UK temp billings at strongest rate since July, finds eurociett
New figures from Germany show that after a long stretch of negative growth, Germany is back in positive territory with 0,2% y-o-y growth in August. Meanwhile, y-o-y growth figures for Belgium, France and the Netherlands all improved compared to the previous month to respectively 7,7%, 6,0% and 11.0%. Italy and Finland on the other hand slowed down in September, although both still show positive y-o-y growth of 13,4% and 2,6% respectively. All in all, this brings the European average growth to 5,8% y-o-y in September.
Evolution of agency work sales revenues in Europe
All countries but Norway are showing positive y-o-y growth in terms of turnover of the agency work sector. Comparable to the number of hours worked, Belgium, France and the Netherlands show an acceleration of growth compared to the previous month, while Finland slowed down.
In September 2015 the number of hours worked by temporary agency workers was 1.52% higher than a month earlier (seasonally adjusted data. Corrected for calendar effects). An increase was observed in the white collar segment by 1.94% and in the blue collar segment by 1.21%. In comparison with September 2015, the activity in the temporary agency work industry grew by 7.72% (compared to 3.78% in August 2015) resulting from a rise in the blue collar segment (hours worked: 6.89%) and in the white collar segment (8.89%).
Temp billings rise at strongest rate since July. Agencies’ billings from the employment of temporary/contract staff also increased at an accelerated pace during October. The rate of growth was at a three-month high and solid overall. Higher temp billings were signalled by approximately 35% of panellists, compared with one-in-five that noted a decline. The sharpest rate of growth was registered by agencies based in the Midlands, while those in the North saw the weakest increase.
In September, temporary work turnover improved 5% (year over year). In the same time, number of hours worked grew by 6%. In October, number of temps at work has increased of 6.9% reaching the highest level of growth since the second quarter 2011. Trends in regions Champagne Ardenne, Limousin and Centre are above with growth between 10 and 17%.
In period 11 (week 41 – 44) the total amount of hours increased 11% and turnover grew 12%, in comparison to the same period last year. This period had an equal amount of workable days compared to the same period last year, so no correction was applied.
• The administrative sector increased 10% in hours and turnover grew 12% in comparison to the same period in 2014.
• Hours in the industrial sector increased 10% and turnover increased 11% compared to the same period last year.
• Furthermore, the amount of worked hours in the technical sector increased 18% and turnover increased 16%.
The Norwegian agency work market is declining for the 11th consecutive quarter and the yearly development is the worst seen since the financial crisis (2009). A cooling Norwegian economy is the main reason for the decline. Drop in oil prices affect the market for the Norwegian agency work industry. Unemployment is now slightly growing. Several work areas are now facing heavy decline.
Here are some examples: Office/administration (-28,1%), Engineering (-13%), Manufacturing (-13,3%) and Construction work (-14,3%).