According to Middleton (1997) (University of Bristol) "Looking first at public sector employment (Figure5) we observe a near fivefold rise in its share of the total working population between 1900 and 1979," if that answers your question. It has probably dropped since then, or been "massaged" out, but still a LOT more.
What worries me is not just the idea of recessionary shake-out - I'm old enough enough to have been working in the early 70s and the 3-daY Week - but the fact that the link between effort and reward seems to have been broken. This affects a lot of things: I grew up in a council house in a nice little enclave; in the 1950s there was a "reward" system: be a good tenant, keep your house nice, pay your rent promptly and you get get upgraded to a bigger /nicer house in a better area. Allocation now is merit-blind, so the more inadequate and irresponsible you are (short of certain seriously criminal behaviour) the more the Nanny state looks after you. If there is a serious recession and the state can't/ won't support those who've got used to not working ( the three-generation benefit dependents we hear so much about) are they just going to look industriously for any available work? I think not. I reckon "It's my right, I'll take it" is more likely to be the order of the day.
I suspect the elderly will come off worst as services are cut and crime rises.
I noticed in my teaching days the increasing attitude not just of "I've a right to a job" but "I've a right to an interesting, well-paid job with good prospects" Does anyone else feel the culture of rights without responsibilities is going to make any upcoming recession more unpleasant than the one in the 70s?
Ah, well; have just thoroughly depressed myself.