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People starting new jobs in Britain saw the biggest jump in starting salaries in more than three years in September, despite demand for staff slowing ahead of Brexit – Reuters reports. The Recruitment and Employment Confederation’s (REC) measure of permanent job starting salaries increased in August, reaching its highest level since April 2015.

Recruitment difficulties force employers to push salaries up. Although this may give the Bank of England confidence that overall wage growth in Britain will continue to intensify, REC’s index of staff demand slumped last month to its weakest level since late 2016. This measure has headed starting salaries by a couple of months on average over the survey’s 21-year history.

Furthermore, the latest official data on earnings showed British workers’ pay (excluding bonuses) accelerating in the three months to July – a rate that hasn’t been surpassed in three years as firms find it more difficult to hire staff. And, it seems that some recruiters have cited Brexit as the biggest reason for uncertainty in the supply of labour. Ann Swain, Chief Executive Officer, the Association of Professional Staffing Companies (APSCo) told Recruitment Grapevine that the current level of uncertainty means that recruiters are still unsure as to whether they need to look further afield for staff post-Brexit.

9 out of 10 CIOs call on Government to solve this crisis She explained: “However, while rules around freedom of movement after we leave the block are still unclear, our members are currently reporting that a lack of clarity around future status is impacting access to talent – in the short term, at least."

Although the employment market has started to take the hit from reduced European workers, David Morel, CEO and Founder of Tiger Recruitment, says that the business support sector is still performing well. “Interestingly, we are seeing an increased demand for multilingual candidates both in the UK and Europe, particularly Germany. This is due to businesses expanding their European presence and therefore requiring multilingual support staff to assist both British and European teams.”

 Earlier this week, Prime Minister Theresa May said that Britain’s post-Brexit immigration system will prioritise top-talent and treat the European Union (EU) citizens the same as from elsewhere. High-skilled workers to receive priority post-Brexit.

Numerous business groups have expressed concern that companies will find it challenging to access the workers that they need to plug staffing gaps. REC’s Chief Executive Officer (CEO), Neil Carberry, explained that an effective approach to post-Brexit immigration must acknowledge that many roles across sectors remain unfilled.  “Keeping deliveries going, patients being treated and goods on shelves means an open approach to workers from elsewhere.”

Original source