Demand for permanent and temp roles, say recruiters

MORE Northern recruitment firms placed clients into permanent roles last month.

That’s according to the Report on Jobs from accountancy group KPMG and the Recruitment and Employment Confederation (REC), which is based on feedback from 100 recruitment agencies.

In February 42 respondents said they had placed more people into permanent jobs, compared to 39 in January. Some 33 said the situation was the same and 25 said the numbers were lower.

However, the supply of candidates for permanent vacancies in the North fell during February, following an expansion in January. But the overall rate of contraction was only slight.

There was strong demand for temporary staff with 44 saying billings were up on a monthly basis, compared to 29 in January. This was the seventh consecutive monthly increase.

Most of the respondents said wage rates for both permanent and temporary staff had stayed the same, although 17 said permanent pay was higher, compared to 10 in January.

Jonathan Hurst, Northern chairman of KPMG, said: “The news that nearly twice as many recruiters increased their placements into permanent roles as those who posted a fall is a clear indication of positive sentiment in the regional marketplace.

“Much as I’d like to bring out the bunting and celebrate growth, I’m going to hold off for another month or so as what we need to see is a sustained rise in employment. Given that nationally the pace of the rise in placements slowed in February, and the North data historically tracks that of the UK average, we need to watch and wait, in order to check we don’t have a scenario, where two steps forward are followed by one step back. Recovery may be on the way, but it is a long path, negotiated by small steps.”

REC director of policy Tom Hadley said: “Competition for candidates intensified this month with private sector employers racing to secure the talent they need for growth from a decreasing pool of skilled workers. Starting salaries have risen at a faster rate as companies realise they need to make more attractive offers to ensure they can persuade workers to join their workforce and not their rivals. This month saw increased demand for both temporary and permanent workers which is a really positive indicator for a continued recovery.”