KPMG and REC Report on Jobs May 2021

KPMG and REC have recently released May’s edition of the UK Report on Jobs: National. This report looks at both the positive and negative trends in recruitment for all sectors, including Social Care, and how this relates to the COVID-19 pandemic and the current climate.

Please find below some of the key highlights from the report:

  • Permanent placements growth hits highest since October 1997
  • Demand for staff improves to greatest extent in 23 years
  • A marked drop in candidate availability places an upward pressure on pay
  • Permanent Placement Index increases sharply from 59.2 in March to 65.4 in April
  • Temporary Billings Index remains constant from 59.6 in March to 59.2 in April

Commenting on the latest survey results, Claire Warnes, Partner and Head of Education, Skills and Productivity at KPMG, said: “There’s a lot to feel positive about this month, with the easing of lockdown improving business confidence in the economy and in turn driving a sharp rise in recruitment. However, it’s concerning that we’re seeing a drop in candidate supply due in part to applicants needing support to adapt their skills to move from displaced sectors to those where there is more demand, such as health and care, and because the furlough scheme has reduced the pool of workers. Companies will not be able to fill their vacancies unless they commit to reskilling and upskilling their current and prospective employees. This includes providing furloughed staff with training and working with recruiters to make sure as wide a range of candidates are considered for jobs. Businesses have a fundamental role to play in bridging the increased skills gap that’s emerged from the pandemic.”

Also commenting is Neil Carberry, CEO of the REC: “The jobs market is improving at one of the fastest rates we have ever seen, and that’s great news. We are bouncing back from a record low – and many people are still struggling – but the data shows that job creation is firing up again. This month’s numbers for permanent hiring are the best we’ve seen since the survey started in 1997. Temporary hiring has chalked up its ninth straight month of growth, demonstrating again how important temporary agency work is to getting families and businesses back on their feet. The message for government and employers alike is that the long-term challenge is less likely to be high unemployment than attracting and training enough staff to keep our economy firing. Companies need to be thinking about their workforce planning and employee offer, which professional recruitment firms are best placed to support them with. Government needs to urgently tackle shortfalls in the skills system, and make sure the new immigration system is more responsive to our economic needs.”

Andrew Brindley, Director of AJ Recruitment: “This month’s report on jobs has seen a sharp rise in vacancies for the whole of the job market apart from retail. That is putting further pressure on wages and the number of candidates available for roles. We have personally seen this trend at AJ Recruitment with a surge in demand for temporary and permanent roles. Barclays reported this week we are going to see the biggest expansion of our economy in 70 years and this month’s report looks like that is already starting to happen.”

This report allows you to benchmark your business against the backdrop of the wider economy. I hope you find it useful to help you measure and understand where Social Care as a sector sits against the wider picture.

Click here GB_Jobs_ENG_2105_PANEL

We want to let you know that we are here to support you, and if you would like to discuss the findings in the above report, or about how we can collaborate, please let us know. To get in touch, please email or call us on 03305 552233!

As a specialist, family run recruitment business, we provide a proactive and consultative approach to recruitment. We help organisations to target issues such as continuity of staffing, reducing spend where you have a high volume of agency usage and supporting those who have specific talent requirements or are in hard to fill locations. We can help with any immediate staffing requirements or longer-term recruitment projects to ultimately save you time and money on agency spend.

Click here to see what our clients say about how we have supported them throughout the pandemic.