Etz Blog

REC published its Annual Industry trends survey last month and despite the increasing uncertainty that is dominating the economy, the recruitment industry is demonstrating great resilience. Between Q2/10 – Q1/11 industry turnover increased by over 25% to £24.6bn, compared with the equivalent reporting period the previous year.

Medium-term, out to Q2/15 the report predicts modest but still respectable growth that may see total turnover top the £30bn mark.

Digging into the stats we also find some excellent pointers underlining healthy economic activity. From these we can make our own interpretations.

• Temporary and contract staffing turnover is up 24.1% with the number of placements up 19.1%
  • Perhaps reflecting increases in pay, or at least invoice, rates? Clients may be accepting increased costs of temps because ultimately it’s a lower cost than perm placements.
• Permanent recruitment turnover leaped 37% with placements up 38.3%
  • Perhaps reflecting reductions in fees? Clients may be negotiating reduced recruitment fees because of the economic climate.
• Recruitment worker stats also rose 13.1%
  • This is disproportional to rises in temp and perm worker placements. It may reflect economies of scale. But it may also reflect increased efficiency within recruitment agencies; if this is the case, it is highly like that improved back office efficiency may be in the mix.

Etz Timesheets improves recruitment agency back office efficiency where ever it is introduced. Click here to take the Quick Tour.

Follow this link to see the Press Release for the publication of the survey findings on REC’s website