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Forecast demand for agency workers continues to rise: UK Labour Report July 2018
Posted Date: 13/08/2018 14:34:00
The REC’s JobOutlook reveals that the forecast demand for agency workers continues to rise.
Half of UK employers who recruit for permanent roles expect to find a shortage of appropriate candidates. This is higher than this time last year.
On a positive note, employer’s confidence in the prospects for the UK economy further improved this quarter which demonstrates a better future outlook compared to this time last year.
Of the employers that were surveyed in April-June, 92% of these planned to maintain or increase their permanent headcount in the next 3 months. In particular, regions such as London and the Midlands have higher than average levels of intent to increase their numbers. This is set to continue in the next 4-12 months as employers plan to either hold or increase their permanent headcount in the medium-term.
There does appear to be a skills shortage however as half of UK employers expressed concern over the availability of suitable candidates. In particular there is concern for those in a Construction or Health & Social Care role.
There has been a noticeable increase in the hiring of temporary agency workers compared to the previous quarter, especially in London and the Midlands. This regional divide appears not just in the short term but also in the long term. 58% of Midlands’ employers suggested they would increase the number of agency staff in their employment compared to just 14% of Northern employers who would do the same.
For the second month running, there also appears to be a shortage of Marketing, Media & Creative agency workers. The concern over the sufficient availability of agency workers in general has more than doubled in the last year.
More than 4 out of 5 employers using recruitment agencies expressed satisfaction with the candidates that the agencies have presented them with. Similarly, despite tightening candidate availability, the proportion of UK employers expressing their satisfaction with agency partners has risen year-on-year to 80%.
REC’s report notes that the occupations forecasted with short-term demand for permanent candidates include Construction, Drivers and Health & Social Care. The forecasted demand for temporary agency staff similarly includes Drivers as well as Sales & Retail Staff and Engineering & Technical Staff.