Job opportunities in the City increased by +10% during June 2014 compared with the same month last year, according to the latest Morgan McKinley Employment Monitor. Compared with May, the number of jobs increased by +15%.

The number of candidates fell by -21% in June, year-on-year, following four bank holidays and a later half-term school break as a result of a late Easter. However, between May and June the number of job candidates increased by +15%.

Hakan Enver, Operations Director for Morgan McKinley, commented: “This latest data indicates City hiring is bouncing back following two consecutive months of contraction, which follows our prediction that the market would pick up once the holiday season was over. June saw a +15% leap in the number of roles available, despite conflicting reports from other recruiters in the financial services sector that jobs movement is falling.”

“This positive sentiment has been borne out by a shift in the number of contractor versus permanent placements.  During H1 of 2014, there was a +5% increase in permanent vacancies over the period. Year-on-year comparisons show that the volumes increased by +4%.  Although the overall flow of opportunities is still in favour of contractors, it is clear to see that the market is increasing its commitment to investing in long-term staff,” he added.

The average salary increase for those securing new jobs in June was +14%, compared with +15% in May 2014. Mr Enver commented: “Recent data from the REC/KPMG indicating companies are pushing up salaries to attract potential employees echoes our own findings, which reveal salaries increased by +14% in June. Over the last 12 months, however, this shows an average increase of +18%.”

“There is a high level of competition among employers to attract candidates with niche skillsets, while businesses are doing their utmost to ensure employees stay put by increasing their base pay. However, as the REC/KPMG report also flagged up, remuneration alone is often not sufficient to tempt individuals away from their current position,” he concluded.