The Report on UK Jobs is unique in providing the most comprehensive guide to the UK jobs market, drawing on original survey data provided by recruitment consultancies and employers to provide the first indication each month of labour market trends.
The main findings for UK jobs in October are:
Growth of staff appointments eases…
Permanent staff placements continued to rise in October, extending the current period of expansion to 25 months. However, the rate of expansion was the slowest since November 2013. Similarly, temporary/contract staff billings increased for an eighteenth successive month, but the latest rise was the least marked since June 2013.
…reflecting slower rise in demand for staff
Although the number of vacancies available to candidates seeking work also increased further in October, the rate of growth eased to a 10-month low.
Pay growth moderates
October data pointed to slower growth of staff pay. Permanent staff salaries increased at the weakest rate since February, while temporary/contract staff pay growth eased to a five-month low.
Candidate availability continues to fall sharply
Recruitment consultants reported that candidate availability remained tight in October. The rate of decline in permanent staff availability was marked, despite easing slightly to the slowest since May, while temp availability decreased at the fastest pace in three months.
Commenting on the latest survey results, Bernard Brown, Partner and Head of Business Services at KPMG, said:
“The slowdown in salary growth comes as little surprise, with many businesses trying to balance the books in the wake of reduced growth and output in some sectors, uncertainty over our relationship with Europe in others, and a reticence to pay over the odds when the right skills seem to be lacking.”
“Inflation may be easing, but with many people either struggling on low incomes or still behind the earnings curve because of years of pay freezes, it is something employers will have to consider very carefully. The ruling, earlier this week, on holiday and overtime pay will ensure this is an issue that will rumble on for some time.”