More than two thirds of West Midlands companies predict they will increase their headcounts in the next 12 months – a leading employment report has found.
Katie Bard’s Blue Book survey has revealed 71 per cent of businesses in the region are planning to strengthen their teams, although the recruitment firm says employers will face a battle for the best people in the marketplace.
As many as 63 per cent of companies in the region believe it will be challenging to recruit over the next year – higher than the overall UK figure of 54 per cent.
The market-leading employment survey – led by recruitment firm Katie Bard and its parent company the Angela Mortimer group – is now in its 12th year and received contributions from 552 organisations and 1,405 candidates.
The report also revealed that employers rank skills shortages as the most significant recruitment challenge – 61 per cent – with only 38 per cent identifying salary expectations a major challenge – down from 42 per cent last year.
Verity Stokes, divisional leader at Birmingham-based Katie Bard, said: “The employment market in the West Midlands is growing and there are more jobs available.
“We have seen a 40 per cent increase in vacancies in the Midlands and employment has returned to pre-recession rates.
“There has also been a consolidation of salaries, after rises in 2014 and 2015, with average salaries stabilising and the low end of salary rates rising.”
Only nine per cent of employers in the region offered guaranteed bonuses to staff in 2016, with 56 per cent offering performance bonuses.
The working environment was identified by 70 per cent of candidates as what makes employers attractive.
Verity added: “We saw a slow start to the year in companies making recruitment decisions but we expect the market to remain buoyant, if more cautious than predicted last year, with the Brexit question providing uncertainty for the exporters and multinationals in the region.
“To combat the skills shortage the Midlands is investing significant resources in seeking long-lasting solutions. However, the best solution is coming from the industry itself.
“Those companies who have turned the skills shortage into an opportunity have done so through investment in underqualified individuals who have the attitude and aptitude to learn.
“Remaining competitive this year will focus much more on companies growing and developing their staff. To do this organisations must seek candidates who can add value beyond the job specification and create a more autonomous working environment where talented people can succeed.”
Katie Bard revealed findings of the report at the first of a new series events it has launched in partnership with law firm Irwin Mitchell.
The first event, Taking Steps to Future Proof your Charity, saw Katie Bard look at the challenges facing charities in attracting and retaining quality staff, while GetSet for Growth demystified the finance and funding options available to the third sector.
