Confidence on the jobs front is at its highest level since the recession five years ago, although cuts could continue in the public sector, according to new research.
A survey of more than 1,000 managers by the Chartered Institute of Personnel and Development (CIPD) showed a prediction of jobs growth for the sixth quarter in a row.
Private firms were most positive, while managers in the public sector were more likely to expect job cuts.
The study, ahead of official unemployment figures being published tomorrow, is the latest in a series of recent reports predicting jobs growth.
Mark Beatson, the CIPD’s chief economist, said: “These results suggest we should see further jobs growth over the summer and autumn and hopefully reflect a degree of optimism about growth prospects for 2013. This is welcome news for job seekers.
“The challenge for the increasing proportion of employers looking to hire will lie in finding the right talent to fill their vacancies.”
The research also found that employers do not expect wage growth to increase significantly, with predictions of average rises of 1.7% – below the rate of inflation – in the coming months.
Mr Beatson added: “Clearly employers feel they do not need to raise pay to meet recruitment goals and, with turnover low, retention is unlikely to be a pressing issue for most organisations.
“However, both these factors could turn as the job market improves and employers need to be prepared to adjust their planning.”