14th Jul 2025 03:09
(Alliance News) - Recruiters have reported a continued decline in companies hiring full-time and part-time staff.
A survey of 400 recruitment agencies for the quarter to June found widespread reports that companies had pulled back on hiring due to reduced confidence around the economic outlook and worries over costs.
The overall availability of staff increased rapidly in June amid reports of redundancies and weaker demand for workers, said the Recruitment and Employment Confederation.
REC Chief Executive Neil Carberry said: "There is more volatility month by month in the jobs market right now, as employers assess a complex picture and hire when they need to, but not yet at the rate they might want to.
"Much of that hesitation stems from the scar tissue left by the spring tax hikes and fear of further business tax rises.
"Clarity and transparency from government is vital to build trust with business and drive recovery.
"The new road map for the Employment Rights Bill allows for full and frank consultation on how the new rules will be shaped and gives breathing space to embattled businesses.
"Updating workplace protections is important, but striking the right balance with the business growth ambitions is the crucial part."
Jon Holt, Group Chief Executive at KPMG, which helped with the report, said: "Ongoing geopolitical turbulence and the threat of rising costs, alongside the promise of technology efficiencies, mean companies continue to wait and see with their hiring.
"But where there have been recent government commitments, such as in housebuilding and infrastructure, we are seeing a small increase in permanent vacancies in related sectors – construction and engineering – which is encouraging."
source: PA
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