Clients are more cautious in hiring and this has led to an adjustment in the basic salaries on offer to recruiters, according to the latest Heywood Associates Recruitment Salary Survey.

During the recession, a high number of consultants have experienced a reduction in basic salary, and commission payments were stopped. Candidates can no longer expect to receive a guaranteed pay rise on changing jobs, and consequently they need to review opportunities to ascertain whether career progression and OTE is a better option than that which they are currently receiving.

Simon Gee, managing director of the Heywood Group, says: “Recruiters appreciate that they are working in tough conditions, yet the recruitment sector as a whole remains financially lucrative compared to other sales-focused sectors. The fact remains that we will need to work harder this year just to stand still. Longevity of service has remained the same over the past 12 months.”

According to the survey, the static market has driven a number of trends including:

• continued demand for the professional services sectors
• increased competition in less populated sectors such as commercial, human resources and legal
• all seven key recruitment sectors have indicated a fall in demand for their products
• sustainable growth is not expected until Q2 2010, although experienced, strong fee earners will always be in demand
• clients are taking longer to make hiring decisions and basic salaries are not increasing
• financial guarantees are rarely offered.

The survey draws on an overall sample of 2,383 recruitment firms and 4,280 recruitment specialists across the whole of the UK.

• See Market indicators, Recruiter 28 October issue, for Heywood Search Salary Survey for details of the survey on the executive search and interim management sectors.