A week in HR: Brown in cash boost to stem rising unemployment

The key story this week is the 'golden hello' that Gordon Brown is offering to employers willing to take on the long-term unemployed. In other news, a new survey has found that HR managers see employee retention as the greatest challenge this year. By Annie Hayes.

Prime Minister Gordon Brown has announced far reaching plans to get 500,000 people back into work or training in an attempt to stop the rising jobless count. Last week, HRZone.co.uk reported on figures from the centre for economics and business research, predicting unemployment to hit 2.8 million within 12 months. As part of the reform package, Brown said employers would be given up to £2,500 for every person they trained who had been unemployed for more than six months. The move was unveiled as Brown hosted talks with business and union leaders about measures aimed at safeguarding jobs during the downturn.

At the 'Jobs Summit', Brown said spending £500m would help 500,000 people into work or work-focused training.