UK Recruiters Say Hiring Slow, Pay Growth Weakest in Over a Year

Employing British entrepreneurs grew only slowly in August and payed staff to increase at the latest speed in more than a year, a recruitment survey showed on Thursday.

The size of the recruitment and confederation of employment (REC) from permanent recruitment rose from the lowest 17 July while the temporary recruitment grew at the weakest speed since February 2021. The growth of vacancies slipped to the lowest 18 months.

While post-Pandemic work is now subside, there are no real signs of the slowdown of employer requests,” Neil Carberry, Head of the Rec Executive, said.

Indeed, reports from Rec members suggest that the decline in trust in the market is mainly driven by candidates who play safe, with further effects tightening the market,” he added.

The combination of lack of candidates and two -digit inflation has led to a sharp increase in paying salaries for permanent and temporary staff.

But in August, paid growth for people who started the permanent role was the weakest since June 2021.

Boe watched the price pressure signs in the labor market because it considers how far further to raise interest rates to fight inflation above 10%.

The survey results were released ahead of the announcement expected by the new British Prime Minister Liz Truss from the main support package for the economy on Thursday.This survey surveyed 400 recruitment and work consultants between August 12 and August 24.