UK jobs market holds its breath
UK jobs market holds its breath, with demand unchanged in June
- Reed Job Index reads 103, with Salary Index 95
Employer demand for new UK workers was unchanged in June compared to May, giving a Reed Job Index reading of 103.
Whats more, salaries on offer for new jobs stayed at the same depressed level as the previous month to give a Salary Index reading of 95 compared to the December 2009 base line of 100, according to the Reed Job Index published today (EMBARGO 00:01 Monday 5 July 2010).
Each month the Reed Job Index tracks the number of new job opportunities and salaries on offer compared to the previous month and against a baseline of 100 set in December last year. The Reed Job Index is based on data from the UKs largest job board, reed.co.uk, which every day lists over 90,000 job opportunities from 8,000 recruiters across 37 career sectors throughout the UK.
Job demand rose to its highest level since the Index began in several sectors, led by Media, Digital and Creative - in spite of the Budgets announcement that a promised tax break for the video games industry would be rescinded. Other sectors where job demand reached record highs included Sales and pre-qualified Accountancy staff, which may offer the first signs of the private sector growth which the Chancellor hoped for in his June 22nd Budget. Demand also rose for Financial Services and General Insurance jobs, which implies continued recovery in the UKs business services and financial sectors.
However demand for more strategic posts, where a longer-term benefit is anticipated, fell. Areas such as Marketing & PR and Strategy & Consultancy dropped back from last months highs, as did job demand in the Charity & Voluntary sector. Public Sector demand also dropped back compared to last months high, as might have been expected following the Budgets announcement of job freezes: the Public Sector Job Index figure fell to 74 in June, a drop of 20 Index points compared to May.
Job demand in some previously-depressed regions rose last month, led by Yorkshire & Humberside and the East Midlands. However at the same time job demand slipped back in key areas such as London and the South East, although the Reed Job Index remained above 100 in both areas and stayed steady in Scotland compared to last month at 98.
Martin Warnes, Managing Director of reed.co.uk, comments on the Reed Job Index for June, "The UK jobs market seems to have held its breath in June. Yes, there's been change beneath the steady headline figures, with new green shoots visible across the economy alongside areas where demand has edged down. There are enough signs of emerging optimism to support the Government's hopes that - especially now the Budget and all the distractions of the World Cup and Wimbledon are behind us - the private sector will begin to accelerate job creation However on these figures, it is too early to call.