UK Job Market Navigates Choppy Waters

According to the latest figures from the Recruitment & Employment Confederation (REC) and Lightcast Labour Market Tracker, there was a notable decrease in job vacancies in the UK for February 2024, with a total of 1,873,386 roles advertised. This represents a decline from the 2.5 million vacancies reported in the same month in 2023, although it still exceeds the total from February 2020, which stood at 1.57 million. Furthermore, the tracker noted a 5.5% decrease in new job listings for February 2024, amounting to 810,651, compared to the preceding month.

The statistics suggest that the enduring labour shortages, attributed to a reduced workforce and skills deficits in sectors such as engineering, alongside swift alterations in consumer behaviour, are influencing these trends.

On a regional basis, Scotland experienced a 1.2% rise in job adverts, despite containing six of the ten UK areas with the lowest growth rates, mirroring the pattern observed in the preceding month.

There was a significant uptick in job advertisements in several professions; authors, writers, and translators saw a 67.5% increase, followed by window cleaners at 38.1%, and fashion and accessory designers at 28.2%. Other roles such as driving instructors, gardeners, landscape gardeners, and data entry administrators also noted substantial rises.

Conversely, the tracker highlighted a marked decrease in advertisements for delivery drivers and couriers, optometrists, and prison service officers (below principal officer) from January to February 2024.

The analysis of job posting growth across UK regions showed that North and North East Lincolnshire, Wakefield, and the Hackney and Newham areas saw the highest increases. In contrast, the Causeway Coast and Glens, Moray, and Orkney Islands experienced the most significant declines in job postings.

The top ten counties/unitary authorities with growth in active job postings included four from the Yorkshire and Humber region.

Neil Carberry, Chief Executive of REC, remarked on the findings, highlighting the apparent slowdown in the job market in line with the broader economic downturn over the past year. Despite this, the recruitment landscape remains comparatively resilient, supported by the UK’s limited labour supply and signs of rising business confidence. Carberry emphasised the persistent recruitment challenges companies might face, especially as economic growth begins anew.