The IT jobs market is on the rebound with permanent job places across all sectors of the economy growing at their fastest rate since July 2007, although public sector cost-cutting could reverse this trend.
According to a report from the Recruitment and Employment Confederation (REC) and KPMG, there was an acceleration in the number of permanent roles, while temporary job availability fell.
Overall demand for staff grew for the fifth month on the run and there were fewer candidates available to take roles. Permanent and contract salaries reached their highest levels for 20 months.
IT was one of the strongest growth sectors. Kevin Green, CEO at REC, said increasing employer confidence had resulted in the best performance in permanent employment for two and a half years. "High-end sectors such as IT are showing particularly strong growth, and we are also seeing significant increases in demand for admin and back-office support."
But Bernard Brown, partner and head of business services at KPMG, warned that cuts in public sector spending could change this. "This all comes with one big warning: the impact of the inevitable public sector recession on the jobs market has yet to be felt and will be played out over the next six to 12 months."