- Stronger expansion in permanent placements, but temp billings growth softens
- Starting salaries increase at second-fastest rate in over three years
- Staff vacancies continue to rise at historically marked pace
Permanent placements expand at quicker pace…
Permanent staff placements rose at the steepest rate for five months in August amid reports of robust demand for staff. Temp billings meanwhile increased at a rate that, though still sharp, was the softest recorded since October 2016.
…buoyed by further sharp rise in vacancies
Demand for staff remained strong during August. Notably, vacancies expanded at a pace that was only fractionally slower than July’s eight-month record. Encouragingly, steep increases in demand were seen across both permanent and temporary job categories.
Permanent starting salaries rise at sharper pace…
Average starting salaries awarded to newly-placed permanent staff rose at the second-sharpest pace for over three years in August. At the same time, short-term pay rates also increased strongly, despite the rate of inflation softening from the previous month.
…driven by further drop in labour supply
Sharp rises in permanent staff appointments were registered across all four monitored English regions in August, led by London.
Demand for staff rose across both the public and private sectors during August, with the latter noting the fastest increases in job vacancies.
Overall, the strongest upturn in demand was registered for permanent workers in the private sector. The weakest, but still strong, rise in vacancies was seen for permanent public sector staff.
Of the ten broad job categories monitored by the survey, IT & Computing once again led the rankings for permanent job vacancies in August. That said, marked increases in demand were also seen across all other sectors with the exception of retail, where vacancies stagnated.
“The biggest long-term question on jobs is how they will be affected by new technology and stiff price competition driven by value-conscious consumers. For recruiters, helping people find pathways from sectors like retail into growing sectors will both boost opportunity and address candidate shortages in key sectors.”