KEY POINTS FROM SURVEY

NATIONALLY 

Permanent staff appointments post further decline.
Lowest increase in permanent salaries since February 2021.
Further rises in candidate availability.

THE NORTH

September sees sharper decline in permanent placements.
Temp billings decrease for first time since April.
Staff availability rises amid deteriorating jobs market.

PERMANENT SALARY GROWTH FALLS AGAIN AS LABOUR MARKET CONTINUES TO SOFTEN

Commenting on the latest survey results, Jon Holt, Chief Executive & Senior Partner at KPMG UK, said: 

Commenting on the latest survey results, Jon Holt, Chief Executive and Senior Partner of KMPG in the UK said:
“While some sectors are still finding it difficult to recruit people with the right skills, the overall pool of available candidates is growing as companies are still faced with tough decisions on their headcount. This has led to a softening of salary inflation, which dropped to its lowest point since February 2021. The Bank of England will likely be encouraged by this easing in pay pressures, which could strengthen the case for a further cut in interest rates in the upcoming November meeting.
“The slowing of hiring activity seen in September is to be expected as businesses apply the brakes on recruitment ahead of the Budget and wait for clarity on future taxation, business, and economic policy. The Government needs to continue to give chief execs confidence in the UK’s macroeconomic conditions and the country’s route to stronger growth.”

Chris Scott, Office Senior Partner for KMPG in Manchester said:

“Hiring slowed in the North in September and included a temporary employment fall for the first time in five months. Despite a growing pool of available candidates due to a slowing market and increased redundancies, some businesses looking to hire are still struggling to find people with the skills they need. The slowdown in hiring may also have been exacerbated by companies awaiting clarity about how the Budget and related policy will impact their business.”

Neil Carberry, REC Chief Executive, said:

“This is a picture of a jobs market waiting for a signal. Recruiters report that projects in client businesses are ready to go, but confidence is not yet high enough to push the button. The market for permanent jobs declined in September but more slowly than in the month before, while the temporary hiring market was more resilient and grew in some places. Private sector vacancies are close to flat, which also suggests businesses are holding position.
“Pay continues to moderate and is now below its long-term trend. This should add to the willingness of the Bank to become more activist on interest rate cuts, as the Governor hinted last week. This would be a big boost to business.
“But eyes are also on the government. The Chancellor has a huge opportunity at the Budget to drive confidence in our economy. Firms want a clear industrial strategy that goes beyond a sector-by-sector approach, focusing on key growth enablers such as the workforce, infrastructure, access to capital, and the tax system. They also need clarity on the changes to employment law that are planned – as uncertainty in this area is also slowing employer confidence right now.”

DEMAND FOR STAFF BY SECTOR

Permanent Staff    

Permanent placements continued to decline in September, extending the current downturn to two years. The rate of contraction was again marked, though eased slightly on August’s five-month record. Panelists noted that clients were adopting a cautious approach to hiring amid uncertainty in the outlook. This was partly linked to perceptions of unclear government policy ahead of the Budget in late October.
The reduction in permanent placements was common across all regions of England. The steepest decline was seen in the South of England, the smallest in the Midlands.
Permanent vacancies declined across six sectors during September, with the steepest fall seen for retail workers. Where growth was registered, the best performance was recorded for Nursing & Medical Care.
Nursing/Medical/Care
Accounting/Financial
Blue Collar
Engineering
Executive/Professional
Hotel/Catering
Secretarial/Clerical  
Construction
IT/Computing  
Retail

Temporary/Contract Staff  

For a third month in a row, temp billings declined during September. The rate of contraction also accelerated, reaching its steepest since April. Firms noted a lack of demand amid tight client budgets and an uncertain business environment.
London recorded by far the steepest reduction in temp billings of the four English regions covered by the survey. In contrast, there was a marginal increase in the Midlands.
Except for Blue Collar, which recorded further modest growth in September, temp vacancies declined across all categories. There was some variance in rates of contraction. Executive & Professional posted the most pronounced contraction, with the slowest seen in Hotel & Catering.
Blue Collar
Hotel & Catering
Engineering
Construction
Nursing/Medical/Care
Secretarial/Clerical
Accounting/Financial
Retail
IT/Computing
Executive/Professional  

 

SKILLS IN SHORT SUPPLY

Key Permanent Staff Skills   

Accountancy/Financial:   Accountants, Accounts Clerks, Auditors, Bookkeepers, Corporate Finance, Credit Controllers, Estimators, Finance, Financial Accountants, Financial Services, Insolvency, Insurance, Part Qualified, Payroll, Practice, Risk, Tax & Audit, and Taxation.

Blue Collar:  Drivers, Fabricators, HGV Mechanics, LGV Drivers, Metal Fabricator and Security Guards.

Construction:  Architectural Techs, Construction Professionals, Quantity Surveyors and Surveyors.

Engineering: Aircraft Engineers, Civil Engineers, Design Engineers, Electrical Engineers, Electronic Design, Engineers M & E, Field Service Engineers, Fire & Security Engineers, Hardware Engineers, HVAC Engineers, Industrial Engineers, Oil & Gas, Senior Electronic Engineers, Senior Engineers, and Technicians.

Executive/ Professional: Business Development, Commercial Manager, Conveyancers, Energy & Renewables, HR, Legal, Management, Marketing, Mid-Senior Management, Procurement, and Valuations.

Hotel/Catering:  Chefs, and Hospitality.

IT/Computing: CAD, Cyber Security, Data Engineers, Data Scientists, Developers, Digital, Full Stack Developers, IT, Software

Architects, Software Developer, Software Engineers, Technical Roles, and Technical Sales.

Nursing/Medical /Care: Allied Health Professionals, Carers, Consultant Doctors, Doctors, Hearing Aid Dispensers, Nurses, Occupational Therapist, Optometrists, Pediatric Nurses, Paramedics, Pharmacy Managers, Physiotherapists, and Social Workers.

Secretarial/ Clerical:  Administration, and Office Support Staff.

Other:  Account Managers, Buyers, Career Advisors, Customer Service, Data Analyst, European Languages, Health & Safety, Logistics, Sales. Scientific, STEM, Supply Chain, and Teachers

Key Temp Skills    

Accountancy/Financial:  Accountants, Accounting Clerks, Credit Controllers, Finance, Finance Accountants, Part Qualified, Payroll, and Risk.

Blue Collar:  CNC Miller, Coating Inspectors, Coded Welders, Drivers, Electricians, FLT, HGV Drivers, LGV Drivers, Machine Operators, MOT Testers, Paint & Blasting, Vehicle Mechanics, and Welders.

Construction:  Decorators, Engineers E & I, Joiners, Painters, and Quantity Surveyors.   

Engineering: Automation Engineers, Civil and Design Engineers, Electrical Engineers, Fire & Security Engineers, Industrial Engineers, Marine Engineers, Oil & Gas, Service Engineers, and Structural Engineers.

Executive/Professional:  Human Resources and Talent Acquisition.

Hotels/Catering:  Chefs and Hospitality.

IT/Computing:  Cyber Security, Data Engineers, Developers, Front End Developer, Full Stack Developers, Java, Software Architects/Engineers, Technical Roles, and Technology.

Nursing/Medical/Care:  Allied Health Professionals, Consultant Doctors, Hearing Aid Dispensers, Nurses, Optometrists, Pediatric Nurses, Pharmacists, Physio’s, social Workers, and Support Workers.  

Secretarial/Clerical:  Administration, Office Support Staff, and Receptionists.

Other: Customer Service. Logistics and Teachers.

KINGSTON RECRUITMENT LTD Call us on – 01482 228891 or simply contact us via email at enquiries@kingstonrecruitment.co.uk 

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