Demand for temps and permanent staff on the up

Employers’
demand for both permanent and temporary staff is increasing, according to
research.

The
June Report on Jobs survey, by the Recruitment and Employment Confederation,
shows that the number of permanent staff recruited last month increased for the
fourth consecutive month and by the fastest growth rate since March 2001.

The
use of temporary staff increased for the sixth month running and at the fastest
pace for 15 months.

The
demand for staff was strong in all sectors except IT & computing. Staff
availability also improved during June for the 13th month in succession, but
the rate of availability remained below last December’s high. 

The
research finds that permanent salaries increased modestly for the sixth month
running while temporary staff pay rates grew at their fastest since last
August.

Brett
Walsh, head of UK human capital at HR consultancy Andersen, believes employers
are still reluctant to recruit despite the increased demand for staff.

He
said: “Although the demand for staff has recovered significantly from the lows
of late last year, the pace of growth remains weak compared to that seen prior
to last year’s slowdown. Increased hesitancy by employers with regard to new
staff, especially permanent employees, was also apparent attributable to
widespread uncertainty about the strength of the current upturn and the
long-term economic outlook.”

By Paul Nelson

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