For many the events of 2016 have created worldwide interest like never before. But whilst social media and the news has gone crazy after the results of Brexit and the US elections, the events of this year have also led to a lot of global uncertainty, with many economists and recruiters not knowing how the next 12 months will pan out.
However, whilst we don’t know a lot about how Brexit or the incumbent American president will effect much of the world we live in, there are a number of areas that we do know will change from the events of 2016 and that they will effect the recruitment world and the industries surrounding it.
The fall in the value of the pound
Perhaps the biggest impact of the Brexit vote so far has been the fall in the value of the pound against many other currencies. For those companies that have staff or offices abroad, this has meant taking a hit on the exchange rates as salaries and expenses paid in Dollars or Euros suddenly demand more pounds from cashflow. For organisations exporting products out of the UK, this exchange rate shift has proven profitable, but it will also have the opposite effect to companies importing goods from EU member states.
Businesses moving out of London
Until article 500 is activated, we remain in a tentative position of not really knowing what a future after Brexit will look like, and so very few businesses will decide on their future until they know more. However, there is no doubt that Brexit could mean that London is no longer a passport to the EU for many businesses. This could result in finance and insurance companies leaving the nations capital, leading to a drop in London recruitment.
Fewer overseas jobs
Whilst businesses with multiple offices might previously have been able to offer positions all over Europe to UK applicants, because of Brexit and the possible reduction in the free movement of employees, this may no longer be possible in 2017. This means that jobs in the EU being offered by UK recruiters are likely to be significantly reduced, as fewer businesses want to take the hit on the expense or hassle of bringing in employees from outside EU borders.
Opportunities for those who evolve
Of course, every crisis also potentially represents an opportunity and there are a few of those around right now, despite many of the dark predictions. For example, some firms have begun to offer roles that are related to making the most of Brexit. There are plenty of ways the changes could improve efficiency and lead to a cut in excessive wastage from budgets, creating more resource for key staff across the UK.