We found that the market throughout Q2 remained steady showing promising signs for recruitment in quarter 3.
Employment overall continued to move in a positive direction, despite the post-election uncertainty hanging over UK businesses, with unemployment still low at a rate of 4.8% and average advertised salaries showing gradual improvements.
UK salaries are increasing at a rate of around 1.6% on a 6-month basis, indicating that businesses across the nation are still working hard to attract talented candidates to their vacancies, despite these unpredictable times.
Between April and May to salaries rose by 0.2% making an average of £32,743, however wage growth will continue to struggle against rising inflation going into quarter 3 of the year with the current rate at 2.9% that is predicted to continue rising.
Retail sales have gradually worsened since the beginning of this year; proof that consumer confidence is decreasing and employees and job seekers are feeling the pinch of the rising costs of living. The average cost of a basket of groceries has rocketed in June, according to price comparison site mySupermarket Groceries Tracker, most prices have risen by around 5%.
Regardless of consumer and jobseeker doubt, the latest statistics from CV Library revealed that businesses remain optimistic about their hiring plans for the coming quarter, as the number of job vacancies increased by 4.4% year-on-year. UK cities experiencing the most impressive increases in vacancies are Glasgow, Brighton and Manchester, increasing numbers by 24.1%, 19.5% and 17.5% respectively. This is reflected in salary growth figures as Sheffield, Glasgow, Manchester and Brighton were amongst the cities seeing the strongest salary growth in June (11.3%, 4.6%, 1.6% and 0.5%).
Unfortunately, the positive increase in job growth and average salaries has not been replicated when it comes to candidate application rates, which saw an 11.6% drop when compared with June 2016 (CV Library).
For employers planning to hire in quarter 3, working hard on candidate attraction is vital as uncertainty across the nation has led to unsurprising dip in individuals moving jobs.
Although attractive salaries are important in the current climate, companies need to be doing more to encourage top talent to move roles. Showing candidates that you offer something beyond the pay packet reflects the culture of your organisations and shows that you value your employees. Offering benefits such as flexible working options, healthcare, childcare vouchers and additional incentives are becoming more essential in the competition for the best talent.