Job market
Published: 09 January 2008
Permanent staff appointments rose at the slowest rate in four and a half years, while temp billings increased at the weakest pace for 20 months, according to December’s Report on Jobs.
The report, from the Recruitment and Employment Confederation and KPMG, signalled that pay inflation moderated further, reflecting slowing growth of demand for staff and easing skill shortages.
Alan Nolan, director at KPMG, says: "As the full impact of the credit crunch on the economy is still uncertain, businesses are becoming more cautious. Thus, the growth in both permanent placements and temporary demand for staff continued to slow last month. There is even speculation of redundancies within specific sectors such as HR and investment banking. In the coming months, employers will be reviewing resourcing requirements and either considering redundancies or maintaining a flat headcount as a way of riding out the storm."
The report also revealed that candidate availability fell at a weaker rate.
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