Key Points

  • Permanent placements increase at slowest pace in 18 months
  • Faster rise in contract billings
  • Strong salary growth amid falling candidate availability


Growth of permanent placements eases to 18-month low…
The number of people placed in permanent jobs by surveyed recruitment consultancies continued to rise in October. However, the rate of growth moderated further, reaching its slowest for one-and-a-half years.

…but temp billings rise at faster rate
Agency billings from the employment of temporary and contract staff increased again, with the rate of expansion quickening from that recorded in the previous survey period.

Strong salary growth
Starting salaries for successful candidates placed in permanent jobs rose further, with the rate of growth quickening comfortably above the survey’s long-run trend. Contract pay growth remained solid and slightly faster than in the previous month.

Further marked drop in staff availability
The rate of decline in permanent candidate availability remained marked in September, with a range of skills reported in short-supply. Temp staff availability also fell, albeit at the slowest rate since March.


Demand for staff rises at slowest rate
The Report on Jobs Vacancy Index signalled a moderation in the rate of expansion of demand for staff to the least marked for over a year. Weaker growth of demand was recorded for both permanent and contract employees during the latest survey period.

Staff availability

Availability of permanent staff
Engineering remained top of the demand for staff ‘league table’ in November, with Accounting/Financial in second place. The slowest rise in demand was reported for Hotel & Catering workers.

Availability of contract staff
IT & Computing employees were the most in-demand type of short-term staff, fractionally ahead of Blue Collar. Construction workers registered the weakest growth of demand.


Permanent salaries
Average starting salaries for people placed in permanent jobs continued to rise. The rate of growth quickened and was stronger than the survey’s long-run average. Panellists attributed higher salaries to stronger demand for staff and competition between employers for quality candidates. Midlands-based consultancies reported the sharpest increase in salaries, while those in London registered the slowest growth.

Contract pay rates
Hourly rates of pay for staff in contract roles increased further September. The rate of growth quickened slightly. Some panellists mentioned the impact of the rise in the national minimum wage. Contract pay growth was fastest in the North, while the slowest rise was indicated in London.

About Langley James

Langley James was founded in 1999 by James Toovey, a highly respected recruitment industry professional.  James wanted to provide something unique: a bespoke recruitment service which was founded on service excellence.  With offices in London and Chester, we are now providing our recruitment services throughout the world and over the last 18 years have worked with some of the most respected companies.

To find out why so many companies turn to Langley James for support in fulfilling their IT recruitment needs, call and speak to one of our specialist consultants today on 0207 788 6600.