Home Business UK Hiring Slows Down Amid Economic Uncertainty

UK Hiring Slows Down Amid Economic Uncertainty

by kylie

According to a report, hiring in the UK has slowed down due to the uncertain economic conditions. The number of permanent jobs filled has increased at the slowest rate in 17 months, with recruiters becoming more cautious about hiring new staff, as per KPMG. Ongoing skills shortages, a decrease in foreign workers, and candidates’ hesitancy to change jobs have all contributed to a tighter supply of suitable staff.

The hiring slowdown comes as the Bank of England warns that the UK will enter a recession in the final quarter of the year, raising interest rates from 1.25% to 1.75% in an effort to curb rising prices. The report by KPMG and the Recruitment and Employment Confederation suggested that increasing operating costs and economic uncertainty are causing some companies to put the brakes on recruitment, at least for permanent roles.

Despite this, the cost of living is soaring, and there is tougher competition for a smaller pool of qualified candidates. Therefore, the rate of starting pay continued to rise in July. The report recommends a focus on up-skilling existing workers and attracting talent, which remains essential for UK businesses to play their part in driving the economy forward.

The number of vacancies advertised has continued to increase, with the fastest rate of growth in temporary posts in the hospitality sector. However, given the bleak outlook painted by the Bank of England, it’s unclear why anyone would consider switching jobs at all. The Bank of England expects the economy to contract in the final three months of this year and continue shrinking until the end of 2023, which would represent the longest downturn since the 2008 financial crisis.

Jeevun Sandher, an economist at Kings College London, said that “those who are able and willing to work are generally working,” but he added that having a job does not necessarily mean one can earn enough to escape poverty. Even before the current cost-of-living crisis, almost 70% of adults in poverty lived in working households, he said. Sandher recommends that workers ask for the highest salaries possible.

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Florangel July 23, 2022 - 10:51 pm

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Marianne July 27, 2022 - 5:58 am

The UK’s hiring slowdown is a reflection of the economic uncertainty facing the country, and this analysis offers a nuanced look at the potential impact on businesses and the job market.

Reply
kathie August 20, 2022 - 7:09 pm

With so much uncertainty in the economy, the hiring slowdown in the UK is a concerning trend that could have significant implications for businesses and job seekers. This analysis offers a comprehensive look at the situation.

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Sheila August 26, 2022 - 3:47 am

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Lashitha W September 13, 2022 - 9:20 pm

The hiring slowdown in the UK is a clear indication of the economic uncertainty facing the country, and this analysis offers valuable insights into what it means for businesses and workers.

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Fran September 14, 2022 - 9:21 pm

In the midst of economic uncertainty, the hiring slowdown in the UK is a concerning development that could have far-reaching effects. This analysis offers a nuanced look at the potential implications and risks involved.

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stephanie September 18, 2022 - 8:04 pm

In the face of economic uncertainty, the hiring slowdown in the UK is not surprising, but this analysis offers a thoughtful look at the potential implications for the economy and workforce.

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Erika September 30, 2022 - 9:03 am

The news of hiring slowdown in the UK is a reflection of the economic uncertainty facing the country, and this analysis offers a thoughtful look at the potential impact on the economy and workforce.

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Deborah December 20, 2022 - 11:44 pm

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beth January 3, 2023 - 6:25 pm

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susan January 6, 2023 - 11:48 pm

The UK’s hiring slowdown is a symptom of the broader economic uncertainty facing the country, and this analysis provides valuable insights into what it means for businesses and job seekers alike.

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Naomi January 20, 2023 - 7:02 am

The news of hiring slowdown in the UK comes amid economic uncertainty, and this analysis offers valuable insights into what it means for businesses and job seekers.

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Nathaniel January 21, 2023 - 2:54 pm

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Amy February 5, 2023 - 1:33 pm

The UK’s hiring slowdown highlights the economic uncertainty facing the country, and this analysis provides valuable insights into what it means for businesses and the labor market.

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Julie February 15, 2023 - 4:48 pm

With economic uncertainty looming, the hiring slowdown in the UK is a concerning development. This analysis offers a comprehensive look at the potential implications and long-term effects.

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Kim March 12, 2023 - 6:41 am

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