• Swindon & Wiltshire Economy
• Friday December 8 2023
• Author Name: Peter Davison

Recruitment activity falls in the South of England amid muted employer confidence – KPMG

Weak employer confidence amid a subdued economic climate drove a reduction in hiring activity across the South of England in November, according to the latest KPMG and Recruitment & Employment Confederation Report on Jobs survey.

Permanent staff appointments fell to the greatest extent since July, while temp billings fell back into contraction after a marginal rise in October.

The slowdown in recruitment activity and reports of redundancies drove further marked upturns in candidate availability, most notably for those seeking permanent roles.

Demand for staff was meanwhile muted, with permanent vacancies dropping again and temporary job opportunities up only slightly on the month.

After marked growth in recent years, rates of starting pay inflation continued to recede in November, with salaries and wages expanding only modestly.

The KPMG and REC, UK Report on Jobs: South of England is compiled by S&P Global from responses to questionnaires sent to around 150 recruitment and employment consultancies in the South of England.

David Williams, office senior partner at KPMG in Bristol, said: “The latest findings reflect the ongoing cautious approach of many businesses across the South when it comes to taking on permanent hires, something that shows little sign of easing.

“With 2024 around the corner, hopefully the economic uncertainty that has clouded much of this year will continue to lift and have a positive knock-on effect for the region’s jobs market.

“While many employers here are putting the brakes on hiring activity, the number of job seekers, especially those seeking long-term positions, is surging at the quickest rate seen in three years and faster than anywhere else in the UK, which could lead to candidates facing heightened competition.”

Locally, Dan Barfoot, operations manager at CMD Recruitment, which has offices in Devizes, Melksham, Calne, and Bath, said: “We have definitely seen the market slow and in the last couple of weeks some companies making redundancy decisions.

“I think the market will level off until the end of January and then go again.

“If you are in the unfortunate position of being made redundant then don’t hesitate to get in touch, as my team will try and help any way that they can.”

Image courtesy Paul Wilkinson, published under Creative Commons licence