Recruitment Industry sees 250 companies listed in the
‘Danger’ category leaving the
recession
A new report from industry analysts Plimsoll
indicates that the recession has hit many businesses in the
recruitment industry hard, with many struggling to compete in the
turbulent financial conditions.
Plimsoll has rated the performance of a
thousand companies in the recruitment industry, rating them from
'strong' to in 'danger'. From their study they indicate that a
quarter of businesses (250 businesses) are listed as in the
'danger' category, these businesses face the very real prospect of
failing in 2011. It is not however all doom and gloom, many
businesses have faired better during the recession, Plimsoll has
rated over 500 businesses as strong, these businesses have come
through the recession in good shape and are likely to capitalise on
the failures of others.
Plimsoll indicate that recruitment companies
must be actively looking to grow their business if they are to
survive, identifying new growth opportunities will be vital
in 2011 in a slow growth market. Businesses that do not grow are
likely to find themselves ousted from the market as they will
simply not be competitive.
One area of recruitment that expected to grow
in 2011 is sales
recruitment, with recruitment expected to rise in London
according to results published in a London Business Survey by the
Confederation of British Industry; 45% of businesses are planning
to recruit staff as normal, up 11% on last year. There has also
been a reduction in those freezing recruitment with only 16%
freezing recruitment down from 26% in 2010.
These results reflect research carried out
previously by Orange that indicated 26% of small/medium businesses,
including sales businesses, expected to increase their workforce in
the next 12 months.
Sales recruitment it seems will be going from
strength to strength.
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