Jobs worries ease with two-year high in demand for staff

The jobs market was on the "long road to recovery", with demand for staff growing at the strongest rate since the summer of 2007, according to a report today.

Research among 400 recruitment and employment consultancies showed permanent staff placements increased for the sixth month running last month. Jobs for temporary staff also increased, although at a lower rate than in December.

Kevin Green, chief executive of the Recruitment & Employment Confederation, said: "The growth in people getting permanent jobs eased in January but still remained positive overall. The number of vacancies reported by recruitment businesses also accelerated at the sharpest rate since July 2007, suggesting that we are now on the long road to recovery.

"The labour market is out of intensive care but it is still in a fragile state. While employers are hiring more now than at any other time in the last year, the recovery is tentative and must not be put at risk by taxes or regulatory changes."