UK Job Market: Permanent Placements Continue Strong Growth

The UK job market continues to recover as permanent placements were still growing strongly in October, according to the Recruitment and Employment Confederation (REC).

The Report on Jobs, published in conjunction with accountancy firm KPMG, found permanent staff placements continued to rise in October, extending the current period of expansion to 25 months.

However, the research also revealed that the rate of expansion was the slowest since November 2013.

Likewise, temporary/contract staff billings increased for an eighteenth successive month, but the latest rise was the least marked since June 2013.

"The good news about our jobs market continues, with two solid years of growth in the number of people finding new permanent jobs via recruiters," said Kevin Green, REC chief executive.

"The number of vacancies is continuing to rise, with businesses in all sectors of the economy looking to hire more staff.

"But we can't be complacent. The government needs to help business take on staff by doing all it can to protect employers from shocks and uncertainty.

"More specific advice on how far claims for holiday pay can be backdated and ensuring businesses are not subjected to a barrage of new cases in light of this week's judgement would be a good start."

The study also found that permanent placements increased fastest in the Midlands during October, while the slowest growth was reported in the North.

Elsewhere, the Midlands led the way in terms of temporary staff billings growth during October.

The figures come after the Office for National Statistics said that the UK unemployment rate dropped to 6% in the three months to August, down from 6.2%.

The research body also explained that youth unemployment dropped to 16% over the same period.