October saw quickest rise in permanent staff placements since 2015 – report

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The number of people placed in permanent job roles last month increased at its fastest pace since 2015, according to a report.

The latest IHS Markit Report on Jobs data for Scotland showed d emand for permanent and temporary staff remained “sharp and quicker” than across the UK as a whole.

Permanent placements in Scotland increased at the fastest rate in 32 months. In contrast, growth in permanent staff placements across the UK fell to a six-month low.

The availability of permanent staff fell sharply however, and the number of temporary staff available weakened.

Kevin Green, chief executive of the Recruitment and Employment Confederation, said: “It’s good news for jobseekers in Scotland as salaries for those starting new jobs are still on the rise.

“At the same time, recruiters have again been successful in helping more people find permanent roles. This also means that Scotland is doing better than the rest of the UK, as the growth of permanent placements across the country is slowing.

“However, this positive trend should not distract from the fact that the pool of available candidates for permanent and temporary jobs is shrinking.

“This is not just a Scottish problem – it applies to other parts of the UK, where the situation is even worse.”

Scottish recruitment consultancies registered another month of growth for both permanent and temporary staff in October.

Vacancies for permanent staff rose at a quicker pace, while those for temporary positions expanded at a weaker rate.

The supply of candidates available to fill permanent positions in Scotland fell sharply, continuing a trend observed since March 2012.

The supply of temporary staff fell for a ninth successive month and the availability of short-term workers fell at a “much softer” pace than the UK average.

Strong demand for staff and lower candidate availability contributed to a further rise in starting salaries, the report said.

The rate of salary inflation was sharp and slightly above that seen for the UK overall. In contrast, average hourly pay for temporary staff rose at the softest rate since October 2016.

The report showed there is a skills shortage in nursery and midwifery across the UK.

Mr Green said: “The highest demand for people working in permanent and temporary roles is in the IT & computing sector.

“But recruiters are also very keen on placing people in permanent roles within the nursing, medical and care industry.

“We need to ensure that workers from the EU, like nurses and midwives, still feel welcomed here and for this we urgently need clarity around future immigration systems.”

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