LONDON, Oct 14 (Reuters Breakingviews) - First it was a dearth of lorry drivers, then abattoir and warehouse labourers. Now it’s technology workers who are in high demand. UK-based white-collar recruiter Hays (HAYS.L) on Thursday read more reported record fees for finding information technology staff. The $3.7 billion company said worldwide revenue from tech recruitment in the three months to the end of September was up 36% from last year, and 7% higher than in the pre-pandemic period of 2019.
The jump was particularly acute in Britain, which accounts for about a quarter of Hays’ business. Its UK tech revenue was 57% higher than in 2020, more than double the growth rate in its other big European market of Germany. That supports the view that post-Brexit immigration controls have exacerbated labour shortages. The good news is that employers have the confidence to recruit permanent staff, rather than relying on temporary workers. The bad news is that they will have to somehow recoup higher costs. (By Ed Cropley)
On Twitter http://twitter.com/breakingviews
Capital Calls - More concise insights on global finance:
Powell’s inflation albatross grows heavier read more
French cloud outage is worst possible IPO weather read more
SAP cloud hype leaves its shares in the gutter read more
Richard Li shows FWD investors a brighter sunset read more
Climate for net-zero changes Down Under read more
Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time.
Sign up for a free trial of our full service at https://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and at www.breakingviews.com. All opinions expressed are those of the authors.