Is the talent pool drying up?
We’ve reported in this blog over the past few months about the rapid pace in demand for workers and nine months of growth in permanent placements as the economy bounces back. It’s resulted in the jobs market really tightening up and a real focus on getting candidates with the right skills to fill the employment gaps. Perhaps the expected New Year’s rush to change job will inject some new talent into the pool? One thing for certain is the rate of permanent starters’ salaries has risen at an unprecedented rate caused by low candidate numbers and a reaction from businesses pushing up their pay deals. Temp pay softened only slightly from October’s figures.
Neil Carberry, CEO at REC said in the latest KPMG and REC, UK Report on Jobs that: “Today’s figures emphasise again how far we have come this year – it is certainly a great Christmas if you’re looking for a job”.
Christmas is traditionally the busiest time of year for recruitment, and things don’t appear to be slowing up. He adds: “Hiring companies will need to make sure they get their offer right – not just on pay – and take an inclusive approach if they are to avoid losing out”.
Despite the sharp increase in permanent pay deals, the number of candidates entering the jobs market still appears to be lagging, with recruitment firms reporting low candidate supply limiting recruiters’ abilities to fill positions. Let’s hope that Christmas helps to lift the spirits of candidates who have been putting off looking for new roles and that job seekers hit the New Year with renewed energy that helps quell the glut.