Early numbers indicate demand slightly rising, as we enter 2012
Bernard Brown, Partner and Head of Business Services at KPMG said: "Amongst the engineering, construction and IT sectors demand for permanent staff has increased since the turn of the year. With so much attention being paid to these sectors at the moment, close attention should be paid to see if this is a trend set to continue as the year progresses."
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February 10, 2012
Permanent staff appointments rose for the first time in four months during January. However, changes in Agency Worker Regulations caused appointments in temporary and contract staff to fall slightly for the second month running.
There was a slower increase in job vacancies during January. Growth of overall demand was the weakest for 27 months. Demand came from Engineering/Construction, with demand for IT roles still high but weakening slightly, year on year.
The availability of staff to fill job vacancies continued to rise in January, although it eased off compared to avaialability rates in December.Permanent staff salaries rose only marginally in January and at a much slower pace than the long-run series average. Hourly rates of pay for temporary/contract staff increased modestly after a slight decline in December.
Growth of demand for permanent employees moderated further in January, reaching the weakest since October 2009. In contrast to the trend signalled for permanent staff, demand for temporary/contract staff rose at the strongest rate in eight months during January.
Latest data signalled further growth in the supply of available candidates during January. Permanent staff availability rose again in January, albeit at a weaker rate than Decemberundefineds two-year high. The latest improvement was the twelfth in successive months.Growth of temporary/contract staff availability remained strong in January, despite easing from Decemberundefineds 26-month high, linked to reduced temp staff appointments.
Average salaries awarded to candidates placed in permanent jobs continued to rise at a marginal rate in January, often attributed by to higher numbers of senior-level placements and a further increase in permanent staff vacancies.