Key points from the April survey:
- Strongest increase in permanent staff appointments in eight months
- Acceleration of pay growth for permanent and temporary staff
- Candidate availability deteriorated further
The main findings for April are:
Permanent placements growth accelerates…
The number of people placed in permanent jobs by recruitment consultants continued to rise in April. In fact, 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. This made it the strongest growth of demand for permanent staff in 6 months.
Pay growth strengthens…
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.
…amid tight candidate availability
The availability of staff to fill permanent roles deteriorated further in April, with the rate of contraction accelerating to the sharpest in five months. As much as around 41% of panellists reported lower permanent candidate availability versus 9% noting an improvement. Temporary/contract staff availability meanwhile declined at a marked pace that was similar to that seen in March.
Public & private sector vacancies…
Private sector demand for staff continued to rise at a stronger pace than that for public sector workers in April. The fastest rate of growth overall was signalled for private sector permanent employees.
Other vacancy indicators…
Latest official data from the Office for National Statistics (ONS) signalled that vacancies rose 19.8% on an annual basis in the three months to March. That was the slowest growth since January 2014.
Meanwhile, internet-based recruitment spending was up 4.5% on a year-on-year basis in the fourth quarter of 2014. This was the weakest rise since the first quarter of 2013.
Top Permanent Staff Sectors for Recruitment…
Good news for candidates in the financial services job market as Executive/Professional was the most in-demand category for permanent staff in April, with Accounting/Financial in second place.