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Twice as many advertised jobs as jobseekers

There are twice as many advertised jobs as there are jobseekers to fill them, according to Adzuna.co.uk

Its UK Job Market Report revealed that 1,229,131 positions were available in October, up 4.3% from September in the fastest monthly rise since June 2013. On a yearly basis vacancies increased 31.2%, which Adzuna suggested is fuelled by a worsening long-term skills shortage.

Doug Monro, co-founder of Adzuna, warned of the issues this creates for employers. “Rising vacancies signal a spiralling skills gap, which appears to be worsening as many positions are left empty,” he said. “As the festive season approaches companies are yet again reliant on the crucial role internally migrating workers and workers from overseas have to play.

The report also found that average advertised salaries across the UK have fallen for the third consecutive month, resulting in an average of £33,043 in October – down 0.2% from September and 4.7% lower than October 2014. In part this is due to the lower-paid, temporary seasonal positions flooding the market in the run-up to Christmas.

Scotland witnessed the largest fall, with October seeing an average advertised salary of £30,581, down 7.4% year-on-year. In the north of England salaries also fell sharply. In north-east England advertised pay dropped 5.5% to £28,863 – seeing a greater decrease than the UK average. Other Northern areas fared little better, with the North-West seeing a 3.8% dip to an average advertised salary of £29,725.

The South has been more resilient, with less acute falls in advertised pay. The South-East saw the lowest fall of any region (2.2% to £31,902) while advertised pay only fell 3.3% to £31,147 in East Anglia. London proved the exception, with average advertised salaries in the capital falling 7.1% across the previous 12 months to £39,765 – the second greatest decline of any region.

Munro said that a “great divide” is opening up in advertised salaries across the UK. “Northern cities continue to struggle to reduce job competition as there simply aren’t enough suitable jobs on offer within the region,” he said. “Those areas with new openings often lack applicants with appropriate skills. Part of this problem comes from graduates being drawn south by the charm of the capital. But more than that, public sector jobs have not been restored within the area and there still remain gaps within the Northern labour market – which the private sector has yet to fill.

“Against this backdrop the Northern jobs market needs promised future improvements in infrastructure and transport as soon as possible – to deliver a real boost to the regional economy,” he added.