Unemployment set to peak this year at 2.8 million

Unemployment will peak this summer at 2.8 million, with the jobs market only showing signs of recovery in the second half of 2010, the CIPD has predicted.

A further 250,000 jobs will be lost in the next two quarters, but the coming year will still be better for employment than 2009, according to the institute’s annual Barometer Report. The forecast of 2.8 million jobless people is also a significant reduction from the CIPD’s previous prediction made in mid 2009 that unemployment would reach 3.2 million.