Improving jobs market reflects increasing business confidence

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The amount of people employed in both temporary and permanent jobs has risen at its fastest rate since April 2011, with pay growth also increasing, a new survey has revealed.

The survey results seemingly reflects improving confidence in the UK economy, with more and more sectors having shown sustained growth in recent months as well as positive economic forecasts for the rest of 2013.

The Recruitment and Employment Confederation (REC) Report on Jobs, published today, indicated there had been an increase in job vacancies not seen for three years, whilst its permanent placements index figure hit 57.6 – well above the 50 mark which indicates growth.

Salaries for permanent staff rose at their fastest pace for 23 months, whilst pay for temporary and contract staff also leapt up and hit a 5-year high.

REC chief executive Kevin Green felt the figures were positive and reflected an improving labour market: "We are now seeing the UK jobs market blast off with the highest number of people being placed in permanent jobs for two years and demand for staff at a three year high.”

Some caution must be displayed as such recruitment based surveys tend to ignore public sector jobs, but it would seem the UK economic picture is starting to look more positive.