Increased demand for contractors across professional services

New research shows that demand for contractors across professional services is on the up, increasing 28% year-on-year in February.

This is being driven by employers increasingly turning to the contracting sector to fill skills gaps.

The APSCo’s latest Hiring Trends analysis also found that the professional recruitment market is still facing fluctuations with permanent jobs down 29% year-on-year.

This suggests that while there’s still a demand for skills, economic uncertainty is leading to employers focusing on contractor hiring instead of increasing their permanent headcount.

Samantha Hurley, Operations Director at APSCo, commented, “Given the turbulence that’s been created by macroeconomic issues and planned reforms to employment legislation, it’s no surprise that permanent hiring is still looking uncertain.

“However, the fact that demand for contractors in the professional hiring market is up annually demonstrates that employers still need resources and skills – they’re just not yet ready to increase headcount permanently.

“For recruiters, this is a promising sign for two reasons; firstly, it shows that there are still pockets of opportunity to tap into – as our data last month also echoed. Secondly, it does indicate that a potential return to optimism in hiring could be on the cards.

“Recruitment is cyclical, and when perm drops, contract increases. That’s always been the case. Seeing this trend does suggest that recruitment is still stable enough for now. Our hope is that the Government quickly recognises the detrimental impact of some of its decisions on the UK’s labour market and takes appropriate action as a result.”

To find out more about contracting please contact Zeeshan on 01206 591 000 or email zeeshan.anwar@contractorumbrella.com.