Recruitment and recession

The 2008 graduate recruitment season is fast approaching and, in the wake of the credit crunch, financial services companies are expected to recruit almost 15 per cent fewer graduates this year.

The Income Data Services conducted a survey of almost 100 private and public sector graduate employers and found that the generally positive outlook for graduates could deteriorate rapidly if problems in the financial sector spread to the rest of the economy.

Employers predict an overall 12.2 per cent increase in graduate recruitment in 2008, with manufacturers leading the way. Graduate recruitment in 2007 increased by 18.3 per cent, so the forecasted rise in overall graduate recruitment this year represents a slowdown in comparison to last year.

Jo Sellick, managing director of legal and financial recruitment specialists, Sellick Partnership, said: ìAlthough employers are exercising caution when deciding to take on new staff, I donít think we need to worry about recruitment too much, as the right CV will always open doors. In the past, we have seen the financial recruitment market self perpetuate, regardless of other market forces. Moreover, the temp market has been seen to flourish in difficult market conditions, and the strength of the UK economy should ride out a slowdown.î