Economy fears as new jobs slip

Recruitment firm Reed said employer demand was still up by 25 per cent over the past year despite the slight fall in March.

Firms in manufacturing, transport and logistics, engineering and construction showed strong demand for staff, while salaries for new jobs across the economy were slightly up last month, although they continued to lag behind the rate of inflation, said Reed.

Martin Warnes, managing director of reed.co.uk, said: “The sharp rise in job creation witnessed in January and February has slowed, indicating that economic recovery should not be taken for granted.

“Indeed, rising inflation, rising unemployment figures and international turbulence have been reminders that the economy remains fragile.

“However, job creation is well ahead of last year. Encouragingly, this growth has been spread across a wide range of private sector areas, from engineering and manufacturing right through to service sector staff, from strategic consultants to catering.

“With high job competition keeping salaries flat, this is a good time for employers to find the talented people they need.”