Permanent placements growth at seven-month low, but temp billings rise at faster rate
- Permanent placements increase at slowest pace since September 2015
- Temp billings growth at 13-month high
- National Living Wage drives sharpest rise in temp pay since mid-2007
Permanent placements growth eases…
Recruitment consultancies indicated a further rise in the number of people placed in permanent jobs during April. However, the rate of growth eased to a seven-month low amid reports of increased client uncertainty. Correspondingly, growth of permanent staff vacancies was the slowest since May 2013.
Slower fall in candidate availability
The availability of staff to fill job vacancies continued to deteriorate in April. That said, rates of decline eased on the month. The latest fall in permanent staff availability was the slowest since January 2014, while temp availability decreased at the least marked pace in 31 months.
Further rise in permanent salaries; temp pay boosted by National Living Wage
Average starting salaries for people placed in permanent jobs increased further in April. The rate of pay growth remained marked, despite easing to a three-month low. Temp pay meanwhile rose at the fastest pace since July 2007, with panellists frequently citing the inflationary impact of the new National Living Wage.
Permanent placements growth slows further
The number of people placed in permanent jobs continued to rise in April. That said, the rate of expansion eased to a seven-month low and was below the survey’s historical average. Some panellists reported greater client uncertainty, in some cases linked to the upcoming EU referendum. Permanent placements rose across all four monitored English regions, with consultancies based in the North reporting the strongest expansion.
Slowest growth of demand for staff in almost three years
The Report on Jobs Vacancy Index slipped to 59.4 in April from 60.0 in March. The latest reading signalled the least marked expansion of demand for staff in 35 months.
Whereas permanent job vacancies increased at the slowest rate since May 2013, demand for temporary/contract staff rose at a slightly sharper pace than in March