The latest survey results from the Association of Professional Staffing Companies (APSCo) reveals some good news despite the uncertain outlook at present. It was found that both permanent and temporary positions have risen year-on-year (1% each). This falls in line with the latest data from the Office for National Statistics (ONS) which revealed that the unemployment rate remained at an 11-year low for the three months to November 2016.
Ann Swain, Chief Executive of APSCo comments, “There is no doubt that parts of the UK jobs market has suffered in the months following Brexit – and our data demonstrates that employers continue to take a far more cautious approach to hiring. However it is not all doom and gloom with several indicators suggesting that the UK is faring better than expected following the referendum. The IMF has raised its forecast for economic growth this year, the latest Purchasing Managers’ Index shows manufacturing growth at a 30 year high, and the latest PwC survey reveals 89% of CEOs are optimistic about growth prospects in 2017 – up from 85% last year”.
The APSCo data, which focuses on professional recruitment, reveals the obvious variations between the trade association’s core sector groups. While permanent positions across engineering and IT rose (2.4% and 19.1% respectively), placements within finance decreased by 4.6%. Despite positions rising in December, the number of new jobs available decreased by 2%. The overall demand for finance and IT staff fell across both the permanent and contract sectors – the finance taking a bigger hit with a 14% decrease! This however did not affect the salaries, as they saw an uplift of over 2% each!
This new information may come as no surprise considering the reports and headlines we all witnessed at the end of 2016. A reason for this stalled recruitment activity could be due to the banks pulling jobs from the City. Following Theresa May’s speech outlining the UKs Brexit Strategy, HSBC and UBS have already revealed plans to move at least 1000 jobs each from London, suggesting that this decline will keep on rolling downhill in the upcoming year.
But have no fear – jobs are becoming available each and every day. Positive news also hit the headlines this week about Starbucks promising to hire ten thousand refugees worldwide in response to Trump ban. When it comes to recruitment, 2017 is looking good so far. If you are looking for a job, then get in touch with RedBox Recruitment today!