The UK Employment and Employment Confederation (REC) reported the weakest increase in hiring in 17 months.
The report states that demand for full-time and part-time workers is weakening. Meanwhile, the Bank of England (BoE) warned of a possible recession in late 2022 and early 2023.
For full-time workers, wage growth was the lowest it has been in 11 months, and for temporary workers, it was the lowest it has been in more than a year. Even though it is still a high level compared to previous standards.
The number of job openings fell to the lowest level in 16 months, and the number of job applicants declined by the most since April 2020.
At its meeting yesterday, the BoE raised its key interest rate by 0.50% to 1.75%. This was the BoE’s largest interest rate hike in 27 years, or since 1995, due to inflation fears.
The BoE has warned that the UK economy faces five quarters of recession, the longest period since the global financial crisis.