IT skills demand rises as salaries follow 16-month trajectory

Permanent IT job placements rose for the fourth consecutive month in January 2013.

According to the Recruitment and Employment Confederation (REC) and KPMG Report on Jobs, January 2013 saw an increase in permanent roles placed for the fourth month running. 

The number of temporary jobs increased for the six month in succession.

Job vacancies saw a sharp increase, with permanent job openings rising for the last 21 months. However temporary openings slowed in pace in January 2013 compared to December 2012.

The engineering/construction and IT and computing sector proved the most demanding jobs markets in January 2013.

According to the KPMG report, salaries have been on the rise for the last 16 months. The report suggests that contributing to the rise in salaries was a deterioration in the availability of permanent staff.

Despite the spike in permanent job salaries, temp pay fell slightly for the first time in five months in January 2013.

North England saw the biggest increase in permanent positions, followed by the Midlands. London and south England recorded modest increases.

Bernard Brown, partner and head of business services at KPMG, said the hiring figures for January should give employers and employees plenty of reasons to be cheerful.

“Demand for staff is at its highest peak for almost two years meaning that employees, who may have been too nervous to change jobs in recent months, might consider the benefits of a fresh challenge,” Brown said.

“Staff may also have more room for manoeuvre, as the data indicates starting salaries rose again in January, seeing their sharpest climb since September. We are by no means at a stage where the candidate is king, but perhaps they are moving closer to the throne.”