Pay rates for staff placed by employment agencies are ‘soaring’ as candidates are becoming choosy about which jobs to take, according to a new UK report. Photo: Richard Pohle/The Times/PA WirePay rates for staff placed by employment agencies are “soaring” as candidates are becoming choosy about which jobs to take, according to a new report.
This year could be one in which the candidate “finally becomes king”, said the Recruitment and Employment Confederation (REC) and KPMG.
Staff appointments increased last month, but the number of vacancies rose at the slowest pace for 18 months, said the report.
Pay for temporary staff increased at the strongest rate for three months, it was found.
The availability of staff to fill permanent jobs continued to fall in December, especially for temporary work.
Bernard Brown of KPMG, said: “A strong year for the UK jobs market finished with a flourish as temporary roles saw an upswing in popularity. More than one in three recruiters suggest that employees looking for short-term roles are being increasingly spoilt for choice as organisations search for help in an effort to fulfil customer orders.
“Good news for candidates also extends into the pay packet. Once again, a shortage of skills in key areas has led to a rise in the starting salaries on offer. It could mean that 2015 becomes the year in which the candidate finally becomes king.”
Kevin Green, REC chief executive, says: “As we enter 2015 the jobs market continues its strong performance. Recruiters are helping an increasing number of businesses find new permanent employees, and skills shortages in most areas of the economy mean that competition for quality candidates is driving up starting salaries.
The availability of staff to fill permanent jobs continued to fall in December
“Economic growth for 2015 looks sustainable, however the concern now is that political uncertainty could spook the market as we approach a general election.
“The prospect of increased government intervention in the labour market as promised by the left, questions around Britain’s position in the EU which are being posed by the right, and the potential for protracted negotiations around a hung parliament come May could affect business confidence and hence future hiring.”
Employment Minister Esther McVey said: “This report shows that, as the economy grows, the number of vacancies is increasing and wages are rising, giving more people the security that a job and wage packet can provide.”