Employers turn to temporary workers to fill vacancies as double dip recession bites

• Temporary placements up 7%, as permanent market falls 5%
• 9% slump in London’s recruitment sector
• Graduate salaries down 18%

Employers are increasingly turning to the UK’s temporary workers base to fill vacancies, rather than recruiting permanent staff, according to the latest jobs data from the Association of Professional Staffing Companies (APSCo).

According to the latest data from APSCo, temporary job placements across the UK rose by 7% in the last twelve months (year-on-year), while permanent placements fell 5% (y/y) over the same period.

APSCo’s latest jobs data provides a snapshot of the UK’s professional recruitment market, with analysis across all professional-level sectors from accountancy and legal, to banking, engineering, IT and marketing.

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While professional-level vacancies continue to fall for both permanent and temporary workers, (down 30% and 19% respectively, year-on-year) actual professional-level placements are only increasing in the temporary sector. The continuing economic uncertainty means that employers are reining in expenditure on permanent employees until the outlook becomes clearer. (see graphs below).

Ann Swain, Chief Executive for APSCo says: “This switch from permanent to temporary recruitment demonstrates how the UK’s professional recruitment market can respond flexibly to changes in the broader UK economy.”