The latest KPMG REC Report on Jobs shows the number of people placed in permanent jobs by recruitment consultants continued to rise in April. Moreover, the rate of expansion quickened to an eight-month high. This reflected a stronger increase in demand for staff, with permanent vacancies rising at the fastest pace since October 2014.
Agency short-term staff billings also grew in April but the latest increase was the slowest in six months. This corresponded with a moderation in the rate of growth of demand for temporary/contract staff to the least marked since January.
Growth of permanent staff salaries accelerated to a nine-month high in April, with panellists highlighting a combination of strong demand and skill shortages. Hourly rates of pay for temporary/contract staff meanwhile increased at the fastest pace since July 2007.
The availability of staff to fill permanent roles deteriorated further in April, with the rate of contraction accelerating to the sharpest in five months. Temporary/contract staff availability meanwhile declined at a marked pace that was similar to that seen in March
Commenting on the latest survey results, Bernard Brown, Partner and Head of Business Services at KPMG, said:
“There has been a resurgence of recruitment into Britain’s boardrooms, with businesses poaching top talent to drive their companies forward. This surge of executive hires is a strong indication of underlying business sentiment and their ambitions for the future.
“However, while the highest paid are benefiting from the recovery, demand for permanent staff remains more muted in the manufacturing sector. This section of the market is often the first to stall in tough economic conditions and the last to recover, emphasising the divergent fortunes facing job seekers in today’s market.”