January’s Bank of Scotland Report on Jobs indicated a cooling in Scotland’s jobs market at the start of the year, with growth of permanent appointments slowing and temp billings down from one month earlier. Growth of staff pay moderated from recent highs, while demand for staff also increased at a reduced rate. Candidate availability continued to deteriorate rapidly, with the supply of candidates for permanent positions falling more quickly than those for temp roles.
The Bank of Scotland Labour Market Barometer fell from December’s 63.2 to 60.0 in January, its lowest reading since September 2013. That said, remaining well above the critical 50.0 mark, the barometer still pointed to a marked improvement in Scotland’s labour market conditions overall.
Donald MacRae, Chief Economist at Bank of Scotland, commented: “Scotland’s jobs market continued to improve in January but showed signs of cooling. The number of people appointed to permanent jobs rose but temporary appointments fell. Vacancies continued to increase across most sectors accompanied by a rise in starting salaries although lower than December’s near record high. This Report on Jobs suggests the Scottish economy continues to grow at the start of 2015 but at a slower rate than the end of last year.”