The UK job market shows signs of recovery as vacancies rise for the first time this year.
- Job vacancies in July increased by 1.1% compared to June, reaching 862,043, bringing hope to job seekers.
- Despite the monthly increase, vacancies remain 17.69% lower than in July 2023, indicating a pending full recovery.
- Average salaries advertised have increased by 2.95% year-on-year, although salary transparency is at an all-time low.
- Demand for domestic help and graduate roles significantly boosted the monthly vacancy count.
The UK job market witnessed a noteworthy rise in job vacancies in July, marking the first increase of the year with a 1.1% upturn compared to June, totalling 862,043 vacancies. This rise offers a glimmer of hope for job seekers who have been navigating a challenging employment landscape. However, it is important to note that vacancies are still down by 17.69% from the previous year, suggesting that the market is yet to achieve full recovery.
Contributing to the improved job market, average advertised salaries have risen by 2.95% compared to last year, now averaging £38,863. This reflects a positive trend for employees, despite a marginal month-on-month increase of only 0.08%. Disturbingly, salary transparency has plummeted, with only 46.3% of job adverts disclosing salary details, the lowest since records began in 2016, with over half of all listings lacking this crucial information.
Significant contributions to the monthly rise in vacancies came from domestic help and graduate roles. Domestic Help & Cleaning roles surged by 12.72% month-on-month, alongside graduate roles which saw a consistent increase of 3.7%, reaching 21,399 positions in July. Other sectors experiencing growth included Legal, Manufacturing, Logistics & Warehouse, and Creative & Design. In contrast, sectors such as Charity & Voluntary, Travel, and Hospitality & Catering experienced declines in vacancy numbers.
Regionally, the Midlands showed the highest annual salary growth, with the West Midlands leading at 5.62% over the previous year. In contrast, Northern Ireland recorded the slowest wage growth at only 1.08%. Warehouse roles emerged as the most in-demand job for the 14th consecutive month, indicating a persistent need for roles in this sector.
James Neave, Head of Data Science at Adzuna, remarked on the positive economic outlook, highlighting that the rise in job postings is a rare occurrence during the summer months due to typical seasonal hiring pauses. The increase of 1.1% is a positive shift, especially in junior-level hiring, with graduate roles rising by 3.7%.
The modest increase in job vacancies offers a tentative optimism for job seekers amidst ongoing market challenges.
