ICAPs UK Labour Market Indices point to increased recruitment demand during July
ICAP’s UK Labour Market Indices point to increased recruitment demand during July
ICAP, the world’s leading interdealer broker and provider of post trade risk and information services, has released July data for the UK Labour Market Indices (UK LMI). The data suggests employment positivity in July, although recovery remains uneven after the previous vacancy dip seen in June.
ICAP’s UK LMI Vacancy Index, an indicator for near-term employment, shows an 8.7% increase for July. This growth in job vacancies brings further positive news after several months of employment stability highlighted in the UK LMI Employment Index (up 1.8% in July). Demand for these new job roles, however, remains high with a 6.4% increase in applications per vacancy reported for July, demonstrating continued high UK unemployment levels.
Sector Analysis – Public Sector & Government
The detailed UK LMI breaks down vacancy and offered salary data for 48 sectors, such as retail, public sector, manufacturing, engineering and financial services. This can be used to understand hiring patterns within each sector, reflecting confidence and trading conditions, and can be a good indicator of financial performance.
In July, Public Sector & Government reported a 34% and 19% increase in permanent and temporary vacancies respectively. After the deep public sector cuts of the past few years, recruitment demand has returned with vacancies offered reaching the highest level since the 2010 General Election.
Other sectors with a strong public sector influence such as Medical & Nursing and Social Care also experienced strong permanent vacancy growth. However, a strong decline was seen in permanent Graduate & Trainee vacancies.
About the ICAP UK Labour Market Indices (UK LMI)
Accurate, detailed and time critical labour market information derived from a unique source of UK employment information covering in excess of 60% of all job advertisements. The ICAP UK Labour Market Indices (UK LMI) data provides an unparalleled view of key trends occurring in the UK labour market.
Core UK LMI - grouping of unique indices, made up of:
The UK LMI Unemployment Index: uses the number of applications/vacancies to produce a leading indicator that anticipates the ONS Unemployment Claimant Count
The UK LMI Vacancies Index: uses the number of advertised vacancies to produce an indicator that anticipates the ONS Vacancies figure
The UK LMI Offered Salaries Index: sector-weighted average of offered salaries. The UK LMI Employment Index: uses historical correlation between changes in numbers of advertised vacancies and official ONS Employment figures to produce a leading indicator for the labour market that anticipates the upcoming official figures.