Temporary staff contracts 'rising'

Consultants are reporting there is a growing reliance on temporary staff contracts, according to research by the Recruitment and Employment Federation (REC) and KPMG.

This may put more pressure on project scheduling, with the report also indicating that permanent staff recruitment also continues to decline.

However, declines fell at their weakest rate for nine months, indicating that resourcing is on the road to recovery.

Mike Stevens, head of business services at KPMG, explained that improvements are being seen partly because employers are asking staff to work reduced hours.

He said: "Although the rate of decline for permanent and temporary placements continues to slow, it is probably too early to talk about a recovery in the UK jobs market.

"One reason why we see continued improvements may be that more UK employers are asking staff to work reduced hours for lower pay."

The report follows research by BT, which indicated that employees were working an average of seven hours extra per week to cope with growing workloads during the recession.

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