GrannyGravy13 in answer to your question.
Rising costs will/may encourage employers:
1. to increase productivity and efficiency because it encourages automation.
2. to focus on hiring more skilled employees who can add greater value to the organisation, leading to a rise in higher-quality jobs.
3. to invest more in developing their workforce to make them more productive.
4. to enhance their staff's skill sets, leading to overall industry improvement and better job stability.
5. to provide enhanced employment packages in order to attract and retain talent, some businesses may respond by offering improved benefits, such as additional training, enhanced health benefits, or flexible working arrangements, which can improve employee satisfaction and retention.
6. to support growth in sectors that support efficiency, such as HR outsourcing, payroll services, and consulting firms that help businesses adapt to changing employment law.
7. to inspire entrepreneurship and innovation, leading to startups focused on providing solutions to help businesses manage their workforce effectively.
8. enhance job security by favouring retaining existing workers over hiring new ones, leading to greater job security for current employees as businesses stabilise their employment strategies.
Not all these changes will necessarily happen and I will have missed some. However, it does show that an instant, gut reaction may only give half the story and is often only about today, not the reality of the future.