Positive growth and new opportunities in the manufacturing industry
We often focus on IT contractors and related disciplines, so it’s good to see a story in the news which looks at the positive trends in the UK manufacturing industry. A new report shows clearly sustained growth momentum in the industry and is great news for limited company contractors working in the manufacturing sector.
A positive outlook for manufacturing
New figures from the latest ‘seasonally adjusted’ IHS Markit/Chartered Institute of Purchasing and Supply Purchasing Managers’ Index show that the manufacturing industry has been awarded a Purchasing Manager’s Index (PMI) score of 56.7 for May 2017. This is good because it shows only a very slight drop from April’s PMI figure of 57.3, which was the highest level for three years.
The industry is seeing the job creation figures growing at the fastest rate for 35 months, and confidence levels are at a 20 month high – with 56% of manufacturing companies reporting ‘growing optimism’ for the next few months. Meanwhile, as a result of new orders coming in, higher demand for exported goods, and an ongoing increase in productivity – May was the 10th month of growth in a row.
Confirmation from industry experts
Commenting on the new figures, Senior Markit Economist Rob Dobson said, “These underlying dynamics are proving to be a real boon for the manufacturing labour market, with May seeing jobs added at the fastest pace since mid-2014.”
CIPS Director of Customer Relationships Duncan Brock added, “To meet these demands employment levels grew at their fastest levels since June 2014 which is good news for job seekers, though the question mark over a continuing skills shortage in the UK will continue along the path to Brexit and the years ahead.”
It seems that there is a common theme of skills shortage across more than just the IT industry, with the manufacturing industry also showing concerns. So again, this presents a significant opportunity for contractors who have the skills that manufacturing businesses need, to really make a difference.