The JobsOutlook survey of more than 600 employers conducted by the Recruitment and Employment Confederation (REC) found 31% had no flexibility for extra work, while a further 54% said they had “a little capacity” and “might take on staff if demand grew this year”.
Respondents suggested the outlook for 2014 was positive with almost half (49%) saying they didn’t need to make any improvement to conditions at their organisation. A quarter (26%) backed the statement: “Things are starting to pick up now”.
The results also showed redundancies had reduced, with 12% of employers recording laying off staff in 2013 - down from 22% reported in a similar survey in 2009.
In addition, 21% said they had increased their headcount in 2013.
REC head of policy Kate Shoesmith said the results suggested wages would not improve in 2014.
“Employers’ inability to improve their workforce productivity without hiring new staff is likely to suppress pay growth in the foreseeable future as they invest in increasing headcount rather than pay packets,” Shoesmith said.
“Starting salaries and hourly pay rates will rise in certain areas where skilled candidates are scarce and companies have to compete for talent.”
The report also identified technical and engineering, computing and IT, and education and training as the areas in which employers expected to have the most difficultly sourcing skilled candidates for permanent roles.
