KEY POINTS FROM SURVEY
Permanent staff appointments increase moderately
Temp billings fall for first time since April 2013
Permanent staff vacancies rise at quickest pace since last March
FOR THE NORTH OF ENGLAND
Marked increase in permanent staff appointments.
Growth of demand for workers improves notably
Rates of pay inflation soften
IMPROVED MARKET CONFIDENCE LEADS TO STRONGEST RISE IN PERMANENT PLACEMENTS FOR OVER A YEAR!
Commenting on the latest survey results, James Stewart, Vice Chair at KMPG, said:
“Following the UK exit of the EU, there are promising signs that the UK jobs market is finally on the up with the strongest rise in permanent places for over a year – good news for job hunters.
However, with regulatory and trade negotiations all to play for, there is still a long way to go for a deal to be struck and businesses to have the clarity they need.
Brexit is unchartered territory so the reality is the uncertainty will linger, but key investment decisions on hiring need to be made to build confidence and help get the UK back on the path to growth.”
Euan West, Office Senior Partner at KMPG in Leeds, said:
“As anticipated, we are seeing the job market throw off some of the shackles associated with months of economic uncertainty. Firms are seeing the first half of this year as an opportunity to press ahead with their growth plans, despite the fact there is a long way to go until the region’s businesses have the clarity they need, due to ongoing EU trade and regulatory negotiations. As a result, the demand for highly skilled workers has accelerated significantly putting job-movers in a strong position to boost their prospects.”
Neil Carberry, Recruitment & Employment Confederation chief executive, said:
“It’s good to see that businesses have grown in confidence over the past two months and taken the opportunity to restart hiring. Permanent placements are up again and demand for staff has risen at the quickest rate for ten months. This is good news for employers, recruiters and candidates – all three can now get on with making the economy flourish in 2020.
But the upcoming IR35 reforms are having a negative impact on the availability and placement of temporary workers. It is vital that people pay the right amount of tax and that the system is fair, but for both of those things to happen we think the government needs to pause and think again on how IR35 changes. The temporary labour market is being stifled and that is not good for employer’s or our economy.”
DEMAND FOR STAFF BY SECTOR
January survey data signalled a second successive monthly rise in the number of permanent staff appointments across the UK. The rate of expansion accelerated slightly to a 13-month high but remained moderate overall. The increase in permanent placements was widely linked to a rebound in market confidence following the decisive general election result in December, which had left clients to push ahead with previously delayed recruitment plans. However, there were still reports that economic uncertainty had dampened overall growth.
Regional data pointed to divergent trends, with permanent staff appointments rising in the North and South of England, but falling in London and the Midlands.
Increases in demand for permanent staff were recorded across all ten monitored job categories bar Retail at the start of 2020. The quickest expansion in vacancies was seen in Accountancy/Financial, closely followed by Engineering.
UK recruitment consultancies indicated that billings received from the employment of short-term staff fell in January. Though only fractional, it marked the first reduction in temp billings for 81 months. Panel members that registered a decline often attributed this to the upcoming IR35 reforms. Some recruiters also cited a greater preference for permanent workers at the start of the year.
London and the South of England both recorded lower temp billings during January after increases in December. However, growth was sustained in the Midlands and the North of England.
The majority of monitored job sectors noted greater demand for short-term workers in January, with the strongest increase seen in Engineering. Only two sectors recorded lower demand for temp workers, namely Retail and IT & Computing.
Hotel & Catering
SKILLS IN SHORT SUPPLY
Key Permanent Staff Skills
Accountancy/Financial: Accountants, Auditors, Book Keepers, CFO’s, Credit Controllers, Estimators, Finance, Insurance, Investment, Management Accountants, Payroll, Pension Admin, Risk, Taxation.
Accountancy/Financial: Accountants, Auditors, Book Keepers, Credit Controllers, Estimators, Finance, Financial Analysts, Para-planners, Pension Admin, Risk, Taxation.
Blue Collar: Fork Lift Drivers, HGV Drivers, Machine Operators, Production Staff, Warehouse staff.
Construction: Architectural Technicians, Construction, Construction Sales, Quantity Surveyors.
Engineering: Design Engineers, Electrical Engineers, Maintenance Engineers, Mechanical Engineers, Senior Electronic Engineers, System Engineers, Technicians.
Executive/ Professional: Compliance, Directors, Executives, Geologists, Legal, Legal Secretarial, Marketing, Portal Fee, Project Managers, Solicitors.
Hotel/Catering: Baristas, Catering, Chefs, Front of House, Hospitality, Kitchen Porters.
IT/Computing: Analysts, CAD, Data Professionals, Data Scientists, Database Developers, Design Managers, Developers, IT, Software Engineers, Technical Sales, Technology.
Nursing/Medical /Care: HAD’s, Medical, Nurses, Optometrists, Pharmacists, Support Workers.
Retail: Sales Staff.
Secretarial/ Clerical: Administration, Office Staff, Receptionist’s.
Other: Buyers, Call Centre, Customer Service, German Speakers, Quality Control, Sales, Semi-skilled workers, Skilled Workers, Supply Chain, Telesales.
Key Temp Skills
Accountancy/Financial: Accountants, Auditors, Credit Controllers, Finance, Finance Directors, Financial Controllers, PAYE, Pension Admin, Risk.
Blue Collar: Blue Collar, Decorators, Drivers, FLT Drivers, HGV Drivers, Labourers, LGV Drivers, Machine Operators, Manufacturing Ops, Packers, Plumbers, Production, Rail, Warehouse Operatives, Welders.
Construction: Construction Workers, Planners, Quantity Surveyors.
Engineering: Design Engineers, System Engineers.
Executive/ Professional: Legal, Legal Secretarial, Marketing, Portal Fee.
Hotels/Catering: Baristas, Catering, Chefs, Hospitality, Kitchen Porters.
IT/Computing: C#, CAD, Data Scientists, Data Developers, Developers, IT, Java, Technology.
Nursing/Medical/Care: Doctors, HAD’s, Health Care Assistants, Nurses, Optometrists, Paramedics.
Secretarial/Clerical: Administration, Office Staff, Receptionist’s.
Other: Buyers, Customer Service, Health and Safety, Skilled Workers, Testers, Unskilled Workers.
Even though all of us here at Kingston Recruitment are working from home, we are still very much working together and as a team!
We hope everyone is taking care