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 based on a survey of more than 1,000 HR professionals and senior decision makers. Further information about the survey methodology can be found in the report.
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 latest CIPD/The Adecco Group Labour Market Outlook (LMO), Summer 2017
The headline finding in this report is the UK’s buoyant labour market. The net employment balance (the difference between hiring and redundancy intentions) is up for all sectors: private, public and voluntary. We caution readers of the report to keep these findings in context with the wider political environment. Brexit still presents a number of unknowns for the UK labour market. We also feel that training provisions, to safeguard future talent, should be addressed by the Government via both apprenticeship and non-apprenticeship courses.
The other key finding from the report is that employers’ expectations for raising pay have not really changed since the last LMO (spring 2017), and is at 1%. A piece of the puzzle that may be missing from this finding on pay rise expectations is the scenario when employers raise pay as part of counter-offers to retain employees – this increase would not be reflected in this report as it wouldn’t be anticipated ahead of time.
- 68% of organisations have plans to recruit employees in the next three months to September 2017.
- Breaking down applications for low-, medium- and high-skilled roles and comparing them to autumn 2014 and autumn 2015, for their last filled roles, on average employers had less applicants for low-skilled roles, more for medium-skilled roles and roughly the same for high-skilled roles.
- Employers’ median basic pay increase expectations in the 12 months to June 2018 is 1%.