Senior recruitment professionals are optimistic about the future despite an impending recession, new research has revealed.

The research, from driving and technical recruiter Encore Personnel Services, shows that 47% of their clients believed they would use the same amount of temporary labour over the coming year as last year, while 86% did not think next April's increase in minimum wage and the holiday payment would affect them and that their use of temporary workers will remain the same.

The survey also showed that 74% of businesses believe that when the Agency Workers Directive comes into force they will still continue to use temporary labour in the same way.

The European Agency Workers Directive was passed by the European Parliament last week and gives temporary agency workers the same pay as permanent staff. Due to a deal struck between the Confederation of British Industry (CBI) and the TUC, UK agencies will be allowed to delay imposing the equal pay regulation until after a 12-week qualifying period.

Greg Latham, managing director at Encore Personnel Services, said: “It’s encouraging to note the general positivity of these responses especially as we enter into unchartered territory as far as the economy is concerned. The results definitely challenge other commentators beliefs and it’s comforting to know that client confidence is better than otherwise suggested. My belief is that any further adjustment to the National Minimum Wage, however, will have a major effect on wage inflation pressures and subsequently unemployment.”