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July Recruitment Survey results

07 August 2015

July Recruitment Survey Headlines:

  • Growth of staff appointments held back by skill shortages
  • Temp billings rise at slowest rate in over two years
  • Salary growth remains strong, despite easing to 18-month low

 It is clear we are in the grip of an industry wide skills shortage, which shows no signs of abating. Businesses are struggling to find the talent they need and this will have long term implications for their growth plans and potentially impact the wider performance of the UK’s economy. In July over two fifths of recruiters reported a fall in the number of people looking for work, the steepest decline seen in eight months.

The construction industry in particular is struggling to keep pace with demand, with businesses heavily recruiting both permanent and temporary workers. This is driving significant pay growth in the sector of almost 5%, outstripping Britain’s surging services industry which in comparison saw pay increases of just over 3%.

The risk is that a shortage of skilled labour in this sector could impede Britain’s major building projects and put the brakes on the country’s property market.

The likelihood is we will see no immediate improvement to this situation. We are already seeing hints of a slowdown, with the loss of growth momentum in housebuilding and civil engineering in July. 

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