Looking at both the employers and job hunters side of this recent article release – Charlie Ryan The Recruitment Queen has published her views being highly experienced in both points of view!
Employers won’t feel that wages have dropped in real terms regardless of what the compounded impact economy results tell us. Employers if anything, are feeling the recent minimum wage increases and they are turning more and more to take on Apprentices in order to be able to pay less and at least grow their business and increase the headcount. I think you will also find and I would be surprised if most recruitment companies didn’t support this, where individuals are worth the money, they will command it and employers will pay it, as they always have.
The drop to 4.6% unemployment, I think employers will agree that this feels very real, as it has become harder and harder to find a skilled employee, therefore that always tells us that it is likely those people are already employed which is indicative of more opportunities and low unemployment.
However I think the focus here should also be on the positive that we have achieved a 4.6% unemployment rate which for us is clearly indicative of our own growth over the last 3 years. The opportunities have been out there for those with the right attitude and even those who have gone into a job on a slightly lower wage, very quickly have had increases in line with their worth as soon as this has been demonstrated to the employer. From a recruitment company perspective across the board on all of our opportunities, I can confirm that salaries being offered has not reduced in the last 12 months and if anything in some industries so for example constructions, salaries are showing a 20% increase.
It is also clear that since the announcement of the General Election, this has given employers confidence that there is a plan and has had no impact on the rate of recruitment. This is fantastic news as employers have really moved away from the “wait and see” stance taken after Brexit which will ensure continued growth of employment opportunities and with a real focus being on school leavers now and not just graduates.
Job Hunter take
As much as this article doesn’t appear to have a positive slant, job hunters need to take heart that although unemployment is low it never feels like this if you are out of work. There are plenty of opportunities out there still and if anything they are increasing and we are not seeing a slow down in jobs since the General Election was announced. I think this announcement has been welcomed by employers who want to feel like there is a plan in place and this is the beginning of the plan. This confidence will increase the jobs out there as employers want to grow and you have to position yourself both in terms of mindset and skill to take advantage of that growth.
As the results suggest there is an overall drop in net wages but again I would suggest that the individual impact of this will not feel as dramatic as this comment suggests. These figures being taken as an average do not take into account the massive increase in apprentices who are being recruited. They are recruited at very low salaries as they are being trained and educated and are in 90% of cases living at home. Overall as an agency we can confirm that salaries have not dropped in any sector over the last year and where you can demonstrate your worth employers will pay it, we are seeing this time and time again.
The other area which will be affecting the wage drop will be the flexible working and “self Employed” status of many who have re-entered the world of work over the last few years. Many want to take less pay to have a better quality of life which will also impact the figures mentioned.
We can confirm in some industry sectors, salaries have increase so for example within construction there has been a 20% increase over the last 12 months on salaries from the Project Manager level upwards. As with any article I think it is important to keep the numbers in perspective as there is a lot to be positive about in the world of employment and recruitment even in the last 6 months and opportunities really are out there where the right approach is taken to find them.