Fortunes for UK recruiters look much brighter in 2010, according to new research from industry analyst Plimsoll.

The research shows that early indicators suggest that conditions this year will be much brighter, with the market slowly emerging from the malaise of the last two years.
 
David Pattison, senior analyst and author of the 2010 Plimsoll Analysis, says: “Our latest analysis projects that a further 18,000 jobs will have to be shed if companies are to get back to profit and remain competitive in 2010. Whether through natural wastage or compulsory lay offs, job losses are necessary.

“With the average sales per employee figure down to £211,000, employees need to ‘buy in’ and contribute more to the recovery of their companies - if you still have a job expect to work much harder in 2010.

“£2bn worth of profit has been wiped from the market in the last year and employers have no choice but to cut their cloth accordingly and get more from their resources.
 
“In all we named 115 companies in our latest analysis that are ripe for takeover or merger with a larger parent. It’s a buyers market in 2010 with many companies still recovering from the recession. Our report has picked some great examples of companies that are currently undervalued because of the recession that would be very attractive to prospective owners.

“For many struggling companies, a buy-out may be the quickest route to get the company back on an even keel – even if it means relinquishing their independence.
 
“There are some real good news stories out there. We rated 507 companies as ‘Strong’ in our latest report. As expected this number is down compared to previous years but these companies will lead the market out of the downturn. They have managed to be commercially successful without jeopardising their financial stability.”
 
Recruiter readers are entitled to a £50 discount of the new special edition of the Plimsoll Industry Analysis – Recruitment Agencies. Call 01642 626400 for further details and quote reference PR/SV30.