December 08, 2023 08:55 GMT
KPMG-REC Report on Jobs Indicates Less Labour Market Tightness
Overnight the KPMG and REC Report on Jobs data was released.
- The data shows a fall in job vacancies for permanent staff, along with an increase of the availability of permanent staff.
- Indeed, the press release states that "The overall availability of candidates meanwhile rose at a rapid pace that was the quickest since December 2020, with recruiters widely linking this to redundancies and workers concerned over current job security." while "Permanent staff appointments contracted at the second-quickest rate since June 2020."
- Salaries data is still shown to be rising, but at a slower pace. "The increase in permanent starters' pay was the least pronounced since March 2021 and below the series long-run trend."
- Overall, the data points to less tightness in the labour market and that is filtering through to smaller salary rises for new hires and temporary workers, but wages for other permanent staff are remaining a bit stickier.
- This data alone is unlikely to change anything ahead of the December MPC meeting (it could make Haskel and Greene a bit less likely to continue voting for a hike though - particularly given their recent commentary).
- The pound has marginally underperformed both the USD and EUR so far this morning. SONIA futures have moved lower across the curve - they are matching Euribor/SOFR futures in Greens/Blues but SONIA Whites and early Reds are outperforming this morning.