REC Expect Temporary Olympic Jobs Boost

With the London Olympics now less than a month away, the REC have reported that the games could bring a welcome boost to employer confidence and the struggling temporary jobs market. Their latest JobsOutlook has considered the impact of the games on the UK jobs market, as well as looking at hiring intentions over the next 12 months.

Whilst many employers are planning to increase their temporary workforce, there was an increase in those who said that they are going to reduce staff levels, particularly because of the fragility of UK employer confidence. The REC have suggested that the Olympic games could be a short term fix for this sector of the jobs market.

The REC’s JobsOutlook found that 31% of employers are aiming to increase their agency worker numbers in the next 3 months, which is the same level as last month. Whereas 22% said they are intending to decrease levels, which has risen from 20%. There were similar results for the next 12 months, with 28% of businesses looking to increase levels (up from 26%), but 19% saying they will decrease use of agency workers (up from 15%).

Although the short term demand looks good, there is an issue with employers unwilling to commit to employing temporary staff and contractors in the long term. REC Director of Research Roger Tweedy described employers as being in a “sense of hesitancy” due to bad news within the economy and poor recent growth figures. With 24% of employers also adding that they think the Olympics will be good for business he continued;

“Consumer confidence is rising slowly, and the impact of that should filter through to businesses in a few months. Barring any terrible shocks from the eurozone and with the potential of a boost to business from the Olympics we could still be on track for slow improvements in job creation as time progresses.”

ICS are one of the leading contractor accountants and administration companies and have helped thousands of contractors working in a range of industry sectors. You can contact us now for a tailored proposal based on your individual circumstances as a contractor.