In a recent press release, The Recruitment and Employment Federation reported that despite impressive figures in some areas, one being the employment rate which is soaring with the Office for National Statistics reporting the rate at 76.1% for April to June, "the joint highest since comparable records began", productivity is in decline.
REC stated that the ONS estimate of labour productivity in the UK showed that "for April to June 2019, output per hour – the main measure of labour productivity – fell by 0.6% compared to a year earlier. This is the fourth consecutive quarter of negative growth for productivity."
Chief Executive of the Recruitment & Employment Confederation, Neil Carberry had this to say:
"Dropping productivity is a huge issue and will constrain the ability of the economy to sustain rising pay.
Addressing skills shortages is part of the answer to this conundrum. Up and down the country businesses are struggling to find the skills they need – as REC’s Report on Jobs shows. Reforming the apprenticeship levy to help temporary workers progress is a vital part of filling gaps, but this must be paired with a sensible approach to immigration for work."
He then went on to state that "Recruiters are ready to step up – and have a huge role to play as hiring mistakes cost UK businesses millions of pounds every year, as our research shows. Good, inclusive recruitment underpins productivity. Recruiters are local labour market experts, a valuable resource in helping businesses find great employees.”
Is good recruitment really the answer to the current productivity crisis?
According to The Recruiter, recruitment is one of the key drivers when it comes to productivity levels in the workforce.
In a recent article, they stated that "the labour force is the greatest asset of any organisation and a key driver of productivity. With demand for skills mounting and fierce competition for talent, hiring the best person for every job is crucial to the success of a business. Yet picking talent remains the most pressing challenge for employers. Poor hiring decisions are not only common, but the resulting lost productivity is substantial – though often overlooked.
Good recruitment is vital in sourcing the talent needed for a business to thrive and creating a more diverse, agile and better-performing workforce. From flexible working practices and diversity & inclusion to investing in skills and innovation, recruiters are ideally placed to advise businesses on how to provide an enabling environment in which their people can perform at their best."
A vibrant and motivated workforce cannot be attained without a good recruitment process behind it. We here at Grafton Recruitment Ireland are dedicated to bringing our clients the best workforce possible, with our dedicated and expert consultants working tirelessly to make sure that our clients get the ideally suited candidates for their roles.
Interested in how Staffline Recruitment Ireland can help you find the perfect candidate for your roles? please do not hesitate to reach out at [email protected] or through our social media channels.
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What Is The Solution For Declining Labour Productivity?
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