JobsOutlook: Economic woes reduce employer confidence
Economic woes have affected employer confidence this month according to the Recruitment and Employment Confederation’s (REC) JobsOutlook survey. Although the overall outlook for the jobs market remains positive, the REC’s barometer of employer confidence has dipped one point since last month’s record high. The REC’s analysis suggests this is less to do with employers’ concern about their own organisations’ performance and more to do with the external economic climate.
The majority of employers still say they plan to employ more staff over the next three and 12 month periods, but the percentage has fallen slightly since the survey was last conducted in April as bosses assess their need for additional staff for the rest of the year.
JobsOutlook’s survey of employers reports that:
• 66 percent said they planned to increase the number of permanent employees over the next three months (compared to 72 percent last month)
• 63 percent expect to increase permanent hires over the next 3-12 month period (compared to 69 percent last month)
• 31 percent plan to increase agency worker numbers in the next quarter (compared to 34 percent last month) with 49 percent saying they plan to keep numbers the same
• 26 percent say they will increase agency workers over the next 3-12 month period (compared to 29 percent last month) with 59 percent saying they will maintain their current numbers
The survey also found employers predicting they would have difficulty finding the skilled staff they need in the areas of engineering and technical skills and computing, IT and telecommunications over the coming year.
Commenting on the latest figures, the REC’s Director of Research, Roger Tweedy, said:
“Employers took on more staff during the first quarter of this year but confidence is fragile and bad news about GDP growth and from the eurozone will contribute to them feeling a little more cautious about the future.
“Demand for staff is higher in certain sectors and bosses tell us that despite the current rate of unemployment they still predict they will find it hard to fill the vacancies they have for engineers and skilled IT and technical staff.”
Notes to Editors:
1. JobsOutlook is based on a monthly survey of 200 employers with the results in each report based on a sample of 600 aggregated on a three month rolling basis.