REC - Jobs Outlook - May 2022
Tuesday, 31 May 2022
Employer confidence in hiring turns negative for the first time since autumn 2020
Confidence
In February-April 2022, business confidence in the UK economy fell by 16 percentage points from the previous rolling quarter to net: -27. In April alone, sentiment plummeted to net: -46.
Employers’ confidence in making hiring and investment decisions fell by 11 percentage points, dropping to net: -3. This is the first time this metric has been negative since August-October 2020.
Permanent recruitment
Do you think the number of permanent workers in your organisation will increase or decrease in the next three months?
In February-April 2022, employers’ intentions to hire permanent staff in the short-term fell by four percentage points to net: +24. Hiring intentions remained high across the UK. Regionally, sentiment was the highest in London (net: +31) followed closely by the North of England (net: +29). Additionally, both mid-sized (50-249 employee) and large (250+ employee) organisations were optimistic about increasing headcount, at net: +27 and net: +25, respectively.
Temporary recruitment
Do you think the number of agency workers in your organisation will increase or decrease in the next three months?
In the three months to April, employers’ intentions to hire temporary agency workers in the short-term decreased by three percentage points to net: +12. Regionally, there were notable differences in hiring intentions between the devolved nations (net: +19) and the North (net: +8). Forecast demand remained high among small (0-49 employee) enterprises and large (250+ employee) organisations, at net: +15. However, sentiment was significantly lower in mid-size (50-249 employee) enterprises (net: +7).
