“The shock of Brexit hasn’t shaken the jobs market too much – for now. Employment sits at a record high, although these figures only take into account one month after the vote.
“For many industries it’s not been entirely smooth sailing. Stronger repercussions are being felt in higher paying sectors that rely heavily on overseas staff. Caution is taking effect and fewer vacancies are on offer in areas like Legal and Finance. At the same time, employers are seeking more contract and temporary staff to plug gaps in their workforces without committing to expensive hires. Chancellor Philip Hammond’s recent comments signal that he will try to negotiate an exemption from immigration curbs for these sectors, which would help to restore some confidence. It could be just in time.
“Graduates are also facing a tougher labour market – starting salaries are 4.3% lower than a year ago and there are fewer entry level roles on offer. Meanwhile inflation looks likely to rise over the next few months which will eat into real wages. Employers need a confidence boost to invest more. The Autumn Statement could be a timely opportunity for the Chancellor to reassure employers and give the job market a lift.”
