New Record For UK Job Vacancies As Number Surges Past 1 Million
UK Job market looks promising compared to peak Pandemic levels
Over summer 2021, the UK job market has seen record breaking vacancies as the economy begins to slowly recover. According to the Office for National Statistics (ONS), all industry sectors saw an increase with levels reaching an all-time high of over one million. It is the first time The ONS records have risen above 1 million since it started monitoring job advertisements two decades ago. The ONS measures how many vacancies each sector had per 100 employees for the three months leading up to August and found that the average for all sectors is a record itself at 3.4.
Some of the sharpest increases are in the hospitality and transportation industries. The number of employees on company payrolls rose to a record of 241,000 in August. Figures below show some of the most significant increases are as follows:
Accommodation and food services: 5.9 vacancies per 100 employee jobs
134,000 vacancies, up 75.4% on previous three months
Transport and storage: 3.1 vacancies per 100 employee jobs
47,000 vacancies, up 76.3% on previous three months
These statistics are promising for those unemployed but the record-breaking levels do not come without consequence. High vacancies means extended pressure being faced by many firms.
Suren Thiru, Head of Economics at the British Chamber of Commerce (BCC), said “These recruitment difficulties are likely to dampen the recovery by limiting firms’ ability to fulfil orders and meet customer demand.”
Some economists have warned that unemployment levels could rise once more in coming months as the furlough scheme ends. Yael Selfin, chief economist at KPMG, said the labour market could remain “choppy”, with vacancies taking time to fill due to skills shortages and the lower numbers of overseas workers.
On a positive note, the government chancellor, Rishi Sunak said the statistics showed the government’s plan for jobs was working, adding that ministers’ focus remained “on creating opportunities and supporting people’s jobs.”
But if we pair the recent approval for a vaccination booster programme to start immediately with the positive vaccine rollout history and the GDP bounce back, the future looks promising although we are still in for an uncertain winter.
By Olivia Barkley-Quinn
