REC Responds to Labour Market Statistics

Commenting on today’s publication of labour market statistics by the Office for National Statistics (ONS), which reports data for August – October 2016, Recruitment & Employment Confederation Chief Executive Kevin Green says:

“Despite slowing growth in employment, the jobs market is ending the year in a strong position. Unemployment remains at its lowest level since 2005.

“There are reasons for optimism as we head into 2017. REC data shows demand for staff is increasing in many sectors. A quarter of employers plan to take on more permanent staff in the next three months.

“With inflation jumping to a two-year high last month, it’s encouraging to see pay is growing at a faster rate. This is likely to be the result of employers responding to candidate shortages, with fierce competition between employers for the talent available.

“While this is good news for workers, employers in many sectors will be unable to sustain pay rises as a reaction to ongoing skills shortages. The UK is at near full employment and employers are worried about the potential impact of changes to immigration policy curtailing access to the people they need from abroad to fill vacancies.”

Ends

Notes to editors:

1. For more information, contact the REC Press Office on 0207 009 2157/2192 or pressoffice@rec.uk.com. An ISDN line is available for interviews on 0207 021 0584

2. The unemployment rate has remained at 4.8 per cent, the lowest for 11 years, and the employment rate fell slightly to 74.4 per cent. Full ONS data is available at: https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/uklabourmarket/dec2016

3. Jobs transform lives, which is why we are building the best recruitment industry in the world. As the professional body for recruitment we’re determined to make businesses more successful by helping them secure the people they need. We are absolutely passionate and totally committed in this pursuit for recruiters, employers, and the people they hire. Find out more about the Recruitment & Employment Confederation at www.rec.uk.com