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5/28/2010 2:58:53 PM
Fastest rise in permanent placements for over 12 years, Report on Jobs shows
The Report on Jobs, published in April by the REC and KPMG, has
signalled stronger increases in both permanent and
temporary/contract staff appointments during March.
The number of permanent staff appointments made by UK
recruitment consultancies increased again in March, with growth
picking up to the strongest since October 1997. Higher placements
were underpinned by a further expansion of permanent staff
vacancies, albeit the slowest in three months.
Growth of short-term staff appointments quickened to the
strongest for 34 months in March. Billings were driven higher by
the fastest increase in demand for temp staff since January
2008.
Recruitment consultants signalled another improvement in the
availability of staff during March. The supply of both permanent
and temporary/contract candidates increased at slightly faster
rates compared with one month previously.
Permanent staff salaries rose again in March. The rate of
inflation was solid, despite easing slightly from February’s 20
month high. Temp pay increased at a pace that, although modest, was
the sharpest since June 2008.
Kevin Green, the REC's Chief Executive said:
“Permanent appointments increasing at the fastest pace for over
12 years is the clearest sign yet of a revival in the UK jobs
market. A rise in both temporary and contract work at the sharpest
rate for nearly three years shows how they continue to provide
vital flexibility for UK businesses as well as a valuable route
back into work for job-seekers.
“However, the overall outlook is tempered by public expenditure
cuts which are already impacting on recruitment in this sector.
Deep-rooted reforms and innovative approaches to public sector
resourcing will be needed in order to maintain frontline services.
While high-end sectors such as IT and engineering continue to show
strong growth, demand is also increasing for secretarial and
back-office support roles.”
Bernard Brown, Partner and Head of Business Services at KPMG
commented:
“The UK jobs market seems to be going from
strength to strength with permanent job placements growing at the
fastest rate for over 12 years. These figures show that private
sector confidence is returning and that the UK is exiting recession
at a pace. However, a lot of the current hiring activity is going
on in the public sector. The public sector recession which clearly
is on the cards hasn't hit the jobs market yet but when it does,
the upwards trend we have seen over the last couple of months may
come to a halt.”
Reprinted with kind permission of the REC.