Labour Market Outlook
The Adecco Group UK&I has joined forces with the CIPD (Chartered Institute of Personnel and Development) to produce the CIPD/The Adecco Group Labour Market Outlook (LMO). The LMO is a quarterly report providing analysis and commentary on key employment trends.
Our partnership with the CIPD supports our aim to provide fresh insight and deeper understanding into workforce management and recruitment challenges by building strategic links with professional organisations and academic bodies.
The LMO is one of the most authoritative employment indicators in the UK. The report is typically based on a survey of more than 1,000 HR professionals and senior decision makers. Further information about survey methodology can be found in the reports.
About the CIPD
The CIPD is the professional body for HR and people development. The not-for-profit organisation champions better work and working lives and has been setting the benchmark for excellence in people and organisation development for more than 100 years. It has more than 140,000 members across the world, provides thought leadership through independent research on the world of work, and offers professional training and accreditation for those working in HR and learning and development.
The CIPD/The Adecco Group Labour Market Outlook (LMO), Winter 2017-2018 report
NOTE: Previous LMOs have been based on a survey of approximately 1,000 HR professionals and senior decision makers. For this report and the Autumn 2017 report, the LMO increased its survey size to approximately 2,000 HR professionals and senior decision makers. This has given us new regional and industry insights.
Skills and training investment
This quarter, we’re seeing a surprising lack of investment in skills and training, particularly in light of current challenges Brexit might exacerbate.
The report reveals that the main reason (37%) for pay to rise by an expected 2% or more is higher pay being offered to candidates when they look to change jobs.
Net Employment Balance outlook (Q1 2018)
(NEB: the difference between intentions to increase and decrease staff numbers)
- Overall NEB is +16 (down from +18 in the last report).
- Broken down by sector, the NEB for the private sector is +22 (no change from the previous report), the public sector is -7 (down from +7), and the third/voluntary sector is +20 (up from +15).
The latest LMO report looks at NEB through a new lens by measuring ‘all employers’, rather than only those who are recruiting and making redundancies. This is a more accurate way to measure NEB, with better regional, sectoral and industry perspectives.
Wage growth in the next 12 months
- Overall median basic pay increase expectation is 2%
- Median basic pay increase expectation by sector: private sector, 2%; public sector, 1%; voluntary sector, 1.5%