–KPMG/REC: UK Nov Permanent Placements 48.2 Vs 49.7 in Oct
–KPMG/REC: UK Nov Vacancies Index 52.7 VS 53.5 in Oct
–KPMG/REC: UK Nov Temporary Placements Index 50.9 vs 52.0 Oct
–KPMG/REC: UK Nov Permanent Salaries 50.9 vs 50.1 Oct

LONDON (MNI) – UK permanent placements fell at their fastest pace
since July 2009 in November, as the job market continued to sink,
according to the latest KPMG/REC jobs report compiled by Markit.

This was the second month running that permanent placements
had declined. KPMG-REC said that an easing in the rate of growth of
permanent job vacancies to a 25-month low had been key to the fall in
permanent postings.

Economic uncertainty seems to have played a part in employers
putting jobs on hold and taking longer to make recruitment decisions.
The survey also showed temp billings rising at a only a marginal pace as
employers looked to cover via more flexible staffing at a time of
intensifying economic uncertainty and constraints on budgets.

The survey findings throw more doubt on the government’s stated
view that private sector job growth will be able to compensate for job
losses in the public sector as austerity starts to bite.

Recruitment consultants signalled a weaker rise in the number of
vacancies available to job seekers during November. The Report on Jobs
Vacancies Index dropped to 52.7 from 53.5 in October, its lowest level
for just over two years.

Growth of demand for permanent staff eased to a 25-month low in
November, the Permanent Staff Vacancy Index falling to 52.7 from 53.6 in
October. Demand for short-term staff increased further in November, with
the rate of expansion picking up to a five-month high. The Temporary
Staff Vacancy Index rose to 53.2 from 52.5 in October.

Permanent pay inflation remained marginal and well below the
survey’s historical average. There was a slower rise in pay for
temporary/contract staff. The latest increase was only slight and the
weakest in the current 10-month period of inflation due to tight budgets
and competition between candidates.

Commenting on the latest survey results, Bernard Brown, Partner and
Head of Business Services at KPMG said:

“This month’s Report on Jobs makes grim reading. Given the
uncertainties of the European market, the Government’s recent stimulus
package could not have come sooner, as unemployment creeps ever higher.
Whilst most commentators suggest unemployment will peak lower than 3
million, this figure may be tested in the year ahead”.

–London newsroom: 4420 7862 7492; email ukeditorial@marketnews.com

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