The rate of growth in both permanent and temporary/contracting vacancies has hit a 15-year high, the latest REC/KPMG Report on Jobs reveals.
With overall vacancies rising at their fastest rate since 1998, pay rates are also climbing vigorously. People considering whether to start contracting as Umbrella Company Employees may be looking at an especially good moment to begin: although vacancies surged, candidate availability fell during November, prompting employers to offer more lucrative pay rates than in October to lure talent into their organisations.
Permanent salaries also rose, hitting their highest level since November 2007. This is a development that prompted Bernard Brown, KPMG partner and head of business services, to warn that, if left unchecked, the pay rises in the war for talent could start to put “unsustainable pressure on businesses just at the time their cash flow problems are easing”.
The overall picture is enormously promising, with the Midlands once again proving to be a hotspot for temporary/contracting staff; however, temporary/contractor candidate availability dropped to its lowest level in nine years.
Vacancies for blue collar workers shot into first place in the demand league table ahead of last month’s front runner, engineering, which slipped to second place. All nine of the temporary/contracting categories saw a demand rise, with construction showing the weakest growth rate.
The REC’s CEO, Kevin Green, confirmed that “all sectors, all regions and both the private and public sector are in growth, which is fantastic news for British businesses, the UK economy, and people looking for work in 2014.”