UK Recruitment Industry Update

With years of experience under our belt, Wallace Hind prides itself on its expertise in the field of recruitment. Our team possess in-depth industry knowledge and a keen understanding of market trends, enabling us to deliver tailored solutions that meet your specific requirements.

✨ We have recently compiled an industry update reviewing the recruitment industry, here are some interesting key takeout’s for you…! 🌟

In 2023, the UK faced economic and geopolitical challenges, leading to a decline in job vacancies by 30% compared to 2022. Despite some businesses seeking to expand, finding skilled candidates has been tough due to ongoing skills shortages. London bore the brunt of these challenges, experiencing a staggering 40% drop in job vacancies compared to the previous year. The ripple effects of quantitative tightening exacerbated the situation, particularly impacting corporate finance and commercial real estate sectors.

All regions saw a decrease in vacancies, except for Wales, which saw a 10.4% increase compared to 2021. The North, particularly the North West and Manchester, proved more resilient, with only a 20% decrease in vacancies. Leeds also showed promising growth. The Midlands experienced a 25% decrease, with the West Midlands slightly less impacted than the East Midlands (23% vs. 27%). The South East saw the largest regional fall (29.9%), while the South West fared relatively well with only a 20% decrease.

Skilled labour remained in high demand for businesses seeking expansion, leading to intensified competition for qualified candidates. Wages surged by an average of 7% as employers grappled with rising living costs and inflationary pressures. Post-pandemic shifts in work dynamics favoured remote work arrangements, empowering employees to negotiate flexible terms and counter offers.

Industries also experienced shifts, with the technology sector witnessing a sharp 56% decrease in job vacancies nationally. Real Estate & Construction emerged as a dominant force in job openings, despite experiencing a 22.3% decline compared to the previous year. In contrast, Industrials/Engineering and Not-For-Profit sectors bucked the trend, recording increased job vacancies.

Skilled labour remained in high demand for businesses seeking expansion, leading to intensified competition for qualified candidates. Wages surged by an average of 7% as employers grappled with rising living costs and inflationary pressures. Post-pandemic shifts in work dynamics favoured remote work arrangements, empowering employees to negotiate flexible terms and counter offers.

Amidst these challenges, the emergence of new technologies, notably generative AI, added another layer of uncertainty to the job market, promising both disruption and innovation in service industries.

If you are currently recruiting, have a difficult role to fill or would like an informal chat, we would be delighted to help. Achieving your recruitment goals has never been easier. Discover the Wallace Hind difference today on 01604 758857!

With thanks to APSCo for sharing the data for this report.

 

 

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