July’s Market Update
Demand for contractors and permanent IT staff continues.
The number of new IT jobs created in the UK has risen 28% year-on-year, research also revealed 90,416 new IT jobs were advertised in May, compared to 70,912 in May 2010. The figures are taken from APSCo’s Monthly Trends report, which analyses job vacancies and placements across the UK professional staffing sector.
For Contractors the REC reported various improvements in demand from all industries and IT recorded the steepest growth in demand, There were a number of reports that clients had been hesitant in making recruitment decisions. Where a rise in placements was recorded, this is frequently attributed to higher demand for staf
The REC also reported demand for permanent staff increased across all industries during May and June, albeit to varying degrees The current period of expansion now extends to twenty-three months. Growth was strongest in the IT industry whereas Secretarial/Clerical was the weakest
A statement by APSCo said: “It makes sense that businesses are investing in technology having reined in spending during the recession. IT is seen as key to boosting competitive advantage, so IT directors are increasingly keen to push the button on projects, which will deliver significant productivity gains. Candidates with cloud computing experience, for example, are in high demand. We are seeing a significant increase in demand for IT professionals, with skills shortages in some areas now becoming widespread. Candidates with niche, in-demand skills are receiving multiple job offers and double digit pay increases for switching roles are now commonplace.”
KPMG stated that job security continued to deteriorate in June. Around 22% of respondents indicated that job security worsened since the previous month, while only 6% reported an improvement and that the public sector job market remains very slow – with little sign of a pick-up in the near future.