Permanent placements hit five-month high
8 August 2014
Permanent placements hit a five-month high in July, marking the 22nd consecutive month of growth, according to the Recruitment & Employment Confederation (REC) and KPMG Report on Jobs.
Fri, 8 Aug 2014Permanent placements hit a five-month high in July, marking the 22nd consecutive month of growth, according to the Recruitment & Employment Confederation (REC) and KPMG Report on Jobs.
Bernard Brown, partner and head of business services at KPMG, said: “For the first time in months we are witnessing churn in the labour market. It seems that employees are finally beginning to wake up to the opportunities available to them, with the rates of growth of both permanent and temporary placements accelerating simultaneously for the first time since the winter.”
The seasonally adjusted index for permanent placements hit 64.9 (50 equals no change) in July, the highest rate since February’s score of 65.2. The IT and computing sector led the growth in perm demand at 63.5, with construction, engineering and nursing/medical/care all posting strong results.
At the same time, permanent staff availability fell further in July, with the rate of decline accelerating at the sharpest rate in the survey’s history. More than half of panelists signalled a reduction in permanent candidate supply.
Temporary billings hit 63.0, the highest reading in 2014, marking seven consecutive months of growth: “The Midlands posted the strongest expansion of temp billings during the latest survey period, with growth there considerably faster than in the other regions,” said the statement.
Kevin Green, REC chief executive, said: “The UK’s post-recession problem is skill and talent shortages. The economy is going to be constrained by this ongoing talent crisis if employers keep doing business as usual. Hirers need to take on more young people and train and develop their employees like never before. Investing in staff development will help companies attract and retain talent.”
Bernard Brown, partner and head of business services at KPMG, said: “For the first time in months we are witnessing churn in the labour market. It seems that employees are finally beginning to wake up to the opportunities available to them, with the rates of growth of both permanent and temporary placements accelerating simultaneously for the first time since the winter.”
The seasonally adjusted index for permanent placements hit 64.9 (50 equals no change) in July, the highest rate since February’s score of 65.2. The IT and computing sector led the growth in perm demand at 63.5, with construction, engineering and nursing/medical/care all posting strong results.
At the same time, permanent staff availability fell further in July, with the rate of decline accelerating at the sharpest rate in the survey’s history. More than half of panelists signalled a reduction in permanent candidate supply.
Temporary billings hit 63.0, the highest reading in 2014, marking seven consecutive months of growth: “The Midlands posted the strongest expansion of temp billings during the latest survey period, with growth there considerably faster than in the other regions,” said the statement.
Kevin Green, REC chief executive, said: “The UK’s post-recession problem is skill and talent shortages. The economy is going to be constrained by this ongoing talent crisis if employers keep doing business as usual. Hirers need to take on more young people and train and develop their employees like never before. Investing in staff development will help companies attract and retain talent.”
