Engineering contractors ‘most popular in Jan 2014’

Matthew Fryer

Brookson

Accountant, Tax Adviser

Engineering contractors were most in demand in January, according to the latest Report on Jobs from the Recruitment and Employment Confederation (REC) and KPMG. Furthermore, it was also found that vacancies grew at a faster pace during the month than they have since May 1998.

Demand grew for all nine types of temporary/contract staff during the first month of 2014. The slowest growth seen for temporary workers was in the construction category, despite this coming second in growth for permanent posts.

Furthermore, December’s level of salary growth was maintained as the industry entered 2014, remaining at the six year high it hit at the end of the previous year.

Permanent staff placements continued to increase in January, however the pace of expansion eased from the 45-month high it achieved in December. Meanwhile, temporary jobs were filled at a rate that was only slightly slower than the 15-year peak seen in December.

In addition, further falls in staff availability were seen in January, with the number of both permanent and temporary staff dropping further.

When it came to permanent demand in different regions in England, the South saw the sharpest rise, although each of the four monitored areas experienced growth.

However, the strongest rate for temporary billings was in the North, with the Midlands coming second.

The public and private sector both drove demand for staff during January, with the private sector exhibiting the strongest growth.

Tom Hadley, of the REC, commented: “The squeeze on people’s finances continues to dominate the news but this month’s data shows there is hope for workers.

Mr Hadley added that with Britain’s building boom and majority infrastructure projects, demand for engineering and construction workers has risen. However, he noted that recruiters are struggling to source skilled people in order to satisfy this demand.

Bernard Brown, partner and head of business services at KPMG, noted that employer confidence is continuing to grow, with demand for new staff hitting a 15-and-a-half year peak in January.

He commented: “In a week showing improvements to UK construction figures and growth across the Eurozone manufacturing industry, it shouldn’t come as a surprise if other sectors begin to report peaks in
performance.”

However, the expert also warned that “no one should be fooled into thinking that the road ahead will be easy to travel”, following weak investment data that should ensure employers remain vigilant to business threats.

Mr Brown commented that the preference among employers seems to be hiring for temporary roles, with employers opting for a “try before you buy” mentality.

Matthew Fryer

Brookson

Accountant, Tax Adviser

I am a chartered tax advisor with a specialism in the freelance contractor sector advising contractors on how to structure their affairs and recruitment businesses and end hirers on the effective…