Partner Article

Slight rise in permanent jobs across the North

There has been growth in permanent jobs in the North, the latest KPMG Jobs Report suggests. The survey of recruitment and employment consultants showed an increase in the number of permanent placements during September, for the first time in four months.Temporary staff billings also increased in the North during the same period, and while this growth was faster than in August, it was still only marginal.Staff salaries for permanent jobs in the North also increased for the seventh successive month, and pay rates for temporary/contract staff also rose, for the first time since April.Across the UK in general, permanent placements slightly decreased, and temporary appointments increased across all regions except in London.Permanent and temporary pay fell in London, while there was solid rises in the South and Midlands.Mick Thompson, Office Senior Partner at KPMG in Newcastle, said: “The news that demand for permanent staff in the North is finally on the increase after a three month dip can only be viewed as encouraging, particularly in the context of the slight reduction in demand nationally. However, the modest nature of this growth would suggest that it’s far too soon to be talking about any signs of ‘green shoots’.“Clearly, any sustainable improvement in employment remains dependent on the growth of the economy as a whole. One would hope that the Government’s plans to increase lending to businesses will help fuel job creation, but while confidence in the region remains fragile, a complete jobs recovery is by no means guaranteed.“Recruitment and Employment Confederation chief executive Kevin Green added: “This month’s figures show that the temporary labour market has bouncebackability. The resilience of the UK labour market in the face of what official figures class as a double dip recession continues to be remarkable. This increase in the use of temps for the second month in a row could be a sign of optimism among employers, and that they are gearing up for future growth. It certainly puts pay to any idea that changes to Agency Worker Regulations last year dissuaded British businesses from using temps as a vital component of their workforce. Temporary staff are an efficient, flexible way for businesses to increase their workforce and grow their businesses out of recession.“The data provides encouraging signs for the economy, with demand for staff continuing to increase and candidate availability rising. However, we know that confidence is fragile and a big external shock could derail us from this promising course.”

This was posted in Bdaily's Members' News section by Tom Keighley .