REC Chief Executive Kevin Green on BBC Radio Five Live's Wake Up To Money

The REC's Chief Executive Kevin Green was interviewed on BBC Radio Five Live's agenda-shaping programme, Wake Up To Money this morning, ahead of the latest inflation figures which were published today.

The latest figures from the Office for National Statistics show that the Consumer Prices Index (CPI) inflation went down to 3.4 per cent in February compared to 3.6 per cent in January. At the same time, the Retail Prices Index (RPI) inflation fell 0.2 per cent from 3.9 per cent in January to 3.7 per cent last month.

Ahead of their publication, Kevin was interviewed with Chris Williamson, Chief Economist of Mark-It which produces the data for the REC's flagship Report on Jobs, to discuss how the so-called "squeezed middle" is coping with the current economic climate.

Explaining the factors behind the squeeze, Kevin said part of it was due to current pay freezes, mainly in the public sector which employs 22 per cent of the UK's total workforce. 

He added that the conditions in the current market were completely different from those in previous recessions when inflation was running much higher. While this uncertainly continued, businesses were witholding their cash reserves rather than investing in growth which in turn, would create more jobs.

The REC has already called on Chancellor George Osborne to be bold in his Budget tomorrow (Wednesday) and announce measures that would boost employer confidence in order to stimulate job creation.

The REC will maker a full statement following the Budget announcements tomorrow and will analyse how the Chancellor's provisions within it  could  impact on the recruitment industry.

To hear Kevin's interview on BBC Radio Five Live, go to the 17.50 mark on the podcast: http://www.bbc.co.uk/iplayer/console/b01dhjql