Connect with us

Business

Rise in UK job vacancies for five months in a row likely to fan inflation

Published

1 year ago

on

A rise in job vacancies in the United Kingdom was seen for the fifth month in a row, which is likely to fan inflation as it signalled wage growth and stress in the labour market, Bloomberg reported citing a report by an employment website. 

The data given in the report by Adzuna released on Monday is based on every job advertisement in the Kingdom across 1,000 sources.

As many as 1.06 million vacancies across UK were listed on the job search site Adzuna in the month of June, which was 0.78% more than the previous month but lower than the same month in 2022.

As per the data, the advertised salaries witnessed a 3.6% rise as compared to the last year, while the number of days to fill the job openings dropped to a record low.

This showed that employers are still having a hard time hiring the required staff. A likelihood of biding up the wages was also observed which will consequently add to the risks of an inflationary spiral.

As per the report, the Bank of England (BOE) is closely monitoring UK’s job market to have an estimate of how much it further needs to jack up the interest rates to evade a wage-price spiral.

“Despite the recent small rises in unemployment, the labor market is still incredibly tight,” Institute of Employment Studies official Tony Wilson said in the Adzuna report.

A recent report stated that UK saw a 4% hike in national unemployment.

“This poses risks for future inflation. It’s also a reminder that the economy is still creating a lot of opportunities and many of them well paid,” Wilson added.

The numbers from Adzuna stand in stark contrast to those from Reed Recruitment, which revealed that in the three months leading up to May, vacancies in England decreased by roughly a third from their post-pandemic high.

Earlier this month, Chairman James Reed stated that chances of the UK entering a recession have increased due to a “significant” fall in listings over the previous year.

However, Adzuna co-founder seemed optimistic about the outlook for the economy.

“If hiring trends continue to improve, we could be back at the record hiring levels we saw in 2022 by the end of the year.” Hunter said in a statement. “Competition is high amongst employers looking to snap up the best candidates.”

Over the same time period, wage growth surged to 7.3% from a year earlier, beyond the level of comfort, BOE claims is consistent with its 2% inflation target.

London remained the only part of the country without a bump in pay. The biggest annual salary increase was recorded in property, a sector which saw a decline in vacancies year on year.

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Dar chairs the CCOP meeting; Blue World’s bid offer of Rs.10 billion is rejected.

Published

1 day ago

on

By

The Foreign Minister/Deputy Prime Minister chaired the Cabinet Committee on Privatization meeting.

Other committee members who attended the conference included the Federal Secretaries of several Divisions, the Ministers of Finance and Revenue, Industry and Food, Commerce, Power, and Privatization.

The CCOP took the PC Board’s recommendation into consideration and suggested that Blue World’s bid of 10 billion rupees for the sale of 60% of PIACL’s shares be rejected. The bid was rejected by the CCOP, who chose to follow the PC Board’s advice.

The government’s determination to sell out PIACL through government-to-government or privatization was reaffirmed by the CCOP.

The CCOP was pleased with the Aviation Division’s evaluation of PIACL’s sound financial standing.

Additionally, the CCOP established a committee, chaired by the Minister of State for Finance, to assess potential transaction possibilities for the privatization of the Roosevelt Hotel and the appropriate modes of adoption in light of existing legal rules.

Prior to its subsequent meeting, the CCOP also ordered that all difficulties be resolved and an agreement for the selling of services to an international hotel be concluded.

Continue Reading

Business

The KSE-100 Index has surged by 790 points, resulting in an all-time peak for the stock exchange.

Published

1 day ago

on

By

The benchmark KSE-100 Index increased by 790 points, marking a new all-time high for the Pakistan Stock Exchange (PSX) at 94,982 points.

The record-breaking performance underscores a surge of optimism and investor confidence in the stock market.

As investors responded to favorable economic signals, the market experienced a significant increase of over 500 points in early trading. Later, the KSE-100 Index reached another record level of 94,786 points after adding 594 points to its upward trajectory.

This positive development comes as the State Bank of Pakistan’s (SBP) foreign exchange reserves saw an increase of $84 million, reaching $11.26 billion during the week ending November 8, according to data released by the central bank on Thursday.

This represents an increase of 0.75% from the previous week. In addition, the nation’s total liquid foreign reserves experienced a modest increase, increasing by $33.7 million or 0.21% week-on-week to $15.97 billion.

In contrast, commercial banks’ reserves experienced a decline of $50.3 million or 1.06%, ultimately settling at $4.71 billion.

Furthermore, the economic team of Pakistan has expressed confidence in the discussions with the International Monetary Fund (IMF). Minister of State for Finance Ali Pervaiz Malik, in an exclusive conversation with Samaa TV, claimed talks were moving in a positive direction.

Highlighting improvements in Pakistan’s economic conditions, Malik noted substantial progress over the past six months to a year. He emphasized that Pakistan’s current economic situation has seen significant enhancement, with a reduced current account deficit of only $100 million in the first quarter, a reflection of the government’s strategy to increase remittances and boost exports.

Malik shared that discussions with the IMF are primarily focused on external financing, and while there have been speculations about a potential mini-budget or an increase in the petroleum levy, he clarified that these are currently premature considerations.

Continue Reading

Business

Positive IMF negotiations propel KSE-100 Index above 94,000 points

Published

2 days ago

on

By

As a result of investors’ optimism about the reported progress in the continuing talks with the International Monetary Fund (IMF), the Pakistan Stock Exchange (PSX) experienced a robust surge.

The benchmark KSE-100 Index of the PSX, which tracks market sentiment, rose 713 points to a new record high of 94,068 points, breaking above the 94,000-point barrier, as the trading session began.

Early in the day, the stock market began its upward trajectory as the KSE-100 Index steadily rose, gaining 574 points to reach 93,932 points. A possible agreement with the International Monetary Fund (IMF) might lead to more fiscal stability and back Pakistan’s economic reforms, which is why investors are so optimistic about the country’s future.

Officials from the Federal Board of Revenue (FBR) informed the International Monetary Fund (IMF) on Wednesday that the government would not be introducing a mini-budget and would instead continue to aim to collect Rs12,970 billion in taxes each year.

In line with continuing discussions with the Fund, FBR sources revealed that petroleum goods will not be subject to the General Sales Tax (GST).

The fact that Pakistan’s tax-to-GDP ratio has increased from 8.8% to 10.3%, a 1.5% gain viewed as a favorable sign of Pakistan’s fiscal policies, has reportedly pleased the IMF, who has voiced satisfaction at Pakistan’s recent economic performance.

Continue Reading

Trending