· News

Flooding 'kickstarts' employment growth in construction, utilities sectors

Work created by the effects of widespread flooding in the UK this year has seen the construction sector post its best employment results for six years.

The Manpower Employment Outlook Survey talked to 2,112 employers about their hiring intentions for the rest of 2014. The construction sector had a seasonally adjusted net employment outlook of 2% growth in headcount in Q2 of 2014. This is up from 6% reduction in Q1, and is the first time construction has posted a positive figure since 2008.

Other areas that have benefitted from the floods are utilities (predicted to go up 10%) and agriculture, forestry and fishing (up 15%). The average figure across all areas was 6%, up slightly from 5% in Q1.

Manpower UK and Ireland managing director Mark Cahill told HR magazine that the figures show the UK jobs can be optimistic about the future.

"We may get some bumps in the road but this is a real turning point for the jobs market. It's well and truly getting back to the level it was at before the recession," he said. 

Large companies are particularly optimistic about their future hiring plans. The average increase across these employers was 17%.Cahill said this was due to their ability to invest in young talent.

"Larger firms can afford to invest in initiatives such as graduate recruitment schemes and apprenticeships in a way that others simply can’t. There are long-term benefits to be gained from big business hiring, such as training, which helps both job seekers and their future employers," he said.

Every geographical area in mainland Britain has posted positive figures. The only part of the UK that had a negative score was Northern Ireland with -4%. London was around the national average with a predicted 5% increase. Wales (12%) and the North-East (11%) showed the strongest levels of growth. 

"Many have tried to write off the North East’s prospects," Cahill siad. "Only last year was famously written off in Parliament as being ‘desolate’ but it’s been a good year for the region. We’re even expanding our own operations in the North East with the opening of a new regional hub in Newcastle."