REC’s Recruitment Industry Trends forecasts accelerating growth for the industry
Total recruitment industry turnover reached £26.5 billion in 2012/13, growth of 3.1% since 2011/12, according to the Recruitment and Employment Confederation (REC’s) annual Recruitment Industry Trends Survey, published on the 6th November 2013.
The report forecasts accelerating growth for the industry of approximately 7.3% in 2013/14, 8.3% in 2014/15 and 9.6% in 2015/16. This means the UK recruitment industry would surpass its pre-recession peak of £27 billion and achieve a turnover of about £28.5 billion by the end of March 2014.
The 2012/13 market value of £26.5 billion is comprised of £24.1 billion (91%) from temporary/contract business and £2.4 billion (9%) from permanent recruitment activity. The year-on-year increase in revenue exceeds the 2% growth predicted. This has been achieved via a 12% increase in permanent recruitment volumes and a 2% increase in temporary and contract staffing volumes.
Key Findings from the REC’s Recruitment Industry Trends Survey
Other key findings from the REC’s Recruitment Industry Trends Survey 2012/13 include:
• Recruitment companies helped 617,314 people find a new, permanent job. That’s 66,866 (or 12%) more than in 2011/12 and an average of 21 people successfully placed by each consultant working in permanent recruitment.
• There are 1.1 million agency workers fulfilling temporary roles in workplaces across the UK at any time, about 4% of the total workforce. On average, each consultant working in temp/contract staffing had 32 people on assignment on any given day.
• Headcount within the recruitment industry increased by just 0.9% to 93,610. This marks the third consecutive annual increase in the number of people working in the recruitment industry, but the new total is still below the pre-recession figure of 108,833 in 2007/08.
Kevin Green, REC CEO commented:
“The year to April 2013 saw growth for both temporary and permanent recruitment, with the temporary/contract market achieving its highest annual turnover since records began.
“Recruiters are resilient and in difficult times have been working harder to deliver more for less, to cost-conscious clients. We’ve seen the market mature, with consolidation by large and medium sized businesses acquiring smaller operators, and the remaining small agencies have had to carve out specialist niches in order to survive.”
Recruitment Industry Trends Survey 2012/13 is the sixth annual industry assessment of its kind published by the REC and contains historical data going back over 10 years.
Source: Recruitment and Employment Confederation.
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