Hiring intentions of UK employers is deteriorating

Employer confidence in the economy is deteriorating

Read the hiring intentions of UK employers
from REC JobsOutlook for August

The latest survey published by the Recruitment & Employment Confederation (REC): JobsOutlook, reveals the latest employer confidence in the UK economy. Recently collected data from 601 employers revealed a more negative feeling amongst employers. The report revealed how 31 per cent of employers expect the economy to worsen after net balance went down to -3.

Despite signs of a growing jobs market, where employers are seen to be hiring and investing, there is still an overwhelming sense of uncertainty, with issues like access to labour, Brexit negotiations and political uncertainty. It is clear that industries such as construction and health care are really concerned, especially when their source of talent is coming in from the EU. With the demand on more building and infrastructure projects, where are construction firms going to hire skilled workers from? This has only worsened with the recent government document leak, that revealed Brexit plans to deter EU low skilled immigrants.  

The full drafted document on The Border, immigration and citizenship system after the UK leaves can be read here

The REC's monthly survey is an in-depth analysis revealing insight into the UK's labour market, including detailed responses from employers about workforce planning. It's a representative of employers short and medium-term plans for hiring permanent and temporary staff. The REC report also features original data providing a comprehensive monthly picture of permanent and temporary recruitment, vacancies, and earnings in all regions and sectors of the UK labour market. Plus, it features data about demand and anticipated candidate shortages covering more specific job roles than before including: childcare, construction, drivers, legal and HR, marketing, media and creative.

Key Findings:

  1. Employer confidence is dropping: with more employers thinking that economic conditions are worsening

  2. Gfk's index of consumer confidence fell again to -12, equaling last year post referendum in July 2016

  3. Construction and health and social care are the two job functions where employers expect to find shortages

  4. Four in ten employers have absolutely no spare capacity within their organisation

  5. One in five employers pay temporary agency workers more than if they were permanent

  6. Quality of candidates presented by recruitment agencies risen to 73%

Source: REC

Image 1

Image 2

 Download the full survey today