Penna, the leading provider of Human Capital Management services, has announced the results of its half-year survey of City outplacement and employment levels. The results indicate a buoyant recruitment market with jobs returning to the City and an upturn in salaries achieved. The figures pertain to Pennaís City arm, which specialises in the financial services sector.
The continued upturn in City employment is reflected in the programme success rate (new employment secured) of City office Outplacement clients, which in H1 2004 reached 82% - an increase of 2% from H1 2003. Most notably, a shift from non-City to City recruitment took place, with a City:non-City placement ratio of 49%:51%, compared to a ratio of 39%:61% last year.
The route to new employment followed a similar trend to 2003, with networking remaining the most prominent pathway to a new career. In comparison with last year, recruitment into the City is of a higher proportion at 20%, up from 15%. Penna expects recruitment to further increase as market activity picks up, based on both the statistics and the strong increase in its own recruitment operation.
Of particular interest will be the news that 50% of successful clients are increasing their salaries compared to their old role. This is a significant increase from the same period last year (41%). Lower-end salary earners have been found to be more successful in this area, largely due to significant competition between firms at this level, resulting in increased bargaining power for individuals.
Grahame Russell, Director at Pennaís City business, commented: ìThere are certainly more jobs available in 2004, and more people are returning to the City. Individuals have increased bargaining power this year compared to last year, with more jobs on offer, and City firms having more money to spend. Recruitment is very buoyant, but there is the sense that the City is waiting for the dam to burst ñ activity such as M&A, for example, hasnít yet picked up to quite the extent that was predicted earlier in the year.î
Link leads to Penna statistics
PENNA outplacement and employment statistics JAN-JULY 2004:
Recruitment buoyant as jobs return to the city