Report on Jobs: Hiring Activity Growth Softens Further in May
The latest report on jobs by the Recruitment & Employment Confederation (REC) and KMPG has confirmed that the UK job market has taken a sustained slowdown in the growth of recruitment activity.
Whilst May survey data pointed to a further robust increase in hiring activity across the UK, there were signs of a further slowdown in overall growth. Most notably, permanent staff appointments expanded at the softest rate since March 2021, whilst temp billings increased at the slowest rate in 15 months.
The candidate shortage once again came into play in May as further deterioration in candidate supply was seen. Underlying data from the Report on Jobs indicates that permanent candidates continued to decline at a faster pace than that seen for temporary workers.
Demand for staff continued to rise at a historically sharp pace in May with permanent vacancies continuing to expand at a quicker rate than that of temp roles. Demand for short-term staff increased at the softest pace for five months.
With the supply of workers falling further and demand for staff remaining high, recruiters noted sustained upward pressures on rates of starting pay in May, with perm salaries rising at a rapid pace that was among the quickest since the start of this survey in October 1997.
You can download and read the full report here.
As the uncertainty surrounding the pandemic and socio-political climate continue, it is unsurprising that employers are focussing on retaining their current staff but also making additions to their teams to lessen unemployment levels and aid the growth of the UK labour market. To find out how Meridian can support your business through this uncertainty and beyond, please contact one of our team today.