Overview

• KPMG‑REC data for August show the fastest rise in people seeking work since November 2020, while permanent placements and temp billings remained in contraction despite a slower pace of decline.
• Incomes Data Research reports the median pay settlement at 3.0% in the three months to July, the weakest since December 2021, and REC notes the smallest rise in starting salaries for permanent roles in four‑and‑a‑half years.
• ManpowerGroup’s global survey puts the UK’s Q4 hiring outlook at a net +11%, the largest year‑on‑year drop among surveyed countries, with firms pointing to cost pressures, AI disruption and policy uncertainty.
• Business groups warn that potential tax measures in the 26 November Autumn Budget could further dampen hiring, after earlier increases to employer National Insurance and a higher minimum wage lifted labour costs.
• Worker behaviour is shifting as an Employment Hero survey finds 55% prioritising job security, and recruiters say firms are pausing recruitment while assessing investments and automation.