The latest monthly Report on Jobs from KPMG and employment agency confederation the REC, signals a further easing in growth of demand for both permanent and temporary IT workers, but the rate of expansion is still historically strong.
For November, the seasonally adjusted index for permanent IT staff saw growth in demand slip to an 16-month low (those placed in positions), but was still slightly higher than jobs demand in most other industries.
Similarly, the respective index for temporary IT vacancies dipped in November. But despite being at the lowest level for six months and below the average observed for the year to date, growth of demand for short-term IT staff was the fastest among the nine surveyed industries for the first time since December 2013.
Commenting on the latest overall survey results, Bernard Brown, partner and head of business services at KPMG, said: “Not much sign of a happy Christmas in the job market. The rate at which permanent contracts are being signed is rising at the slowest rate in 18 months.
“This follows an unexpected fall in investment in the UK in Q3. With political uncertainty in the UK, and in particular the country’s position on Europe, could this be the start of a negative trend in the jobs market?"
He said: "Let’s hope not and that the initiatives announced in the Autumn Statement convert to new employment opportunities.”
Despite the uncertainty though, starting salaries for successful candidates placed in all permanent jobs rose further, with the rate of growth quickening from October’s eight-month low and comfortably above the survey’s long-term trend. Temp pay growth remained solid, being slightly faster than in the previous month.
In IT, the jobs and job skills in most demand during November were C+, developers, digital marketing, Java, .Net, PHP, and web designers.
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