Leaders welcome jobs boost indicating recovery
Latest job figures indicate further recovery in the jobs market, amid a pay bump for employees across the country, business leaders have said.
According to figures released by the Office of National Statistics (ONS), from January to March 2021, the employment rate in the West Midlands rose by 0.2 per cent to 74.2 per cent and unemployment fell by 0.4 per cent to 5.7 per cent compared to the previous quarter.
Unemployment figures nationally fell at a slower pace, by 0.3 per cent, to 4.8 per cent, while employment figures rose by 0.2 per cent to 75.2 per cent.
Early estimates by the ONS also indicate that nationally, median monthly pay increased by 9.8 per cent in April, compared with the same period of the previous year.
In April, 97,000 more people across the UK were in payrolled employment when compared with March 2021.
Early estimates show that since the start of year, growth rates of payrolled employees have started to recover on the lower rates seen since the pandemic, but still remain in negative territory.
The ONS has also said that figures suggest that recovery in job vacancies available started in April as Covid restrictions began to be lifted, especially in sectors such as hospitality and entertainment.
Saira Demmer (pictured), chief executive of SF Recruitment, commented that the figures indicate further signs of recovery in the job market, but there has been some slowdown in prospective candidates available to fill job vacancies.
She said: “Positive news this week as we see further signs of recovery in the employment market. The strong vacancy data being seen across both the Midlands and the UK means that this positive trend is likely to continue into the summer at least as businesses seek to make up for lost time.
“We are however seeing a slowdown in available talent to fill vacancies as businesses have worked hard to keep their staff engaged and well-rewarded, as evidenced by the very strong 9.8 per cent increase in median pay.
“We expect this will change once lockdown is fully eased, as some employees will start to prioritise career development over job security again, thus opening up a larger talent pool. ”
Henrietta Brealey, chief executive of Greater Birmingham Chambers of Commerce, added: “These latest employment figures represent the start of the year, during the renewed lockdown.
“As a result, some of the decline in unemployment rate can be attributed to previously unemployed people no longer looking for work.
“While the West Midlands continues to suffer from a high rate of unemployment, made worse by the pandemic, it is nonetheless reassuring to see that as we emerge from this crisis, government initiatives including the furlough scheme have successfully prevented a far worse economic outcome.
“Now, as we make our way down the Prime Minister 's road to recovery, many businesses are gearing up for growth.
“Our region has long-struggled with skills gaps and it is absolutely crucial that stakeholders work together to ensure businesses are able to access the skilled talent they need locally and local people are able to access new opportunities.
“We are currently surveying organisations of all sizes and sectors across Greater Birmingham to understand the challenges they are facing. From recruitment difficulties to cashflow issues, we want to hear how your business is faring. The results from the survey are shared with key Government contacts and the Bank of England, and will have a direct impact on fiscal and monetary policy. ”
Click here to fill in the Chamber 's latest Quarterly Business Report survey and click here for more information on the report.