Bouncing back | UK firms report fastest labour market growth since pre-pandemic

British firms have reported the fastest growth in the labour market since February 2020, according to business advisory firm BDO. In March, employment growth returned to pre-pandemic levels, the Guardian reported.

The BDO index measures business sentiment among senior managers; the organisation said it increased for a fifth consecutive month to 112.74 in February. The Guardian stated that anything above 95 points is considered to be growth.

Despite supply chain disruptions causing havoc in their sectors, managers in the manufacturing and services industries have been keenest to hire new staff, the BDO reported. However, both these sectors have been struggling to recruit due to loss of staff caused by Britain’s decision to exit the EU, as well as the pandemic, which saw many of those furloughed or laid-off from manufacturing and service jobs seek employment elsewhere.

The BDO’s findings back up recent data from the Office of National Statistics (ONS) which found that unemployment in the UK fell to 3.9% in the three months leading up to January, dropping below pre-pandemic levels for the first time.