-KPMG/REC: UK May Permanent Placements 51.0 vs 51.9 In Apr
-Manpower: UK Q3 Employment Outlook +1% Vs +2% For Q2
LONDON – The UK economy is still adding jobs, but only just,
according to the latest surveys from KPMG/REC and ManpowerGroup.
The KPMG/REC survey showed the permanent jobs indicator slipped to
51.0, its lowest level since January and down from the 51.9 hit in April
as permanent staff placements just about managed to eek out growth in
May, continuing the trend seen since the start of 2012.
The Manpower Employment Outlook Survey also showed weak growth in
new jobs, with the net indicator, the difference between those planning
to hire or reduce staff levels, falling from 2% to just 1% for Q3.
The KPMG/REC survey also showed that openings for temporary workers
fell in May, with the temporary placements index dropping to 47.5, down
from the 48.2 hit in April. Although moderate, the rate of decline in
the number of temporary places is the sharpest since July 2009.
In terms of pay, starting salaries awarded to successful candidates
placed in permanent jobs increased during May. Although the seasonally
adjusted index was at its highest level in eight months, it signalled
only a modest increase that was much weaker than the survey’s long-run
average, KPMG/REC said.
Commenting on the data, Jack Kennedy, Senior Economist at Markit
said that the market appears to be just about holding up in the face of
significant economic uncertainty.
“The latest Report on Jobs data point to a slowing recruitment
market in May, albeit one still showing modest expansion at least for
permanent employment,” he said.
“Overall, the labour, although wages and salaries are barely rising
amid tight employer budgets and higher levels of candidate
availability,” he added.
These surveys portrait of a barely expanding labour market ties in
with the findings of the Bank of England’s regional agents.
The Bank of England Agents Report for May found private sector
employment was expected to be broadly unchanged over the next six
months.
-London newsroom: 4420 7862 7491; email wwilkes@marketnews.com
[TOPICS: M$B$$$,MABDS$]
