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Recruiters are warning of a skills gap and say recruitment from overseas will be necessary to stem it, according to a report out today.
The Markit/REC Report on Jobs shows a slight rise in permanent and temporary placements, but a sharper growth in job vacancies, particularly in Engineering, while Hotel & Catering workers were the most sought-after type of temp staff.
Combined with that is a falling number of available staff to fill vacancies.
Permanent placements rose fastest in the Midlands during September. However, London saw a further reduction in volumes. Private sector demand for staff continued to rise strongly in September, says the report.
REC Director of Policy Tom Hadley says: “This month’s report contains further evidence that UK employers have shrugged off the initial shock of the referendum result. Overall, permanent hiring is in growth for the second consecutive month. Even more encouraging is the growth in vacancies; consumer confidence and strong demand on businesses has ensured that hirers are creating new jobs.
“There remains a degree of caution in London, where permanent hiring has been on pause for the last five months. This is likely to be because of uncertainty around the longer-term impact of the referendum result within the financial sector in particular.
He added: “We urge the government to be mindful of talent shortages faced by many UK employers. Despite some of the rhetoric at this week’s Conservative Party conference, we will continue to need workers from overseas in a range of sectors, from engineering to healthcare. The business community must have a role in developing an immigration model that strikes the right balance.”