Scots job market recovery 'slows' down

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The number of vacancies showed a "marked" increase in May

The number of Scots finding work has risen for the eighth month in a row, a Bank of Scotland report has suggested.

The level of vacancies showed a "marked increase" in May, while permanent and temporary appointments were also up.

However, the report's authors said the labour market recovery had lost some momentum, with only weak rises in employment and pay rates.

Despite the rise, the bank said unemployment rates had also gone up.

The largest number of vacancies was recorded in the IT and computing sectors, while the weakest rates were seen in secretarial and clerical posts.

Those working in the executive and professional sector were in most demand.

'Muted recovery'

Donald MacRae, chief economist at the bank, said: "This month's increase in appointments in both permanent and temporary jobs, as well as the rise in the number of vacancies available, is a sign that the Scottish labour market is in recovery."

But he added: "While the headline index reading remains solid, it is well below the figure recorded for the UK as a whole.

"We can expect a continuing but muted recovery from recession, with some time before unemployment starts to fall."

Employers in Edinburgh posted the strongest rises in appointments.

The city also reported the fastest increase in hourly temp pay rates, although it was Glasgow employees whose permanent salaries saw the strongest rises.

Despite the increase, there was only a "fractional" rise in average salaries awarded to permanent staff across Scotland.

The number of people seeking permanent work across the country rose for the 26th month in a row.

The rate of increase also accelerated to its sharpest level since the beginning of the year.

The Scottish unemployment rate now stands at 8.0%, which is above the UK rate of 7.9%.

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