UK businesses increasingly turning to recruitment agencies

Experts reveal that UK businesses are relying more on recruitment agencies as a direct result of increased demand for staff.

A recent report has revealed that UK businesses are relying more and more on recruitment agencies as demand for staff increases at the fastest rate in two years.

The results of the Report on Jobs, carried out by IHS Markit and the Recruitment and Employment Confederation (REC), found that permanent job roles and temp billings saw a significant rise last month.

Salaries and rates of pay also saw considerable growth.

Kevin Green, REC Chief Executive, commented on these findings, “As this month’s report clearly shows, employers are increasingly turning to recruitment agencies as it becomes harder to find the people to fill the jobs available. There are two trends at play. Businesses are seeking more professional and managerial capability, so we’re seeing high demand for roles like financial directors, analysts, and compliance and HR professionals.”

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He added, “Meanwhile, there is a significant shortage of people to fill blue collar roles such as drivers, electricians, and construction workers, and this is being exacerbated by a fall in net migration from the EU.

“In many areas of the jobs market candidate supply cannot meet demand. Employers are having to offer more money to secure the people with the skills they need. While the working population in general has experienced a pay squeeze, there are clearly opportunities now to earn more by moving jobs.

“This is good news for individuals, but businesses will be concerned about the sustainability of this trend. Businesses can only grow if they have access to the people and skills they need. It is essential that the government recognises this by developing an evidence-based immigration system that will support the economy.”

To find out more about contracting please contact Sophie on 01442 759100 or email sophie.lewis@dolanaccountancy.com

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