based' jobs which has supported the regeneration and expansion of local economies across the county. As the public sector in Shrewsbury accounts for 38% of employment, unemployment in Shropshire will continue to increase. The Trades Council believes that this is too high a price to pay and will be a disaster for Shropshire's economy.
