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KPMG and REC Report on Jobs November 2021

KPMG and REC have recently released November’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 current climate.

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

  • Recruitment activity slows slightly, hampered by candidate shortages
  • Starting salaries and temp pay both increase at record rates
  • Vacancy growth remains robust but softens since September
  • Permanent Placement Index decreases from 71.8 in September to 66.8 in October
  • Temporary Billings Index remain steady at 61.1 in September to 60.9 in October

Commenting on the latest survey results, Claire Warnes, Partner and Head of Education, Skills and Productivity at KPMG: “While it’s encouraging to see hiring activity increase in October, the recovery was at the softest rate recorded in six months due to the ongoing deterioration of candidate availability. Employees are hesitant to switch roles and sectors, which could impact the bounce-back recruiters have experienced since the easing of pandemic restrictions. Unsurprisingly, with the ongoing pressures on our health and care services, demand for temporary nursing and care staff tops this month’s rankings. More broadly, companies are still offering higher salaries to attract and secure talent – with starting pay inflation reaching another record high this month – but we know this isn’t the answer to boosting productivity. Job seekers need to feel confident that the skills and qualifications they’ve gained in one sector are valued in another. That’s why employers and Government must urgently invest in training and development if they are to attract a wider range of candidates into these high demand sectors.”

Also commenting is Kate Shoesmith, Deputy Chief Exec of the REC: “This latest data shows the robust growth in the jobs market continuing. Starting salary growth has reached another record high as shortages continue to bite and companies compete to hire the staff they need. But we are starting to see signs that we are moving into a new phase of the recovery, as the initial bounce back in demand starts to ease. It’s also important to note that these salary rises are not universal. Recruiters tell us that candidates in some sectors and regions have been able to secure a substantial pay rise, but many employers can’t afford to offer this. As we move into the next stage of recovery, it’s vital the government put measures in place that will help companies to invest and grow, stimulate the UK’s productivity and support the levers that help those furthest from the jobs market into work. Last week’s Budget was a start, but there needs to be a radical shift across government departments to collaborate in order to deliver a skills revolution in the UK. This will only be successful if government and business work together to plan for future workforce needs. Recruiters are keen to work with Government in such a joint forum.”

Andrew Brindley, Director of AJ Recruitment, said: “In this month’s report on jobs, we have seen a growth in demand across all sectors to include nursing, medical and social care that are all leading the way in the temporary sector. This is happening at a time when it will be a worry for all in the social care sector as we head into the winter months and demand naturally increases. It is also just as the Government has enforced the compulsory vaccination for our front-line staff, where they have recently backed out of pursuing this until next year for the NHS. This news is predicted to lead to thousands of care workers to leave the sector right at the point when we could all do with them staying. The winter in 2021/2022 could be a watershed for us all in social care, and now would be the time to review your contingency planning for staffing, as if the winter is going to be as bitter as it is predicted then it is going to be a tough one!”

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.

UK_Jobs_Rec_2111 Report

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, email recruitment@ajrecruitment.com or call us on 03305 552233.

As a specialist, family-run recruitment business, we provide a proactive and consultative approach to recruitment within Social Care. 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.

Our customers tell us that we are their main stream of important information regarding the social care sector. We want to ensure the content we are sharing regularly is relevant and useful, so we would love to hear from you! What topics that you would like us to share next?

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