Recruitment Activity August 21

Permanent staff appointments expand at record rate

Unprecedented decline in availability of workers

Starting salary inflation hits fresh series high

Record increase in permanent placements during August

After slowing in July, growth of permanent staff appointments across the South of England accelerated to a fresh series high in August. The rapid upturn was frequently linked by recruiters to increased market activity following the relaxation of pandemic measures and greater demand for staff. However, the pace of expansion remained softer than that seen across the UK as a whole.

Starting salary inflation accelerates to fresh record high

Marked and accelerated rise in starting salaries for permanent workers in the South of England during August. Candidate shortages and efforts to secure skilled staff had placed further upward pressure on pay.

Demand for workers across the South remain strong, and permanent appointments rising at a record rate is indicative of that. However, the region still faces a significant shortage of permanent and temporary staff, with availability now plummeting. This is a reminder that the impact of the pandemic and of Brexit may well be felt for some time to come, and businesses will need to remain resilient, and efficient with the resource available to them, until a balance between demand and supply is established.

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