MOON News

Aside from the unemployment figures that were announced today, the Recruitment and Employment Confederation released its Jobs Outlook report for April 2010.

The highlights include:

• Nearly 1 in 5 employers expect to take on more temporary staff in Q2 2010
• More employers are planning to increase their perm workforce in short and medium term
• Lloyds Bank's Business Barometer - business confidence lifted, albeit from a low base
• Consumer's uncertain  - threat of job losses later in the year, together with higher taxes, loom in the background
• Just under 80% of employers surveyed have made workers redundant and / or put in place a headcount freeze. A rising amount, now 17%, have cut pay or hours. But 6% have increased their staff.
• The vast majority of employers think their workforce numbers will remain the same - in next 3 months (87%)  - in next 12 months (71%). Over the 12 month period 23% think their workforce will increase.
• Among perm candidates, employers continue to place emphasis on communication and interpersonal skills

So, what does this all mean? It is clear that there will be longer term structural problems, particularly around young people opting out of the labour market (by doing another qualification for instance.) However, in the short term it is clear that 2010 will be better than 2009 - there is more confidence among our client base - shown by a willingness to discuss recruitment plans -  and instructions are up, particularly in the sales, marketing and finance disciplines. The post-election effect of higher taxes and cuts in public sector pay (job losses) may well dent confidence further, but at the moment we should view these results with cautious optimism.

The emphasis that client's place on communication and inter-personal skills when recruiting is very interesting and plays to our strengths. In a crowded candidate market-place, it is not skills that differentiate candidates.