Permanent job placement growth in Scotland hit four-month high in April

The number of people securing permanent jobs in Scotland grew at the fastest rate so far this year in April, according to a new report.

This was in contrast to the rest of the UK where permanent appointments dropped for the second month running, the Royal Bank of Scotland Report on Jobs found.

But it said placements in temporary jobs in Scotland increased at the softest pace since January 2018.

It found staff availability continued to deteriorate, while pay pressures remained “elevated”.

Salaries awarded to people starting permanent jobs in Scotland rose strongly and at the fastest pace in three months, while short-term pay rates increased at the fastest pace in seven months.

Sebastian Burnside, RBS chief economist, said: “Scotland’s labour market defied the trend at the UK level in April, with permanent placements rising at the fastest pace in the year-to-date despite the continued difficulties survey data has highlighted regarding candidate availability.

“In contrast, a second successive monthly decline was seen for the UK as a whole, highlighting divergent regional job market performances as conditions continue to tighten.”

The study found the permanent labour supply in Scotland continued to deteriorate in April, as has been the case since March 2012.

Permanent candidate numbers fell “markedly” overall, despite the rate of reduction easing slightly, while temporary candidate availability declined at a weaker pace during April.

According to Scottish recruitment firms, there remained a strong appetite for both permanent and temporary staff during April.

However in both cases, the rate of vacancy growth eased and was below that seen during 2018.

Temporary job openings rose at the weakest pace since the start of 2018, while permanent vacancies expanded at one of the weakest rates seen in over two years.

The report, compiled by IHS Markit, is based on a monthly survey of around 100 recruitment and employment consultants.