REC: Jobs Outlook - September 2022. Confidence trend at all-time low
Tuesday, 20 September 2022
Confidence
In June-August 2022, business confidence in the UK economy fell by a further 9% from the previous rolling quarter to net: -64, a new record low. At net: -71 in August, the barometer has been in negative territory for 11 months.
Employers’ confidence in making hiring and investment decisions also fell by 7% to net: -26, the lowest figure on record since data collection began at the start of 2022.
Permanent recruitment
Do you think the number of permanent workers in your organisation will increase or decrease in the next three months?
In June-August 2022, employers’ intentions to hire permanent staff in the short-term fell by 3% but remained stable at net: +17. Regionally, sentiment was the highest in the North of England (net: +23), followed by the Midlands (net: +20). When it comes to business size and structure, mid-sized (50-249 employee) organisations’ sentiment remained stable at net: +22, while public businesses decreased to net: +9.
Temporary recruitment
Do you think the number of agency workers in your organisation will increase or decrease in the next three months?
In the three months to August, employers’ intentions to hire temporary agency workers in the short-term rose by 1% to net: +15. All regions in the UK recorded an increase in sentiment, but hiring intentions were notably higher in the Midlands at net: +34. Forecast demand for small-sized (0-49 employee) enterprises remained stable at net: +26. However, demand further decline into negative territory for the public sector (net: -10).
Topical question
More than one in two employers believe that these options should be the main priorities for this year’s Spending Review to support businesses and jobs in the UK.
More specifically, roughly four in five employers argue that this year’s Spending Review should prioritise increasing investment at a local level (82%) and a tax credit scheme that encourages investment in skills training (78%).
