Here is our summary of the current state of the UK legal job market.
Locum Recruitment – Very Busy
Locum work has been extremely busy over August, with a noticeable increase from last year. Conveyancing cover requests have increased, with hourly rates starting to increase again and law firm clients are reporting much larger caseloads than last year. In house assignments remain lower still. A quick look at the most recently posted roles shows fields of law include commercial litigation, conveyancing, wills & probate and commercial property. Number one difficulty for recruiting locums remains the preference of a significant proportion of locums to do remote working rather than office-based work. This is still an issue across the UK, particularly for wills & probate. Locum assignment updates here.
Permanent Recruitment – Steady
Permanent roles are lower than usual as we get back and there is less activity on this side of the business. We still have a wide range of vacancies coming in for fields of law – wills & probate remains extremely popular and difficult to recruit for in all areas of the UK. Salary levels are increasing in the field. Recent vacancies in have been for corporate commercial, in house, conveyancing and family plus others. A good proportion of permanent vacancies remain unfilled after 3 months – mainly because of the lack of candidates generally in the market. Permanent vacancies can be viewed here: https://www.ten-percent.co.uk/vacancies/
New Candidate Registrations – 70% Increase
Candidate registrations are a very good indicator for market conditions. Increasing numbers of candidates register with us when the market is going down, and drop when the market is on the up. Numbers are up by c70% for the last month compared with the previous year. The REC monthly report is still indicating a general increase in candidate numbers across the board with their sample of recruitment agencies.
Law Firms for Sale – Very Busy
Very busy. Not as many firms coming to market at present (fairly common until October and the PII deadlines) but large numbers of buyer enquiries coming into us daily for our firms for sale. The number of firms for sale with us has dropped in the last few months as deals have completed. Full details of firms currently for sale on our website – list updated daily. For valuations, exit planning or a confidential discussion about a potential sale or acquisition generally please ring 01824 780937 and speak to Jonathan Fagan or Taillte Mallon, or email jf@jonathanfagan.co.uk.
Ten Percent Group statistics for August 2024 (2023 figures in brackets)
• New locum roles added – 28 (16)
• New permanent roles added – 11 (20)
• New candidates added – 66 (39) •
KPMG & REC Report on Jobs UK – September 8th 2024
• Steeper fall in permanent placements signalled
• Permanent pay growth weakest in five months
• Candidate availability continues to climb •
Commentary from Jon Holt, CEO of KPMG UK
““While lower inflation has brought welcome stability to some sectors, and despite a first rate cut in August, monetary policy continues to be restrictive, which means that overall business confidence continues to fluctuate. Recent Government warnings that the UK’s economy may weaken further before improving add to the overall sense of uncertainty, affecting recruitment plans. Firms holding back from hiring led to a sharp contraction in the number of people placed into permanent roles in August amid continued decline in demand, extending the downturn in the UK’s labour market. The news that while salaries rose last month it was at the weakest rate since March could help make the case for more rate cuts when the Monetary Policy Committee meets to decide the future path of interest rates. Both employers and job seekers are still facing a challenging period that will require careful long term planning and adaptability.”
Commentary from Neil Carberry REC CEO
“August is always a difficult market to judge because of the summer break, but this month’s survey supports what we have been hearing around the country – employers are still cautious. They are waiting for a clear signal that sustained demand is around the corner. The new government said growth was its main priority – but it needs to deliver now. A vision for a positive, prosperous Britain has to accompany the fiscal realism that is being served up right now. That is the test for the Chancellor and Prime Minister this autumn.”
