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Has Covid19 created a new skills gap?

Whilst the permanent job market has been in decline in certain industries, the temporary jobs market and other industries are bringing a real demand for certain skills, however the question we have is are businesses being realistic with salaries as we see a continued fall in starting pay?

We have taken our local industry knowledge and conversations we’ve had with local employers along with a UK report on Jobs produced in association with the REC (Recruitment & Employment Confederation) to bring you the latest in recruitment market trends.

Skills in short supply

The North West has for a long time spoken about a skills shortage when it comes to engineering and construction however as Covid19 has increased demand within some industries, we now see where demand for employees in these sectors are now creating a new rise in skills in short supply.

Most affected are:

  • Accounts/ Financial

Accountants, Credit Controllers, Pensions and Paraplanners

  • Blue Collar

Production, Warehouse, Driving

  • Executive/ Professional

Conveyancers, Human Resources, Legal

  • IT/ Computing

Agile Project Manager, Developers, IT

  • Nursing/ Medical

Pharmacists

Healthcare Assistants

  • Other

Buyers, Languages, Teachers

Quote from our Director, Joanne Finnerty, “Whilst the temporary market continues to grow for the short term, we look forward to a strong recovery for permanent job roles but businesses do need Government to assist over the next 6 months with a variety of options mentioned below”.

Quoting the report produced in conjunction with KPMG and the REC, Neil Carberry, Chief Executive of the REC, said: “Economic uncertainty is weighing on employers’ minds even where they see potential for their own firm to grow, so it’s no surprise that temporary work is leading the jobs recovery. This emphasises again how important flexible forms of work are to helping businesses and public services react to the pandemic. Temporary work is also helping people get back into jobs more quickly after the recent spike in redundancy numbers. 

 “With the vaccination programme making progress, it’s likely that a path out of the pandemic is emerging. As that happens, we expect a strong recovery in permanent hiring. But businesses need Government help to bridge these last few months. Support for strained corporate cash flows is key. Extending furlough and reducing its cost to firms, supporting family business directors left out of support packages so far, and putting back repayments of deferred VAT and CBILs loans until the recovery would all help enormously2.

This economic uncertainty is pushing businesses to consider temporary labour options or reducing starting pay, but is this the answer when trying to attract skills to your business?

We have a range of ways to consider a different approach to recruitment to ensure your business attracts and retains the skills it needs to thrive, if you would like a copy of this report or to arrange a call to talk about future talent planning or a current recruitment requirement.

Email – info@jfrecruit.co.uk or call the team on 0151 601 5288.