IT contractor jobs market took a tiny dip in July

Predictions that the temporary computer jobs market would continue to fluctuate - afar from real-terms growth - appear to have come true, with a report on IT contractor demand for July showing a tiny dip.

Unveiling its latest monthly Report on Jobs, the Recruitment and Employment Confederation scored IT contractor demand at 51.6 – up from its base-low of 49.2 in May, but down from 51.9 in the previous report.  

That represents an annual decline – demand for IT contractors last July stood at 55.5, in line with the market for permanent IT job-seekers last month, which is also down since last year, and by a greater margin.

Shortages of contract IT skills in the last four weeks have clearly abated however, with REC agents identifying only two computer specialisms as hard to source on a temporary basis – Revit and Java.

The permanent IT jobs market suggests more openings, with eight IT skills described as scarce in July, including Business Analysis, .NET, PHP, SAP and Project Management.

Reflecting on the report, co-author KPMG said the ‘real recovery’ in the UK’s labour market would “probably only start to emerge in the autumn as the true impact of the Olympics begins to emerge.”

Partner at the firm Bernard Brown added: “Given that the latest data shows that the sharpest drop in permanent placements was registered in London, questions remain around how businesses in the capital will look to grow and expand after the summer lull in activity.”

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