The UK job market has seen a significant shift recently, marked by a slight fall in job vacancies alongside rising salaries.
- In April, advertised vacancies in the UK dropped by 0.94% compared to March, totaling 854,171, highlighting a continuing trend of reduced job openings.
- Despite this decline, sectors such as Hospitality, Manufacturing, and Teaching reported increases in job postings, indicating pockets of business confidence.
- Average advertised salaries rose to £38,810, marking an annual increase of 3.06%, reflecting the competitive nature of the labor market.
- While unemployment increased to 4.3%, the stability in jobseekers per vacancy suggests a balancing act in the labor market.
The UK job market in April 2024 exhibited both challenges and opportunities, as evidenced by a 0.94% decline in advertised vacancies from March, with a total of 854,171 openings. This pattern reflects an 18.34% annual reduction compared to April 2023. Despite the overall decline, certain sectors, including Hospitality & Catering, Manufacturing, and Teaching, demonstrated growth. Hospitality, for instance, posted a 4.75% increase in vacancies, suggesting buoyancy in specific industries amidst a broader contraction.
The decline in job vacancies has simultaneously driven an increase in average advertised salaries, which rose by 0.45% in April to £38,810, marking one of the highest levels since 2016 on the Adzuna platform. This trend illustrates the ongoing competition among employers to attract skilled talent, despite the increase in unemployment to 4.3%, the highest since last May. Meanwhile, the number of jobseekers per vacancy remained steady at 1.89, indicating a stabilization of supply and demand dynamics in the labor market.
Sector-wise, while there was positive growth in Hospitality, Manufacturing, and Teaching, other sectors experienced declines. Areas such as PR, Advertising & Marketing, and Domestic Help & Cleaning saw notable decreases in job postings, reflecting varied performance across industries. Travel, which had previously seen a surge in March, experienced a decline of 3.23% in April.
Interestingly, the tightening labor market has led to notable year-over-year salary gains in several sectors. The Energy, Oil & Gas sector reported the most significant increase at 19.67%, with Social Work and Manufacturing also posting substantial gains. In contrast, the IT sector and Graduate positions experienced annual salary declines by 5.65% and 0.4%, respectively.
Regionally, the East Midlands led in annual salary increase, driven by roles in professional services, science, and tech. London maintained the highest average salaries at £44,880. Conversely, Bradford faced challenges with a high number of jobseekers per role, indicating a competitive job market in the area.
Warehouse work continues to dominate the job search interest on platforms like Adzuna, with healthcare support roles and social care positions also being highly sought after. This trend underscores the demand for specific job categories, as companies strive to fill these positions in a timely manner, with the average posting duration extending to 39 days.
The UK job market remains complex, with rising salaries and selective sector growth amidst an overall decline in vacancies.
