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KPMG Reports Cuts in UK Recruitment Efforts
August 9, 2012
According to the KPMG Report on Jobs, UK employers are scaling back on their recruitment efforts. As the number of vacancies continues to increase, they feel it is not necessary to spend as much effort reaching out to prospective employees.
Available staff positions continued to increase last month, but the increase was the lowest marked in the last half year. However, employers are encouraged by the increase in staff availability. The number of part-time, full-time and temporary employees available to UK employees increased through the month of July.
Employers also increased the average starting salaries of their new hires. The increase in salaries for new employees wasn’t high enough to make up for the rise in inflation. However, permanent employees still fared better than contractors and temporary employees. Employers have been forced to cut rates paid to contractors as they encourage more full-time employees to join their firms.
The government is forced to continue cutting employees from its payrolls. However, the loss of government jobs has been offset by an increase in demand for employees in the private sector.
Experts said that the UK labor market is performing well in spite of the challenges presented by the double dip recession.