The number of permanent job placements in January rose to its highest level in six months, the NTC Economics monthly Report on Jobs showed.
The survey of 600 UK Recruitment and Employment Confederation consultancies showed January placements were up more than 10% from December and almost as high as recruitment levels in October 2005. This indicated that the market had recovered from the annual dip over Christmas.
Recruitment agencies’ billings from temporary and contract staff also rose in January, although the figures were down by more than 15% compared with December’s peak.
The rate of increase for temporary and contract staff billings has remained robust over the past six months, although the overall demand for staff fell slightly after the festive period to its lowest level.
Michael Carter, people services partner at KPMG, sponsor of the report, said the results highlighted how important remuneration was when attracting and retaining quality employees.
“Employers cannot afford to be complacent as employees expect and demand more as part of the price of staying loyal to a particular employer,” he said.
“Introducing elements of flexibility can help companies attract, motivate and retain the right staff and differentiate them from their competitors.”