Member Article

Sharp rise in recruitment into permanent jobs across North

The number of people into permanent jobs across the North of England rose in November, for the seventh consecutive month, according to a survey of recruitment agencies suggested.

The rate of growth in permanent appointments outstripped the UK average, according to the Recruitment and Employment Confederation (REC) and KPMG’s survey.

Demand for permanent workers across the North rose at the strongest rate for almost 16 years during November, while the rise in temp staff demand was the quickest since June 1998. In both cases, the growth rates outpaced those seen at the national level.

The number of candidates available for permanent positions decreased for the tenth consecutive month.

Evidence from the recruiters surveyed highlighted shortages of Engineering, IT & Computing and Blue Collar temp workers.

Salaries paid to newly appointed permanent workers in the North of England increased for the twenty-first successive month in November. Although the slowest since August, the overall rate of salary inflation remained strong and was well above the long-run series average.

KMPG’s Mick Thompson commented: “Six months ago – after almost five years of pain – most employers in the North were wondering just how real the signs of recovery were. Businesses certainly seem more confident now, because, as 2013 draws to a close, companies in the North are maintaining their recruitment drive to the point that the rate of growth in vacancies has reached a high not seen in almost 16 years, surpassing the national average.

“Employers are trying to tempt top talent to change jobs by offering more in the way of cash or incentives. It’s a tactic that may bring short-term success, but risks inflating the jobs market and risks unnecessary and unsustainable pressure just at the time cash flow problems are easing.”

REC chief executive Kevin Green says: “We enter the New Year with job vacancies increasing. The fact that our figures show starting salaries continuing to grow, combined with continued skill and talent shortages, indicates that we can expect salaries to increase and job fluidity to accelerate into 2014.

“Report on Jobs show that all sectors, all regions and both the private and public sectors are in growth, which is fantastic news for British businesses, the UK economy and people looking for work in 2014.”

This was posted in Bdaily's Members' News section by Tom Keighley .