The UK job market is facing a turbulent 2024, as vacancies decline and unemployment rises.
- In March 2024, advertised vacancies fell to 862,294, marking a 0.46% monthly drop and a 17.41% decrease year-on-year.
- The unemployment rate rose to 4.2%, the highest in six months, increasing competition for available roles.
- Sectors such as PR, Advertising & Marketing and Trade & Construction experienced significant declines.
- Despite overall declines, Travel and Manufacturing sectors showed notable growth, partially compensating for the downturn.
The UK job market is encountering significant turbulence as it navigates through 2024. In March, the number of advertised job vacancies decreased to 862,294, representing a 0.46% drop from the previous month and a substantial 17.41% decline compared to the same period last year, as reported by job search engine Adzuna.
The unemployment rate has risen to 4.2%, the highest recorded in the past six months. There are now 1.87 jobseekers per vacancy, up from 1.49 the previous year. This figure represents the highest level of job competition since August 2021.
Particularly affected were jobs in PR, Advertising & Marketing, which saw an 11.09% decrease over the past month. This sector’s reduction was closely followed by Trade & Construction, which witnessed an 8.24% drop in vacancies amid a housing slump.
Despite these declines, some fast-growing sectors helped offset the overall downturn. Travel sector roles increased by 16.27%, and Manufacturing saw a 6.09% rise, buoyed by companies like Aston Martin creating new roles. This contributed to lifting the month’s average.
Average advertised salaries have also increased by 0.41% in March to £38,638, indicating a 2.95% rise over the year. However, there’s evidence of easing wage growth, which aligns with expectations for the Bank of England to consider interest rate cuts later this year.
The job market continues to experience fluctuations with rising unemployment and changing sector dynamics.
