The Recruitment and Employment Confederation (REC) paired with KPMG to reveal that recruitment consultants have observed redundancies among client businesses and suggest that government policy-driven employment costs continue to hamper hiring practices.
Firms are 'holding back' on recruitment and investment as they adopt 'wait and see' approach Companies are hitting the brakes on investment, waiting for stronger signs of economic momentum, according to a report.
Jon Holt, the group chief executive at KPMG, provided his insights by commenting: "Businesses continue to hold back on recruitment, leading to permanent and temporary placements falling steeply again in January.
Neil Carberry, the REC's chief executive, echoed this sentiment, explaining: "Businesses entered the year uncertain on the growth path, and that has driven a wait and see approach to hiring.
"REC members report that clients have plans and are hopeful for the year ahead, but firms are slowing investment until they see more momentum in the economy.".
