Downturn in permanent hiring activity eases during December

Royal Bank of Scotland report on jobs 

  • Recruitment activity falls for the third month running
  • Growth of demand for labour softens during December
  • Starting salaries rise at quickest pace since June

According to the latest Royal Bank of Scotland Report on Jobs survey, Scottish recruiters reported a decline in permanent placements during December. The rate of contraction eased considerably over the month, however, with the respective index climbing from 40.6 in November to 46.8 in December.

Nevertheless, placements fell for the third month running overall, as recession fears and market uncertainty dampened recruitment activity. Temp billings likewise fell for the third successive month. Growth of demand for labour continued to soften during the final month of the year.

Permanent and temp vacancies expanded at the weakest rates in 22 and 27 months, respectively. Nonetheless, in efforts to attract and secure candidates amid ongoing reports of labour shortages, firms across Scotland continued to raise starting salaries and temp wages sharply.

Softer reduction in permanent placements

The number of permanent staff appointments across Scotland fell in December, thereby extending the current run of contraction to three months. The downturn eased from November’s 29-month record, but was nonetheless solid overall. According to panellists, reduced market confidence and the cost of living crisis weighed on recruitment.

Though strong, the reduction in permanent placements across Scotland was softer than the UK-wide average.

For the third month running, recruitment consultancies across Scotland reported a decrease in billings received from the employment of short-term staff during December. Adjusted for seasonality, the Temporary Billings Index ticked down from November, to signal a quicker rate of contraction, albeit one that remained mild overall. Skill shortages and difficulties sourcing candidates were in part blamed for the latest decrease.

While a further reduction in temp billings was recorded across Scotland at the end of 2022, the UK as a whole registered a modest expansion.

Marked fall in permanent labour supply in December

The availability of candidates to fill permanent positions across Scotland worsened for the twenty-third consecutive month during December. Although easing from November, the rate of decline remained marked overall and among the fastest on record. Acute skill and candidate shortages limited the supply of workers, according to recruiters. Furthermore, the cost of living crisis, recession fears and greater market uncertainty also restrained labour movement.

The pace of reduction in permanent candidate availability across Scotland outstripped the UK-wide average.

As has been the case in each of the last 22 months, Scottish recruiters reported a fall in temp candidate numbers during December. The rate of reduction gathered pace for the third month running and was the sharpest since June. The latest reduction in temp staff availability was attributed to a slowdown in market conditions, Brexit and a general scarcity of labour.

Starting salaries rise rapidly in December

December data revealed another sharp rise in starting salaries awarded to permanent joiners during December. Notably, the pace of growth continued to quicken from October’s 16-month low, with the latest upturn the steepest since June and above the historical average. According to anecdotal evidence, labour and skill scarcity continued drive up salaries.

Starting salaries across Scotland rose at a much faster pace than that recorded at the UK level.

Pay rates for temp staff across Scotland rose during December, thereby stretching the current run of wage inflation to 25 months. While the rate of growth eased slightly from November, it remained stronger than the survey average and signalled a sharp rise in hourly wages overall. Recruiters indicated that companies raised their pay rates as part of efforts to attract staff amid ongoing labour shortages.

As was the case with permanent starting salaries, temp wages across Scotland grew at a much stronger rate than that seen across the UK as a whole.

Growth of demand for permanent staff eases in December

Growth of demand for permanent staff moderated for the eighth successive month during December. Though strong, the latest upturn was the softest seen since the current run of expansion began in February 2021. Moreover, the rate of increase was weaker than the survey average.

The strongest upturns in demand for permanent staff were seen across the Nursing/Medical/Care and IT & Computing sectors.

Scottish recruiters reported a marked slowdown in growth of demand for temp staff during December. Notably, the respective seasonally adjusted index fell to its lowest level in 27 months and pointed to only a marginal rate of growth.

Of the eight monitored sectors, IT & Computing reported the strongest increase in demand, with Nursing/Medical/Care ranking second.

Sebastian Burnside, Chief Economist at Royal Bank of Scotland, commented: “The final Report on Jobs survey of the year concluded with a further downturn in hiring activity across Scotland, with recruiters noting a third monthly contraction in both permanent placements and temp billings.

“According to panel members, greater market uncertainty and fears over a recession led clients to maintain a cautious approach to staff hiring at the end of 2022. Demand for labour also softened, adding to the likelihood that challenges across the labour market will persist as we enter the new year.

“Nonetheless, with difficulties sourcing suitable candidates, firms continued to raise rates of starting pay. Thus, the data overall suggest that firms are becoming more selective and guarded with their hiring decisions, but willing to offer competitive pay to candidates to secure them.” 

Hiring activity weakens again

Royal Bank of Scotland November report on jobs

• Downturn in permanent staff hires accelerates

• Vacancy growth continues to soften

• Further sharp rise in starting pay

According to the latest Royal Bank of Scotland Report on Jobs survey, hiring activity fell across Scotland again in November amid greater economic uncertainty and strong cost pressures.

For the second month running, both permanent staff hires and temp billings fell, with the former recording the quickest reduction since June 2020. While staff availability continued to deteriorate, demand for labour expanded at a softer, but still strong rate.

The ongoing imbalance of labour demand and supply led to further rises in both starting salaries and short-temp pay.

Downturn in permanent placements gathers pace

For the second successive month, permanent placements fell across Scotland in November. The rate of reduction quickened from October to the fastest since the initial phase of the pandemic in June 2020 and was sharp overall. Increased market uncertainty and candidate shortages were blamed for the latest drop in permanent staff appointments.

Permanent placements also fell across the UK as a whole for the second month in a row, albeit at a softer pace than that seen in Scotland.

November data highlighted a fall in temp billings across Scotland for the second consecutive month. Adjusted for seasonality, the respective index pointed to a slower and modest pace of decrease. According to anecdotal evidence, concerns about the outlook weighed on labour market activity.

In contrast to the trend seen for Scotland, temp billings expanded modestly at the UK level.

Supply of permanent staff falls steeply in November

As has been the case since February 2021, the supply of permanent staff across Scotland contracted during November. Furthermore, the rate of deterioration was the most severe since May and among the fastest on record. Recruiters stated that a combination of labour and skill shortages, Brexit and economic uncertainty reduced the supply of candidates.

Notably, the downturn in permanent staff supply across Scotland outstripped the UK average for the eighth month in a row.

A twenty-first successive monthly fall in temporary candidates across Scotland was recorded during November. The rate of reduction accelerated on the month, and was the sharpest since June. The decline also exceeded that seen across the UK as a whole. Recruiters blamed the fall on a stronger preference for permanent roles, candidate shortages and economic uncertainty.

Upward pressure on starting salaries intensifies in November

Latest survey data signalled a further rise in salaries awarded to permanent new joiners in Scotland for the twenty-fourth successive month in November. The rate of pay inflation ticked up from October’s 16-month low, and was rapid overall. The latest rise in salaries was attributed to competition for labour amid staff and skill shortages.

For the second month running, Scotland noted a quicker rise in starting salaries than recorded at the UK level.

Average hourly wages increased further across Scotland in November, thereby stretching the current sequence of inflation to two years. The rate of pay growth accelerated from October’s 18-month low and was sharp overall. Scottish recruiters commonly noted that acute skill and candidate shortages continued to exert upward pressure on wages.

Further slowdown in growth of demand for permanent staff in November

November data pointed to another monthly increase in the number of permanent vacancies across Scotland, extending the current run of expansion that began in February 2021. That said, while growth remained strong, the rate of increase weakened to the second-slowest in the aforementioned sequence.

Across the monitored job categories, Nursing/Medical/Care reported the quickest rise in vacancies. Executive & Professional and Hotel & Catering reported reduced demand for permanent staff.

Recruiters across Scotland signalled a twenty-sixth successive monthly rise in temporary vacancies during November. However, the rate of expansion cooled since the previous month and was the softest seen since February 2021.

IT & Computing registered the quickest upturn in short-term vacancies, followed by Accounts & Financial.

Sebastian Burnside, Chief Economist at Royal Bank of Scotland, commented: “Following the post-pandemic hiring boom, the latest Report on Jobs survey indicates that recruitment activity lost further momentum in November amid a slowdown across the economy.

“Greater uncertainty around the outlook and candidate shortages have taken a toll on staff hiring across Scotland. Latest data indicated a notably steeper contraction in permanent placements, while temp billings fell for the second consecutive month.

“At the same time, labour scarcity resulted in strong growth in pay, with both starting salaries and hourly wages rising at sharper rates during November.

“The steeper drop in candidate availability across Scotland, which was often blamed on a generally low unemployment rate, fewer foreign workers, worries over the economic climate and cost of living crisis, is likely to add further upwards pressure on pay in the months ahead, particularly if firms want to attract and secure the skilled workers they need.”

Please bear with us: Lothian Buses chief issues public appeal

This is an appeal to all of our customers, and all who want to see Lothian Buses thrive again.

As a society we’ve gone from standing on doorsteps, applauding key workers and paying tribute to their efforts, to a much less tolerant approach.  It’s present wherever you look – in shops, restaurants, and most definitely on buses.  It seems many people are less patient, less accepting and much less forgiving.

I know that our service isn’t always delivering for our customers as it should be right now and I’m sorry.  It’s definitely not how we as a company want it to be and I know we still have work to do to get it right. I know how frustrating it is to wait at a bus stop only for the bus not to turn up or to watch the street tracker increase the number of minutes’ wait when it should be counting down.

Please be assured that Lothian Buses is doing everything possible to get back to operating the reliable bus services that the people of Edinburgh expect and need.

To our customers… Please see our people as human beings – people who are at their place of work and are deserving of your respect and courtesy.  Our drivers and other customer-facing people are seeing a huge increase in abusive behaviour. 

It’s abhorrent and completely unacceptable. If you are frustrated with our service and feel that we have let you down, please remember that it’s not the fault of any individual colleague.  They are doing their very best in incredibly difficult circumstances.

And to our colleagues… I am truly sorry that your working day looks as it does just now.  I know that you are the people who have remained loyal to Lothian Buses and continue to come to work in very difficult circumstances. 

Please know that we are doing everything possible to recruit the drivers we need and to retain the ones we have.  We are running an extensive recruitment campaign, we’ve evolved our training programme, we are adding new benefits to our employment offering, and we are working hard to modernise rotas so that we can offer a better work/life balance.

We are slowly turning a corner with driver shortages, and we will get back to being a service that customers can rely on.

And in the meantime…

Please bear with us, and with our people.

Sarah Boyd

Managing Director, Lothian Buses

Royal Bank of Scotland: October report on jobs

Renewed downturn in permanent placements during October

  • Permanent placements fall amid growing economic uncertainty
  • Temp billings decline for first time in 26 months
  • Pay pressures soften, but remain strong overall

Hiring activity across Scotland fell into decline during October, with both permanent staff appointments and temporary billings contracting, according to the latest Royal Bank of Scotland Report on Jobs survey.

Permanent placements have now fallen in two of the past three months, while the downturn in temp billings was the first seen since August 2020. Moreover, the rates of contraction were strong overall amid reports of growing economic uncertainty, softening demand conditions and the deepening cost of living crisis.

October data also revealed further increases in starting salaries and temp wages. However, rates of inflation continued to ease, signalling a mild waning of pressure on pay.

Permanent staff placements fall solidly

October data highlighted a fall in permanent staff placements across Scotland. After a month of growth in September, the respective seasonally adjusted index reverted below the neutral 50.0 threshold to signal the second reduction in three months.

The rate of contraction was the fastest seen in nearly two years and solid, with recruiters often linking the fall to growing economic uncertainty and the cost of living crisis.

At the UK level, a fall in permanent staff hires was also noted, with the rate of decline similar to that seen in Scotland.

Scottish recruitment consultancies signalled a reduction in temp billings during October, thereby ending a 25-month run of expansion. The rate of contraction was the quickest seen since July 2020 during the initial wave of the pandemic and strong overall. According to panellists, the latest fall was driven by reduced activity at clients. 

Across the UK as a whole, temp billings were broadly stagnant after rising in each of the prior 26 months.

Downturn in permanent staff supply fastest in three months

Recruiters across Scotland noted a twenty-first successive monthly fall in permanent candidate availability during October. The pace of decline quickened on the month and was marked overall. Panellists generally linked the latest downturn to skill shortages and increased hesitancy to seek out new roles due to rising economic uncertainty.

The pace of reduction across Scotland was more rapid than that recorded for the UK as a whole.

The supply of temp labour across Scotland fell again during October. Despite being severe overall, the rate of decline was the second-slowest in seven months (after September). Recruiters highlighted a lack of European workers and ongoing skill shortages as factors constraining supply.

As has been the case for the last seven months, the rate of contraction in temp staff availability in Scotland was sharper than that seen at the UK level.

Starting salary inflation softens further in October

Latest survey data indicated that average starting salaries for permanent staff in Scotland increased at the slowest pace since June 2021 during October. That said, the pace of wage inflation remained elevated in comparison to the historical average. According to anecdotal evidence, skill and candidate shortages continued to drive up rates of pay.

Data for the UK as a whole also signalled a softer rise in starting salaries during October. Moreover, the pace of inflation was softer than that seen for Scotland for the first time in four months.

As has been the case for the past 23 months, temp wages rose across Scotland during October. While the respective seasonally adjusted index hit an 18-month low, it signalled a sharp rise overall. Greater competition for scarce candidates was cited as a key driver of the latest increase in temp pay.

At the national level, wages also increased at a much slower rate during October. However, the rate of inflation was quicker than that registered in Scotland.

Demand for permanent staff expands at slowest pace in 20 months

Demand for permanent staff grew sharply during October, thereby extending the current period of expansion to 21 months. However, the respective seasonally adjusted index fell for the sixth month running, with the latest reading edging down to a 20-month low.

Across the monitored job categories, IT & Computing registered the steepest rate of expansion, followed by Nursing/Medical/Care.

Recruiters across Scotland noted a twenty-fifth successive monthly rise in temp staff demand during October. While the rate of growth was the weakest since February 2021, it was quicker than that seen across the UK as a whole.

At the sector level, IT & Computing saw the quickest growth in short-term vacancies, followed by Accounts & Financial.

Sebastian Burnside, Chief Economist at Royal Bank of Scotland, commented: “Labour market conditions across Scotland deteriorated in October, as for the first time since August 2020, both permanent placements and temporary billings contracted.

“At the same time, rates of vacancy growth for both permanent and short-term staff continued to ease. Candidate and skill shortages meanwhile stretched the supply of labour thin, with recruiters also noting that increased economic uncertainty had impacted candidate numbers. Though it does seem that market imbalances are becoming less pronounced, the effect on pay remains strong.

“The data therefore suggest that growing uncertainty about the economy and the cost of living crisis are already affecting the labour market, and could weigh further on hiring decisions for the remainder of the final quarter of 2022.”

Record recruitment to Scotland’s Ambulance Service

Recruitment to Scotland’s ambulance service has hit a record high, helping to boost the service this winter. A record 540 paramedics, ambulance drivers, call handlers, and clinicians have been employed in the last year.

This is driven by a £45 million funding boost announced as part of last week’s NHS winter resilience plan, which will ensure the NHS is working as efficiently as possible.

The increase in staff numbers is already having a tangible impact on response times – with 99% of all serious incidents, such as heart attacks, being dealt with in under 30 minutes.

The investment will increase the number of patients treated in the community, reducing the need for hospital admission and easing pressure on NHS services. 

On a visit to an ambulance station in Edinburgh, Health Secretary, Humza Yousaf said: “This winter will be one of the most challenging our NHS has ever faced, and we need to make sure people are getting the right care, in the right place, at the right time.

“We are determined to equip the Scottish Ambulance Service with the resources and staff to continue to deliver a high-quality emergency service to the people of Scotland.

“Ambulance staff have shown remarkable resilience in the face of sustained pressure on services and I would like to thank them for their continued commitment and hard work.”

Pauline Howie, Scottish Ambulance Service Chief Executive said: “The last 12 months have been the busiest ever in terms of recruitment for the Service and this funding announcement is great news as we continue to experience unprecedented pressures on our services alongside the entire NHS.

“With the increased demand for our services, it’s vital we boost our capacity and resilience by introducing extra resources and staffing. These new staff will complement our existing staff who have done an amazing job before and right throughout the pandemic, providing the very best patient care to communities across the country.”

Shannen McLoughlin is a newly qualified paramedic who has graduated from the University of Central Lancashire (UCLAN) and started with the Scottish Ambulance Service in October 2021.

She said: “I absolutely love my job and have already been fortunate enough to have worked with a number of fantastic paramedics. I found this really benefited my practice and allowed me to get to grips with the transitional role from a student paramedic to a newly qualified paramedic.

“There is such a wide variety of jobs on a shift, there really is never a dull moment and that is why I am so glad I chose to become a paramedic in Edinburgh.”

Those recruitment figures are good news for our beleaguered NHS, but the Tory opposition are keeping up the pressure on Humzah Yousaf:

St James Quarter and Fuse team up to support Scottish employment market

Following the success of last year’s recruitment fair, St James Quarter has partnered with retail and hospitality recruitment service FUSE to provide a new programme of career opportunities for the sector across Scotland. 

The recruitment fair will be held in St James Quarter’s Level 1 unit beside Next from 10:00 – 17:00 on Tuesday 11th of October and those interested are encouraged to sign up now.  

In 2021, the recruitment fair saw 300 local applicants attend on the day with 150 successful candidates invited for paid trial shifts and second interviews with many offered a job on the same day. The joint initiative is intended to provide a much needed boost for the local economy by creating new job opportunities across Edinburgh’s retail and hospitality industry.  

St James Quarter is on track to sustain the target of 3,000 new job roles for the local economy with an additional 1,500 vacancies set to be created following continual expansion plans within The Quarter and the development of W Hotel. FUSE has already successfully placed 2,000 candidates within The Quarter since its opening.  

This year at the recruitment fair, FUSE will be recruiting for 300 vacancies with a variety of positions from Christmas temp seasonal staff through to full and part time roles in a range of levels in retail, restaurant management, customer service and maintenance. Brands from across the Quarter such as Stradivarius, Bonnie and Wild, John Lewis & Partners, Coach, NEOM Organics and Duck & Waffle will all be looking for their newest team members. 

In a commitment to support the future of retail in Scotland, St James Quarter and FUSE are continuing to work together to help boost employment in the capital after 62% of those working at The Quarter revealed in a staff survey that their previous job was affected by the COVID-19 pandemic, leaving them unemployed and struggling to find work. 

Kitti Hovarth, Sales Assistant at Pull & Bear, who found work at St James Quarter through FUSE shares their experience: “During the pandemic, and like many others, I was left unemployed.

“I was unsure where I wanted to take my career and what opportunities were available to me at such an uncertain time. After finding out about FUSE and the recruitment fair, I was able to land a job at St James Quarter as a Sales Assistant.

“This opportunity has allowed me to not only gain experience and expand my skillset in customer service and teamwork, but it’s also boosted my confidence and taken a huge worry off my shoulders” 

Jennifer Laseen, Hospitality and F&B Director, St James Quarter said: “We are delighted to be working with FUSE again to find the right candidates for some amazing roles we have across the Quarter.

“The team at St James Quarter are proud to continue to support our team members and nurture new talent and we are encouraging all those who are interested to sign up to the recruitment fair now to avoid any disappointment.” 

Niamh Murphy, FUSE Manager, added: “The FUSE team are passionate about supporting St James Quarter and the local Edinburgh communities match employees to the right role within the Quarter.  

“Our expert knowledge of the industry allows us to provide a tailored approach to recruitment and continue to support team members and employers with further training, accredited qualifications, and ongoing networking opportunities” 

Job opportunity at Granton Information Centre

We are currently looking for a Welfare Rights Adviser to join our organisation.

This role is ideal for someone who is passionate about helping people and understands the importance of individuals having access to free and impartial advice, advocacy and representation on matters relating to benefits, welfare rights and debt issues.

Although experience in a similar role is preferred, full training will be provided and we are looking to hear from anyone who has useful transferable skills and an interest to work in this field (including graduates).

Apply at https://goodmoves.com/…/a4s3z000…/Welfare-Rights-Adviser

Police: Women recruitment event

Police Scotland’s Positive Action Team will be hosting an online information and recruitment event aimed at women across Scotland.

This event, on Tuesday 4th October from 6.30 – 8pm – will give attendees a fantastic opportunity to hear from serving female officers and their experiences as a police officer in Scotland as well as the opportunity to ask questions.

The event will also focus on the recruitment process and the training, with a unique insight in to life at the Scottish Police College at Tulliallan from a female perspective.

To sign up, please contact the following email address:

recruitmentpositive@scotland.police.uk

Ever considered a sporting career? Open Day being held for lifeguards

As the historic Warrender Swim Centre prepares to reopen its doors to the public once again after two years of renovations, Edinburgh Leisure is holding a recruitment open day and is searching for people who are ready to dive into a new opportunity.

The Open Day is being held at the Royal Commonwealth Pool on Monday, 26th September from 11am – 7pm and they are looking for a new team of lifeguards.

Brian King, Manager of Warrender Swim Centre explained: “The open day is a great opportunity for prospective candidates to find out more about a career with Edinburgh Leisure, the role of a lifeguard first hand from our team, and how to apply quickly and easily for the role. You’ll need to be a good swimmer, but we can offer either full or part-time work and great career prospects.”

Prospective candidates attending will be registered on our applicant system and once registered, they’ll undertake a short competency-based interview and need to complete a water test. 

If the interview is successful, appointed candidates would be required to apply for a PVG (Protecting Vulnerable Groups) certificate. Interested candidates should visit the Edinburgh Leisure website or drop into the Royal Commonwealth Pool between 11am – 7 pm on 26th September.

As a charity, Edinburgh Leisure is dedicated to keeping people in Edinburgh active, and over 5 million annual visits are made to their 50 venues, which includes leisure centres, swimming pools, golf courses and the UK’s biggest indoor climbing wall.

But they’re more than their venues.  Each year their Active Communities programme uses the power of physical activity and sport to support over 10,000 people affected by disabilities, health conditions, poverty, and inequalities to improve their health and wellbeing.

Making a positive impact on people’s health and wellbeing is at the heart of what Edinburgh Leisure does and it takes a big team to deliver this ambition with everyone playing their part. 

As an employer, they pride themselves on providing a supportive and enjoyable work environment that their team are proud to be a part of.  They offer a generous rewards package, staff discount scheme and the option to join their Group Personal Pension Fund.

If you have what it takes for a career with Edinburgh Leisure, they will support you with the necessary training and support to have a long and fulfilling career.

For more information:   https://www.edinburghleisure.co.uk/careers/open-days