Brexit related political uncertainty is continuing to cause businesses to be cautious about hiring and investing, despite employers confidence having stabilised since the extension of the Brexit deadline.
This data comes from the Recruitment & Employment Confederation (REC) latest report JobsOutlook, which showed that hiring and investment decisions remain the same at net +1 during this quarter.
The confidence in the UK economy as a whole is still firmly in the negative territory with net -25. Also, just under half (42 per cent) of employers have shown concern about the availability of credible candidates for hire.
Neil Carberry, chief executive of the REC, said:
Headline jobs numbers remain positive, but our data shows that the business community is cautious about hiring in the current environment. While employers still believe in their own business, wider concerns about the economic outlook are leading to this more moderate approach.
The challenge for Boris Johnson is to find a clear, realistic and effective path to boosting business confidence. This must start with a negotiated Brexit deal which allows access to the skills and markets that the UK relies on – not a sudden shock. Protecting our flexible jobs market will also be vital, as it underpins so much of our high employment rate.
It is in uncertain times such as these when recruiters can really show their worth as trusted advisers to business. Their knowledge and expertise is invaluable in helping employers hire the right staff. The REC will be helping members to do this with even more knowledge through our new regional market insights launching next week.
JobsOutlook is produced by the REC in partnership with ComRes, a member of the British Polling Council. ComRes interviewed 610 UK employers involved in hiring by telephone between 1 April and 26 June 2019. Data was weighted to be representative of UK adults in employment by region, broad industry sector and public/private split.