Autumn 2021

Britain’s employers are struggling with the worst staff shortages since the late 1990s, amid the rush to reopen from lockdown and a sharp drop in overseas workers due to Covid and Brexit.

As of September 2021, Rishi Sunak’s furlough scheme has come to an end despite the 1.5 million workers who were still benefiting from the scheme at the time. From March 2020 to the end of September 2021, the cost of furlough will come to about £66bn, according to estimates from the Office for Budget Responsibility. That's around one fifth of the money the government has spent overall in the response to Covid.

The scheme has undoubtedly helped to save millions of jobs as at the start of the pandemic, it was feared that more than one in 10 workers would become unemployed, instead the unemployment rate is currently less than one in 20. Although, there still appears to be a shortage of candidates looking for roles in the UK.

Why is this?

Salaries have increased over the past year – the average hourly wage grew by 3.6% in June 2021, the most in more than a decade. Employers now need to react to this increase in salary to attract new candidates.

The work from home rule has now changed with Boris Johnson inviting candidates to return to the office again. However, candidates are now being more demanding in wanting to work from home and are expecting to be given flexible working in new positions which isn’t normally viable when starting a brand-new role

Brexit has seen migrant workers returning to their home countries. The tap has effectively been turned off for any new migrants, who were fulfilling many of the roles that are now vacant.

However, despite all the above, recruitment levels are now at an all-time high. In May to July 2021, there were an estimated 953,000 job vacancies in the UK, having grown by 43.8% (290,000) compared with the previous quarter. So, if you are looking for a new role, now is the perfect opportunity to see what is on the market Purple Panda Recruitment have an abundance of roles in Warehouse, Sales, Engineering, Administration and Vehicle Repair across the UK. You can speak confidentially with one of our experienced consultants today to discuss your future on 01722 448 448