UK recruitment frenzy slows in September
The hiring frenzy that drove vacancies in the UK labour market to record levels earlier this year is petering out, according to a survey showing recruitment activity fell to a 19-month low in September.
Last month, placements of permanent staff increased at their slowest pace since February 2021, found a report by KPMG and the Recruitment & Employers Confederation, which represents employment agencies.
This was partly because agencies are still struggling to find candidates, against a backdrop of labour shortages. But Claire Warnes, head of education, skills and productivity at KPMG, said economic uncertainty was making workers more wary of moving jobs — damping growth in vacancies.
Real-time data published by the Office for National Statistics on Thursday showed that the number of online job adverts was almost a fifth lower in late September than at the same time in 2021 — with openings for managers, executives and consultants on a downward trend since the start of the year.
However, the REC survey held little relief for monetary policymakers who are concerned that a tight labour market will allow workers to negotiate pay rises to a point that could fuel persistent inflation.
This story originally appeared on: Financial Times - Author:Delphine Strauss
