Scottish workers are displaying higher levels of optimism about their job security coJmpared to the national average, according to the latest Jobs Confidence Index (JCI) from Robert Half, produced in collaboration with the Centre for Economics and Business Research (Cebr).
The report highlights that two-thirds (66%) of Scottish employees feel confident about their job security over the next six months, surpassing the UK-wide figure of 61%.
This heightened sense of job security in Scotland can be attributed in part to the strength of its renewable energy sector, particularly with GB Energy’s decision to base its headquarters in Aberdeen. Furthermore, speculation that Scotland could be selected to host the 2026 Commonwealth Games has added to the overall optimism in the region.
Positive Outlook on the New Deal for Working People
The report also reveals that Scottish workers are more optimistic about the potential impact of the New Deal for Working People on their daily working lives. A net 45% of respondents in Scotland believe the policy will have a positive effect on their work, which is above the UK average of 40%. This level of optimism is second only to London across the UK regions.
Reggie McMahon, Branch Director for Scotland at Robert Half, commented on the findings: “It’s encouraging to see the level of optimism that Scottish workers have in relation to their job prospects, particularly given the tough economic climate that so many have had to navigate recently. What we are clearly seeing now, though, are a number of green shoots of optimism for Scotland.”
McMahon attributes much of this positivity to the strength of Scotland’s energy sector, highlighting GB Energy’s new headquarters in Aberdeen as a significant boost for the local workforce. He also acknowledges that the potential economic impact of the 2026 Commonwealth Games, if hosted in Scotland, could further reinforce job security in the region.
Challenges for Employers Amid Rising Optimism
Despite the positive outlook for employees, there are concerns for employers, particularly around the recruitment and retention of skilled workers. McMahon warned that the increased confidence among workers could present challenges for businesses in competitive sectors such as STEM, which are vital to Scotland’s economy.
“For employers, there will be concerns around the impact that this optimism will have on the costs of, and ability to, recruit core talent – particularly in the harder hit skill-short STEM fields that are so critical to the Scottish economy,” said McMahon. He noted that with employees feeling more secure in their positions, competition for staff will likely intensify, putting additional pressure on wages and recruitment budgets.
The forthcoming introduction of the New Deal for Working People, combined with the anticipation of the UK Budget in October, could also create uncertainty for some firms. McMahon highlighted that some employers may be apprehensive about their hiring strategies and financial capabilities in the short term, as the legislative changes come into effect.
Implications for the Future of Work in Scotland
Scotland’s growing energy sector and potential future opportunities, such as the Commonwealth Games, offer a promising outlook for the region’s workforce. However, the challenges faced by employers in attracting and retaining talent will likely shape the future of work in Scotland.
As the region continues to develop its renewable energy market and adapt to changes in the economic landscape, businesses may need to adjust their strategies to ensure they can secure the talent necessary to support growth. Collaboration between government, industry, and educational institutions could be crucial in addressing skills shortages and fostering a workforce equipped for the future.
