Companies become more secretive about pay offers amid cooling jobs market

Companies have become more secretive about pay offers, adding to signs of a possible cooling of the jobs market, new research suggests. 

Just over half of UK job postings are now published without advertised salaries for the first time since records began in 2016, as employers find it easier to fill positions, according to jobs search site Adzuna.

The average time to fill a role has fallen to 35.4 days, down from 43.1 a year ago, as advertised job vacancies fell to just over 1million, from 1.17million a year ago.

There has been a decline in job vacancies in most sectors as companies become more cautious about taking on staff amid an current economic slowdown.

Sectors proving to be the exception include logistics, warehouses and retail, where demand for talent remains high.

Despite the slowdown, advertised pay rates have continued to rise in July compared to last year – up 3.7 per cent on average to £37,750 – and remain at some of the highest levels seen since early 2021.

Advertised salaries are higher than last July for most sectors, except for HR and recruitment, IT, and scientific and quality assurance jobs, which saw pay rates fall by 6 per cent, 4.2 per cent and 1.6 per cent respectively.

Social work jobs, which are in high demand, have seen the biggest increase in advertised salaries – or 20.5 per cent to £33,577 on average compared to last year.

The report, which collects every job vacancy advertised online in the UK from over 1,000 sources, said that the overall state of the labour market remained tight. 

It follows official figures showing that wage increases briefly rose above inflation, with soaring consumer prices finally beginning  

However, as This is Money’s Simon Lambert explains, today’s workers are no better off than they were in March 2006, before the financial crisis.

The Bank of England is looking closely at the labour market as it considers how much further it needs to raise interest rates to bring down high inflation. 

Advertised salaries are higher than last July for most sectors, except for HR and recruitment, IT, and scientific and quality assurance jobs

Andrew Hunter, cofounder of Adzuna, said: ‘Compared to last year, the power in the jobs market has shifted back to companies and we are seeing fewer job ads disclosing the salary as employers find it easier to fill positions. 

‘Against the context of a slower economy, falling salary transparency may also reflect a growing pressure to keep to tight budgets.

‘Other employers may fear that it could expose existing unfair pay practices and lead to current employees questioning why they’re not being paid the going rate.

‘But make no mistake, falling pay transparency comes with a very real societal cost – making pay gaps worse.’

Just over half UK job postings are now without advertised salaries, the first time this happens since records began in 2016

Legal and logistics propping up falling vacancies

Despite nearly all job sectors seeing a decline in vacancies, some sectors bucked the trend in July.

Logistics and warehouse jobs saw the biggest rise in vacancies, or a near-4 per cent increase, reversing a three-month decline. 

Job vacancies in the legal sector rose 3.1 per cent, while retail and manufacturing saw an increase of 2.7 and 1 per cent respectively. 

Teaching remains the largest recruiting sector on Adzuna with over 120,000 vacancies, or a 35 per cent increase compared to July last year. 

IT is the second-biggest sector for recruitment, with nearly 99,000 available jobs in the industry, though companies have reined in hiring in the last year, with tech job adverts down 42 per cent. 

Warehouse work is the most-in-demand among jobseekers using Adzuna, the website said.

Lorry driving is the second highest trending job for the second month running, with social care roles also in high demand.