Employment outlook remains positive for the rest of the year
A new report by the Chartered Institute of Personnel and Development (CIPD) has revealed that employment is forecast to grow steadily throughout the rest of 2012.
The latest CIPD Labour Market Outlook report, released earlier this week, found that net employment intentions – the difference between the proportion of employers that intend to increase total staffing levels and those that intend to decrease total staffing levels – remain positive for the third quarter of 2012 at +7, compared to +5 during the previous three months.
Contractors will also be pleased to hear that more than a fifth of employers (21%) say that they will be increasing the proportion of temporary workers during the next 12 months.
According to the most recent official statistics, temporary employees made up more than a third of the total rise in the number of employees in the three months to August 2012. Employers cite the uncertain economic outlook (37%), the wish to lower short-term costs (25%), and fitting in with the business cycle (30%) as the key reasons behind the shift to temporary employment.
Gerwyn Davies, Labour Market Adviser at the CIPD, said, “The shift to more part-time and temporary employment looks set to continue to drive the jobs market further along the road to recovery.”
The report comes just as it was recently revealed that hiring in the temporary sector is expected to hit record numbers next year. The latest annual survey from Staffing Industry Analysts found that all hiring amongst temps, across all industries, will reach 106% of their historical high since 2008, during 2013. Some sectors may even exceed this.
A section of the Staffing Industry Analyst report certainly brings positive news for all freelancers across the UK, stating: ‘Demand for temporary talent in these (and other) occupational skill sets are at historic high levels.
If the supply of workers willing to accept these temporary roles is not readily available, pay rates will rise and time-to-fill will lengthen as buyers compete for scarce resources’.