-BRC: Q2 Full Time Equivalent Employment Up 1.8% y/y

London (MNI) – Employment in the UK retail sector is continuing to
rise, driven higher by the food sector, the BRC-Bond Pearce Retail
Employment Monitor shows.

Retail employment in Q2 was up 1.8% on the year and looks set to
continue rising, with a net 9% of retailers saying they expected to
increase staffing levels. The numbers of stores, however, fell 0.5% on
the year, the first decline since the survey began in October 2008.

BRC economist Richard Lim said the survey reflected the
unprecedented changes going on in retailing, with pressures on high
street outlets from online sellers and with supermarkets moving into the
convenience sector.

The major supermarket chains, which are included in the food
sector, have been opening a lot of relatively small outlets in the UK
high street, often using part time workers.

“The number of full time employees per store is actually falling,”
Lim said.

The BRC survey showed employment intentions have improved with 83%
of retailers within the sample expecting to keep staff levels unchanged,
up from 58% last year, whilst only 4% plan to lower staff levels, a
large decrease from 25% a year ago.

Stephen Robertson, British Retail Consortium Director General, said
“retail as a whole is still where much-needed new jobs are coming from
but, within that, it’s food retailing that’s providing more work.”

Christina Tolvas-Vincent, Head of Retail Employment at business law
firm Bond Pearce, recognises the positives but is under no illusions
that “serious concerns remain.”

“The number of retail outlets is falling for the first time,
reflecting the immense pressure on high street retailers in particular
and for non-food retailers, employment levels are down,” she said.

The Olympics should provide a short term boost to retail employment
at the start of Q3. Sunday trading laws have been relaxed for the games,
with larger stores allowed to open for longer.

Lim said there were anecdotal reports of retailers planning to take
on more part time staff or extending working hours for the Olympics,
which start this week.

–London newsroom: 4420 7862 7492; email: ukeditorial@marketnews.com
Reporting by Jack Teague

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