Blog Layout

Share Article

December 6, 2022

Recruitment Trends Report Shows Candidate Shortage Continues

As the number of Jobs available continues to rise, applications fall indicating that the candidate-short market doesn’t appear to be abating.


The latest Recruitment Trends Reports for November revealed that jobs rose by 17% but applications decreased by -7% from October to November, a trend that we don’t usually see in the last couple of months of the year.


Businesses not slowing hiring


As we enter what would normally be a period when the recruitment market enters a lull with jobs available falling, businesses are not showing any signs of slowing down. Instead, job posts leapt to 16% over the 2021 average in November.


What makes this trend so remarkable is that it’s happening at a time of economic uncertainty and political instability. Usually at times like this we see businesses acting with caution, slowing or even freezing hiring. But this is a recession like no other, with unemployment at a near-50-year low and businesses still clamouring for available candidates.


Applications in decline (again)


The continued jobs push is likely due to labour shortages which remain as the year wanes. Applications fell to 39% above the 2021 average – still a long way over the incredibly low numbers we were seeing last year but a drop nonetheless. Many expected to see a rise in applications with the cost of living crisis bringing some who had dropped out of the jobs market back into employment but that doesn’t appear to have happened yet. We might see these numbers pick up in a month or two when the ‘new year, new job’ mentality kicks in and people think about changing jobs or getting back into work.


For now, though, the rise in jobs and fall in applications has reduced the average number of applications per job from 16 in October to 13 in November. Of course, some industries are bucking the trend. The retail and wholesale sector, that often sees a rise in applications at this time of year, received an average of 20 applications per job, the second highest of all industries, proving that candidates are responding to festive season job drives.


IT and internet continues to dominate the jobs market


The IT and the internet sector was yet again the most active industry in November both in terms of jobs posted and applications received, taking the top spot for over half the year. IT received more than double the number of applications of admin and secretarial, which was the next highest sector for applications, followed by education. Both Education and Manufacturing make the top five for jobs and applications, indicating that candidates are responding to the decent number of jobs available.


Health and nursing continues to struggle


However, for health and nursing, they continue to struggle to attract candidates. Although this sector is continually in the top five for jobs posted, they are never in the top five for applications received, and regularly receives the lowest average number of applications per job of all industries. In November, health and nursing received an average of just three applications per job – 10 under the overall average and the lowest recorded this month. We know health and nursing is struggling to attract candidates. This historical labour shortage that goes back decades, is unlikely to change.


What will the New Year bring


These figures certainly make for interesting reading as we come to the end of 2022. The drop in applications may simply be a result of candidates taking a break from their job search in the run up to Christmas, ready to continue in the new year. However, it could be that people are staying put in their jobs for job security during these uncertain times.


We’ll be watching to see what happens in the New Year, which is normally a really busy time for recruitment. In this market where the job seeker has the advantage it could make more sense for anyone thinking of a new job next year to start their job searching now.


For hirers struggling to find talent, get in touch, we can help you attract suitable applicants and have lots of hiring advice on how to tap into the passive candidate pool of talent. We’re providing free recruitment audits to our clients to help them improve the success of their recruitment activity. BOOK YOUR RECRUITMENT AUDIT NOW.


Visit our job search pages and career advice if you are considering your next career move. You’ll find lots of useful advice to make sure you are well prepared.

By Kerry Bonfiglio-Bains March 31, 2025
Struggling with no-shows, salary negotiations, or slow hiring? Discover real-world solutions to the biggest recruitment dilemmas
By Kerry Bonfiglio-Bains March 31, 2025
Is your business ready?
By Kerry Bonfiglio-Bains March 31, 2025
From April 6th 2025 there will be significant shift in employer National Insurance (NI) contributions, with the rate increasing by 1.2 percentage points to 15%, and a lowered earnings threshold now starting at £5,000 (down from £9,100). These adjustments could lead to higher payroll expenses for mid-sized and larger businesses, affecting hiring strategies and budgeting in 2025 and beyond. Key Details of the Change Rate Increase: The NI contribution rate for employers rises to 15%. Lower Earnings Threshold: Employers will now pay NI on earnings starting at £5,000, significantly reducing the exemption range. This change is intended to boost government revenue but will likely increase costs for businesses with lower-wage roles. Employment Allowance Adjustments: The Employment Allowance, which offers some relief on NI costs, increases to £10,500. This provides a cushion for many small businesses, particularly those employing fewer staff. How These Changes Impact Staffing and Recruitment Businesses may see these shifts reflected in higher staffing costs, particularly for mid-sized and larger firms with significant payrolls. These added expenses might influence decisions on wage increases, hiring plans, and even the type of roles businesses choose to fill. Employers should prepare for potential shifts in their budget allocations to maintain competitiveness while managing increased contributions. Preparing Your Business Planning ahead is essential. Key steps might include: Calculating projected costs to budget for the changes Evaluating workforce needs and considering the potential impact on hiring strategies Maximising allowances by confirming eligibility for the updated Employment Allowance We will be updating our blog in the coming days with a detailed breakdown and calculations, so visit us again soon!
The national minimum wage & national living wage is a legal right which covers almost all UK workers
By Kerry Bonfiglio-Bains March 31, 2025
The national minimum wage & national living wage is a legal right which covers almost all UK workers
By Kerry Bonfiglio-Bains March 6, 2025
Stay ahead in a shifting job market with our latest insights into salary expectations, hiring challenges, and employee benefits in Staffordshire.
By Kerry Bonfiglio-Bains February 5, 2025
Why Taking 5 Minutes for Our Salary Survey Could Save You Thousands
By Kerry Bonfiglio-Bains January 15, 2025
The Outlook for HR in 2025: Trends, Challenges, and Opportunities for Senior HR Professionals
By Kerry Bonfiglio-Bains January 15, 2025
In the fast-paced world of business, the ability to secure and retain top leadership talent can make all the difference between stagnation and exponential growth. For SMEs in particular, the right leadership hires are not just crucial for filling vacancies—they are key to shaping the strategic vision, driving operational efficiency, and laying a foundation for long-term success. As we look ahead to 2025, let's delve deeper into why selecting the right leadership is more important than ever and how you can strategically approach these critical hires. Why Leadership is the Cornerstone of Business Success Leadership roles such as Finance Directors, HR Business Partners, and Operations Managers are not just functional—they are transformative. Over the years, we’ve seen firsthand how the right leaders can unlock business potential and propel organizations forward. However, the wrong hire can lead to disruption and inefficiency. Here's how these roles contribute to sustainable growth: Finance Directors (FDs): A Finance Director is far more than just a custodian of the company’s finances. They provide essential strategic insights that guide decision-making and drive growth. By identifying cost-saving opportunities, optimizing cash flow, and ensuring sound financial health, a strong FD plays a pivotal role in the profitability and scalability of a business. HR Business Partners (HRBPs): In an era where talent is one of the most valuable assets, HRBPs are instrumental in aligning human resource strategies with overarching business goals. They not only develop retention strategies but also cultivate a company culture that attracts and retains top talent. A dynamic HRBP ensures your workforce is engaged, motivated, and ready to contribute to business success. Operations Managers: The heart of operational excellence, Operations Managers optimize workflows, manage resources efficiently, and ensure that day-to-day operations run smoothly. Their impact is felt directly through enhanced productivity, cost savings, and improved customer satisfaction—all of which are integral to the growth trajectory of your business. The Strategic Impact of Leadership The right leadership hires provide more than just functional expertise—they are game-changers. Here's how they create lasting value: Strategic Vision: Great leaders inject fresh perspectives and innovative ideas into the business, helping to navigate challenges, identify new opportunities, and position the company for future success. Increased Efficiency: Proven leaders streamline operations, reduce waste, and optimize processes, which leads to higher productivity and a more cost-effective business model. Stronger Teams: Exceptional leaders inspire and attract top talent. They foster collaboration, empower teams, and build a culture of high performance that drives business outcomes. Risk Mitigation: A strong leadership team proactively addresses challenges before they escalate. They are adept at implementing contingency plans and creating stability during periods of uncertainty. The High Cost of a Bad Hire In our extensive experience working with SMEs, we’ve seen firsthand how damaging poor hiring decisions can be. Not only do you risk impacting team morale and productivity, but you also face significant financial consequences. Research shows that a bad hire can cost as much as three times the employee’s annual salary, considering recruitment costs, training, and lost productivity. For SMEs, these costs can be crippling, making it imperative to approach leadership recruitment with precision and strategy. How to Secure the Right Leadership Talent 1. Define Your Needs with Precision: Before embarking on the recruitment process, clearly outline the specific skills, experience, and qualities required for the role. This ensures the candidate will not only be a technical fit but also align with your business goals and values. 2. Prioritize Cultural Fit: Leadership is about influence, and a leader who shares your company’s values will integrate seamlessly into your organization. They will inspire your team and create a harmonious work environment conducive to growth. 3. Leverage a Confidential Recruitment Partner: Engaging with a specialist recruitment consultancy that has a deep understanding of leadership roles ensures access to a broader, more diverse talent pool. Confidentiality in this process is essential, particularly when you are hiring for high-stakes leadership positions. 4. Use Data to Inform Your Decisions: Utilize salary benchmarking and competency assessments to make data-driven hiring decisions. These tools ensure your offers are competitive, attracting the best talent while mitigating the risk of overpaying. 5. Invest in Onboarding: A successful leadership hire starts with a structured onboarding process that enables the new leader to quickly adapt and deliver results. A robust onboarding strategy sets the stage for long-term success. Real Success Stories from Strategic Leadership Hires At Appointments Personnel, we have had the privilege of helping over 100 SMEs secure leadership talent in the past year alone. The results have been nothing short of transformational: A Finance Director helped a growing manufacturing business cut costs by 15%, improving profitability through strategic budgeting and financial oversight. An HR Business Partner implemented a company-wide retention strategy that reduced turnover by 30%, saving the business significant recruitment costs. An Operations Manager overhauled logistics and operational processes, reducing delivery times by 20% and significantly boosting customer satisfaction. Additionally, we’ve witnessed how having an expert second opinion during the hiring process can make a game-changing difference. One of our clients almost overlooked an exceptional Finance Director candidate due to an internal review misstep. With our insight, they hired the candidate, who went on to increase revenue by 25% within the first year. The Power of Confidential Recruitment When it comes to leadership hires, confidentiality isn’t just a matter of discretion—it’s a competitive advantage. Whether you’re replacing a key role or expanding your leadership team, maintaining confidentiality ensures that sensitive information is protected and business continuity is preserved. Emma and I understand the importance of this better than anyone, having worked on confidential roles ranging from Finance Directors to HR Business Partners and Operations Managers. With our bespoke, confidential recruitment services, you gain a trusted partner committed to sourcing the leadership talent that will drive your business to new heights in 2025 and beyond. Contact Emma Bonfiglio to book a confidential meeting - Emma@appointmentspersonnel.co.uk
A sign that says will i get paid if i can 't get into work.
By Kerry Bonfiglio-Bains January 9, 2025
If you can't get to work because of the snow, it may reduce your pay as you may be forced to take unpaid leave.
By Kerry Bonfiglio-Bains January 6, 2025
Think of your recruitment strategy like your car before a long journey—without regular checks, you risk breakdowns at the most inconvenient times.
More Posts
Share by: