SALARY SLUMP: WAGES DROP FOR THE FIRST TIME SINCE Q1 2018
Posted on 29th January 2020 - INDUSTRY NEWS
According to the latest quarterly job market report from CV-Library, salaries dropped by 7.8% in the final few months of 2019; the first time they've fallen year-on-year since Q1 2018.
However, lower wages didn't dissuade candidates from applying for roles, as job applications rose by 7.6% across the UK; the first time they have risen year-on-year since the same period in 2016. Indeed, the cities which saw the largest growth in job applications year-on-year include:
Portsmouth (up 33.9%), Southampton (up 17.3%), Edinburgh (up 16.9%), Exeter (up 15.7%), Brighton (up 14.2%), Aberdeen (up 12%), London (up 10.2%), Glasgow (up 9.9%), Bristol (up 8.9%), Leicester (up 7.2%).
Lee Biggins, CEO and founder of CV-Library commented: "It's no surprise that salaries were substantially lower in Q4 2019 than in the previous year. The final few months of 2019 saw a great deal of political uncertainty; between the original Brexit deadline and the December general election, businesses were forced to tighten their belts and prepare for the worst.
"However, it's clear that this drop in pay didn't put candidates off applying for new roles. While this is positive for businesses across the UK, it's unusual to see growth in applications at this time of year. This suggests that professionals are tired of waiting for the current political landscape to settle and that they might be looking for something other than a high salary when it comes to changing jobs."
While some organisations may have cut down on salaries, many didn't hold back on advertising new roles last quarter. In fact, the number of job adverts grew by 4% year-on-year across the UK, with Scottish cities Edinburgh (up 34.5%), Glasgow (up 26.2%) and Aberdeen (26.1%), experiencing the biggest hike in vacancies.
Biggins continues: "While some cities saw substantial increases in jobs, the majority of the UK saw much smaller levels of growth. This suggests that businesses are still nervous to expand their workforce in the current climate; especially now that we're just days away from the next Brexit deadline.
"However, it's important to keep investing in top talent - even during times of uncertainty. Ensuring that your company has a passionate and dedicated workforce will help to future-proof your business, so now is the perfect time to think about pushing forward with your recruitment efforts."
As published on personneltoday.com
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