REC/KPMG Report on Jobs: Candidate availability falls at fastest rate since 2004
8 April 2014
Candidate availability in March fell at its fastest rate since October 2004, according to the latest Recruitment & Confederation (REC)/KPMG Report on Jobs.
Tue, 8 Apr 2014Candidate availability in March fell at its fastest rate since October 2004, according to the latest Recruitment & Confederation (REC)/KPMG Report on Jobs.
The fall in the availability of temporary and contract staff was the fastest for almost 10 years.
Permanent placements by recruitment agencies continued to rise, although the rate of growth was lower than February’s 47-month high. Permanent placements grew in each of the four English regions monitored by the survey, with the strongest growth indicated in the North.
Demand rose for all nine types of permanent staff in March. The strongest growth was for engineering workers, while the slowest increase was recorded for blue-collar employees.
Agency billings from temporary/contract continued to grow for the 11th consecutive month, with the Midlands experiencing the strongest upturn.
Overall, the Report on Jobs Vacancy Index came in at 67.4, up on February and close to January’s 15-year high.
Tom Hadley, director of policy at the REC, says: “The trend of growth in people finding jobs across all industrial sectors and regions continues. Starting salaries and hourly pay rates are up as employers battle to entice the talent they need.
“However, worsening candidate shortages mean that the number of people available to fill both temporary and permanent jobs is falling at the sharpest rate in nearly a decade. We have a core group of long-term unemployed people whose skills don’t fit with current vacancies and are unable to access the jobs market.”
Bernard Brown, partner and head of business services at KPMG, says: “It’s particularly encouraging to note that employers are focusing on full-time employment, with more organisations offering contracts for permanent positions than temporary roles over the past month.
“It also appears that employers are attempting to encourage candidates to move away from the short-term mentality of temporary roles by raising the bar with the starting salaries aligned to permanent positions.
“Today’s data shows ‘offer salaries’ picking up at their sharpest pace for almost seven years, while contract staff saw their pay increase at the slowest rate since November 2013. It’s a welcome sign that employers have enough confidence to commit their balance sheets to long-term employment plans.”
The fall in the availability of temporary and contract staff was the fastest for almost 10 years.
Permanent placements by recruitment agencies continued to rise, although the rate of growth was lower than February’s 47-month high. Permanent placements grew in each of the four English regions monitored by the survey, with the strongest growth indicated in the North.
Demand rose for all nine types of permanent staff in March. The strongest growth was for engineering workers, while the slowest increase was recorded for blue-collar employees.
Agency billings from temporary/contract continued to grow for the 11th consecutive month, with the Midlands experiencing the strongest upturn.
Overall, the Report on Jobs Vacancy Index came in at 67.4, up on February and close to January’s 15-year high.
Tom Hadley, director of policy at the REC, says: “The trend of growth in people finding jobs across all industrial sectors and regions continues. Starting salaries and hourly pay rates are up as employers battle to entice the talent they need.
“However, worsening candidate shortages mean that the number of people available to fill both temporary and permanent jobs is falling at the sharpest rate in nearly a decade. We have a core group of long-term unemployed people whose skills don’t fit with current vacancies and are unable to access the jobs market.”
Bernard Brown, partner and head of business services at KPMG, says: “It’s particularly encouraging to note that employers are focusing on full-time employment, with more organisations offering contracts for permanent positions than temporary roles over the past month.
“It also appears that employers are attempting to encourage candidates to move away from the short-term mentality of temporary roles by raising the bar with the starting salaries aligned to permanent positions.
“Today’s data shows ‘offer salaries’ picking up at their sharpest pace for almost seven years, while contract staff saw their pay increase at the slowest rate since November 2013. It’s a welcome sign that employers have enough confidence to commit their balance sheets to long-term employment plans.”
