Employment market tails off and salaries go south again

Wed, 08/10/2014 - 12:42 -- nick

The number of permanent jobs is on the wain again, according to a new report.

The Recruitment and Employment Confederation (REC) and KPMG Report on Jobs found that the number of long-term placements rose at its slowest rate for ten months, suggesting that the economic 'recovery' may be losing steam.

Salaries too tailed off, growing at their slowest rate for four months as the squeeze on living standards continued.

There was better news for temp staff, who saw their pay rise more quickly.

The study only includes those workers who find positions through agencies, not those who apply directly to companies or find work through personal connections.

Bernard Brown, partner and head of business services at KPMG, highlighted the problems in the economy:

"Buoyancy is back in British businesses, with low and falling unemployment evident today and the promise of lower corporation tax rates, tomorrow.  Combine the two and it would be easy to assume that the only curve we will see is an upward one, yet there are still areas of the UK where the signs suggest we are not quite ready to turn the corner.  Youth unemployment is, for example, still too high and the next few months will be a critical test of how businesses can help get the new generation of workers onto the employment ladder."

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