–KPMG/REC: UK Apr Permanent Placements 63.2 vs 65.2 in March
–KPMG/REC: UK Apr Temporary Placements 58.7 vs 60.9 in March
–KPMG/REC: UK Apr Vacancies Index 61.6 vs 60.7 in March
–KPMG/REC: UK Apr Permanent Salaries Index 55.2 vs 53.6 in March
–KPMG/REC: UK Permanent Salaries Index Highest Since March 2008

LONDON (MNI) – UK temporary and permanent jobs continued to grow
robustly in April, but at a slower rate than in March, according to the
latest survey of the UK labour market for KPMG/REC and compiled by
Markit.

Both the temporary and permanent job indices were comfortably above
the 50 contraction/expansion level in April, marking the ninth
consecutive monthly expansion in both job markets.

The April permanent placements index came in at 63.2 in April, down
from 65.2 in March. The temporary placements index edged down to 58.7
from 60.9 in March.

The KMPG/REC surveys have tended to paint a brighter picture of the
labour market than the official data, which have shown employment
declining. The most recent official data showed that in three months
through February 72.1% of the workforce was employed, down 0.3
percentage points from September to November and the lowest proportion
in employment since the three months to October 1996.

The KPMG/REC survey shows pay growth picking up. The permanent
salaries index rose to 55.2 in April from 53.6 in March, representing
the fastest wage inflation since March 2008. The temporary/contract pay
index rose to 53.1 in April from 51.4 in March, the fastest growth for a
little over two years.

The rise in pay pressures reflects slower growth in staff
availability. The permanent staff availability index fell to 52.1 in
April from 53.1 in March, while the temporary staff availability index
fell to 53.0 from 55.9 in March.

Job vacancies grew, with the job vacancies index in April rising to
61.6 from 60.7 in March.

Bernard Brown, head of Business Services at KPMG, warned that
looming public sector job losses, due to fiscal tightening, could derail
employment growth.

“The latest figures show that the UK jobs market is continuing on
the road to recovery albeit at a slower pace than the previous month.
While the UK’s gradual emergence from recession is starting to lead to
better job prospects in the private sector, many public sector employers
have finally woken up to the scale of the financial challenge that is
coming their way,” Brown said.

“It is now becoming increasingly clear that the long predicted
public sector recession has started to hit the jobs market and therefore
the upwards trend we have seen over the last couple of months may come
to a halt,” he added.

–London newsroom: 4420 7862 7491; email ukeditorial@marketnews.com

[TOPICS: M$B$$$,MABDS$]