Candidates' market | The job market is showing no signs of slowing down

ONS data has found that job vacancies in the UK reached another record high in May, rising to a 1,300,000. Although short-term unemployment has also risen slightly, and the threat of recession looms on the horizon, for the moment, the job market has shown no real sign of slowing down. It remains a candidates' market - for the time being.

The fact that lack of available talent is causing a serious headache for business leaders has been widely discussed – but what is behind all this?

'Great Resignation'

The ‘Great Resignation’ that began last year is still in full swing, partly driven by candidates job-hopping in search of a better work-life balance. However, if job-hopping was the sole cause of the ‘Great Resignation’, the labour market would not have reduced so dramatically – but what appears to be a key cause is the fact that a whopping 21% of 16 to 64-year-olds have dropped out of the labour force altogether.