As we step into the first month of the year, TALiNT Partners has diligently rounded up the state of the global labour market, providing valuable insights into the evolving dynamics. Declan Slattery, the Head of TALiNT Partner’s Employer Programme and Chair of the Global Advisory Board, shares his commentary on the most recent trends and insights in the global talent market.

Amidst the usual ups, downs, and subtle shifts of the global labour markets, a prevailing theme emerges – optimism. Workers around the world are showcasing positive outlooks for the coming year, contemplating job changes, and eagerly embracing opportunities for career growth. Declan notes this promising trend and raises the question of whether this optimism stems from a fresh start in 2024 or represents a broader shift in the global workforce’s appetite for more.

Commentary derived from workforce data and themes discussed at TALiNT Partners network events throughout the last month serves as a valuable resource to inform strategies for employers and recruiters in the upcoming month.

Examining the latest Office for National Statistics (ONS) statistics for January sheds light on the UK labour market’s continued moderation. With a notable 50,000 decrease in vacancies over the quarter, the total now stands at 935,000. Earnings growth has dipped below 6%, yet a silver lining emerges with a marginal improvement in the estimated employment rate. This positive shift is attributed to a decline in ‘economic inactivity,’ indicating a reduction in individuals outside the labour force and those not actively seeking or available for work.

While this month’s figures paint a generally positive outlook, the lingering challenges and uncertainties in the economic landscape warrant a degree of caution.

However, caution is advised, as the employment rate remains below pre-pandemic levels, and earnings have only marginally surpassed figures from fifteen years ago. Elevated living costs and an increasing number of individuals facing elevated mortgage repayments add complexity to the situation, posing potential risks to demand and contributing to a potentially weakened growth trajectory in the upcoming year.

While this month’s figures paint a generally positive outlook, the lingering challenges and uncertainties in the economic landscape warrant a degree of caution.

Nevertheless, the positive aspects offer a promising start to the year, viewed with measured optimism by TALiNT Partners.

Alex Evans, the Managing Director at TALiNT Partners, further contributed to the discourse by speaking on the latest statistics and trends in the staffing sector. The ONS statistics for January indicate a continued moderation in the UK labour market, with a notable 50,000 decrease in vacancies over the quarter, bringing the total to 935,000.

Earnings growth, despite a slight dip below 6%, unveils a positive shift in the estimated employment rate attributed to a decline in ‘economic inactivity.’ However, a note of caution is warranted due to the employment rate remaining below pre-pandemic levels. With higher living costs and individuals facing elevated mortgage repayments, potential risks to demand could impact the growth trajectory in the upcoming year.

As TALiNT Partners embarks on a comprehensive series of employer and staffing industry-focused events across the UK, Europe, the US, and APAC in 2024, they eagerly anticipate the unique insights generated from community conversations. These discussions provide a real-time reflection of the front end of the labour market and how it shapes strategies for employers.

For information of upcoming events for Staffing Leaders please click here.

For more information on upcoming events for Talent Acquisition Leaders, please click here.