One in ten private sector employers plan to outsource jobs abroad this year in a bid to grow staff levels at a lower cost, according to the Chartered Institute of Personnel and Development (CIPD).

Almost half of IT firms, and 17% of manufacturing companies, plan to relocate some jobs to other countries. Half of these jobs will go to India while a third will go to Eastern Europe, the report found.

"With many private sector companies looking to move jobs abroad in an attempt to find the right balance between skills, quality and cost reduction, the jobs market needs all the continued support and protection it is getting from the government," said John Philpott, CIPD chief economic advisor.