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Employment is recovering from Brexit dip The Financial Times are reporting that recruitment companies are currently placing candidates at the fastest pace in two years, following a huge downturn surrounding Brexit. A survey of 400 recruitment agencies showed that the number of candidates being placed in permanent roles has soared. This contrasts with a period of several months around the Brexit referendum last year where permanent placements crashed and the majority of placements were being made on a temporary or contract basis.
According to recruiters Pareto Law, agencies also reported increased difficulties in getting talent in from other EU countries, a particular problem in London where EU workers account for 17% of the workforce, as opposed to 7% across the rest of the UK. Pareto are finding that employers are becoming increasingly concerned about the growing labour and skills shortage following Brexit, which has led to a lower level of immigration and a higher level of emigration. The good news is that businesses
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can either hire and train some of the huge quantity of UK graduates joining the workforce annually or provide further training to new and existing staff. Brexit is obviously still having an impact on businesses, who are delaying medium and longerterm investment plans due to uncertainty.
Wage growth is also not moving as quickly as usual, which has been put down to a weak productivity performance in the UK as a whole. However, recruitment rates seem to have recovered. Unemployment is at its lowest level in 42 years and strong employment is providing good news for the economy.
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