28-07-2020

UK recruitment plans rise in July

UK recruitment plans rise in July - C&M Travel Recruitment
Companies across the UK are slowly becoming more confident about creating jobs and hiring new employees in the near future, it has been claimed.

Businesses' hiring intentions for new permanent staff over the next three months rose to a net level of plus 14 in July compared to plus six in the previous month. Plans for new perm workers within the next four to 12 months remained steady at a level of plus 15.

Overall, employers reported a rise in confidence regarding hiring and investment decisions with a net level of plus four in the first half of July, which was up from minus nine in the previous month.

However, the figures from the Recruitment & Employment Confederation (REC)'s latest JobsOutlook also show a lack of confidence in the wider economy with net levels standing at minus 40.

In addition, there has been an increase in the number of companies making job cuts, with one in six (17 per cent) doing so in the year to July 2020 compared to nine per cent making redundancies in the 12 months to June.

Analysing the stats, Neil Carberry, Chief Executive of the REC, said: "It's good to see employer confidence rising as the lockdown measures ease – at this stage we would expect things to be getting better month-by-month. Even at times like these, there are always opportunities out there for jobseekers. But businesses are still very worried about the overall outlook for the economy, and while some are hiring, many are having to make tough decisions around laying people off."

He added that in order to boost growth and help companies create more jobs, the government should consider reducing National Insurance and focus on securing a good Brexit trade deal which offers a workable immigration system.

Elsewhere, a report by Direct Line Life last week suggested that there could be a big increase in flexible working requests in the coming months.

It found that 43 per cent of HR Directors in the UK are planning to allow staff to perform their job at home five days a week, while 70 per cent of UK workers are expected to have some form of flexible working, compared to 45 per cent currently.

By Owen Mckeon

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