Permanent recruitment reaches one-year high


Growth in permanent recruitment reached a one-year high in February, according to the latest data from the Recruitment and Employment Confederation (REC).

By contrast, the latest Report on Jobs showed recruitment for temporary roles grew at its slowest rate for four months.

According to REC, the number of vacancies on offer continued to increase in February. Overall, demand for staff rose at its quickest rate in one-and-a-half years, with faster increases for both permanent and temporary workers.

At the same time, however, candidate availability declined sharply, with REC pointing out that availability of both permanent and temporary workers fell at the sharpest rate so far this year.  Meanwhile, starting salaries for permanent roles increased at their quickest pace for almost a year, while temp pay grew at its fastest rate for nine months.

When viewed by region, permanent recruitment increased across all English regions in February, while Scotland saw its first increase since September 2016.  

Demand in the private sector remained significantly stronger than in the public sector, with private sector demand for staff reaching a 20-month high.

There was growth in demand for permanent roles across all sectors, with the biggest increases seen in engineering, IT and computing and nursing / medical / care. For temp roles the biggest demand was in engineering, followed by nursing / medical / care and blue collar roles.

Kevin Green, REC chief executive, said: “Although permanent placements have hit a 12-month high, businesses across the UK are finding it increasingly difficult to recruit for permanent roles. The big question still remains about how employers will fill their vacancies.

“The Chancellor is expected to announce a boost for vocational training in today’s budget and this is very welcome. However, it won’t solve the immediate need for people to fill jobs. We’re already seeing acute staff shortages in a variety of sectors, from healthcare to engineering. This is likely to get worse, especially if the Government continues to refuse the rights of EU citizens living in the UK post-Brexit.

“On the flip side, this is a good time for individuals prepared to move jobs, with bumper pay offers on the table as hirers compete to secure the talent available. In the context of rising inflation and stagnating pay growth, changing employers is becoming a more attractive option for those looking for more money.”

Wednesday, 8 March 2017

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