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Concerns about skills shortage continue in huge spike in recruitment

80% of employers are planning to recruit staff over the next 12 months, the highest recruitment intentions in eight years according to the latest research released by recruiting experts, Hays.

80% of employers are planning to recruit staff over the next 12 months, the highest recruitment intentions in eight years according to the latest research.*

Employers in Scotland and Wales have the strongest recruitment intentions, with 88% planning to hire over the next 12 months, followed by 87% in the East of England and 85% in London.

Over two-thirds (67%) of employers who are hiring are looking for permanent staff, whilst a third (33%) are hiring for temporary positions. 28% of employers are hiring for roles which are going to be fully remote.

The data, collected as part of the Hays Salary & Recruiting Trends Guide 2022, reports annually on recruitment intentions across the UK and this year is based on a survey of over 22,700 employers and professionals. The highest recruitment intentions in eight years of the Guide compares to just 65% of employers who were planning on recruiting post-referendum in 2016.

The research comes as job vacancies hit 1.1 million between July and September as reported by the ONS, the highest level since records began in 2001.

Recruitment intentions soar and skills challenges increase
Over three-quarters (86%) of employers say they have experienced skills shortages in the last year, increasing from 77% in 2020. Close to half of employers (46%) say skills shortages have had a negative impact on productivity, whilst 45% say they’ve had a negative impact on employee morale, increasing from 37% the year prior.

To help abate shortages, 44% have hired temp or contract workers whilst 22% have increased their marketing activity to attract talent. 21% say they have recruited apprentices and 20% have reskilled existing employees into a new position. Close to a quarter (23%) of employers say they are more likely to offer counter offers to staff than pre Covid-19 to retain talent.

Professionals still not as confident to move jobs
Just over half (52%) of professionals plan to move jobs in the next 12 months – the lowest number reported by Hays in eight years. However, 76% of professionals say they either moved jobs or considered moving roles last year. A third (33%) of professionals also report that there is no scope for career progression in their current role.

Simon Winfield, Managing Director of Hays UK & Ireland, said: “Employers searching for skilled talent has intensified further, due to the quick rebound in the economy, existing skills shortages, and in some areas such as construction – workers returning to the EU as a result of Covid-19 restrictions and Brexit. Almost every employer is facing the same challenges in finding the skills they need, and we’re seeing areas of real demand in technology, construction, engineering, and marketing, where employers can’t hire quickly enough.

“In a bid for talent, businesses are offering salaries high above what is typical for some roles, which isn’t sustainable in the long-term.

“Instead of solely competing on salary, employers need to compete on what they can offer talent in the long run. Pay is still key but aspects such as offering flexible working, training opportunities, a focus on wellbeing and a culture that facilitates good work-life balance can be the difference in a new starter staying for six months versus six years.”

*Hays

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