The REC’s monthly report on jobs has found that both temporary and permanent placements and billings have again decreased, however at a weaker rate than previous months. The report, which compiles data from a range of recruitment consultancies, confirmed that the temporary jobs market contracted for the eighth month running, which is a worrying sign.
Despite contrasting views from other recruiters recently, the REC and KMPG report noted that engineering, construction and nursing/care workers were the most in demand sectors, but said that July saw further reductions in staff appointments, both permanent and short term.
With some concerns over official government figures, most notably GDP and unemployment, the continued struggle of the jobs market may cause more worries for the UK economy. However, Kevin Green of the REC believes that the labour market has coped well given the recent economic conditions.
He said; “The UK’s labour market deserves a gold medal for its incredible performance in the face of adversity so far this year.” But he also confirmed that this run might be coming to an end, especially given that the previously strong temporary jobs market has seen an eighth consecutive month of contraction.
Mr Green described how unemployment figures have fluctuated, which is an effect of the economic recovery as employers slowly begin to take on more staff, many on short term contracts, and added that current fragile confidence is making this process take longer. He was also positive about specific sectors, such as engineering and computing, defying decline and generating “significant demand for staff”.
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