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Scotland – Demand for staff remains strong

20 January 2014

The latest Bank of Scotland Report on Jobs signalled near-record increases in both permanent and temporary staff appointments in December. Permanent vacancies rose at the fastest pace since July 2007 and were a factor behind the sharpest increase in starting salaries in the Report’s 11-year history.

Donald MacRae, Chief Economist at Bank of Scotland, commented: “December’s Barometer showed another marked improvement in the Scottish jobs market. The number of people appointed to both permanent and temporary jobs rose sharply while the number of vacancies increased strongly reflecting strong demand from employers. The increase in permanent salaries was the fastest in the eleven years of the survey. These results show business confidence in Scotland is on the increase and suggest the recovery will continue in 2014.”

Permanent and temporary staff appointment rose at the strongest rate in Edinburgh. The greatest deteriorations in permanent and temporary candidate availability continued in Glasgow and Aberdeen, respectively.

The strongest rise in hourly pay for temporary workers was in Edinburgh, with Glaswegian recruitment agencies recording the strongest permanent salary rises. There was a marked increase in hourly pay for temporary workers, with the rate of inflation much faster than that registered in November.

Although the rate of growth eased slightly from November’s record, permanent staff appointment continued to increase sharply. Temporary billings increased at the fastest pace since January 2011, with the rate of growth remaining faster than the UK average.

Temporary and contract job vacancies continued to rise sharply, although the latest increase was weaker than November’s peak. Demand for permanent staff rose markedly, with the rate of growth accelerating to a near six-and-a-half year record.

Candidates seeking temporary work declined at a marked rate that was faster than in November. The availability of permanent staff also fell markedly, albeit the latest deterioration was weaker than the previous month.   

All eight sectors posted a larger number of temporary vacancies in December. The Nursing/Medical/Care sector continued to record the fastest rate of demand growth, with the pace of expansion accelerating to a new survey-high. Demand for permanent staff also increased in all eight sectors. The Nursing/Medical/Care sector posted the strongest rise overall, closely followed by Accounts & Financial.

The most sought after temporary/contract and permanent staff by sector are ranked in the table below.

  Temporary/Contract Staff Permanent Staff
1 Nursing/Medical/Care Nursing/Medical/Care
2 IT & Computing Accounts & Financial
3 Hotel & Catering IT & Computing
4 Engineering & Construction Engineering & Construction
5 Executive & Professional Hotel & Catering
6 Accounts & Financial Executive & Professional
7 Secretarial & Clerical Secretarial & Clerical
8 Blue Collar Blue Collar

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