A recent report by Russam GMS has shown that activity within the market for interim managers has increased slightly. There has been 0.9% growth in the past six months. This may seem small but it is significant compared to the 15% drop in market activity recorded in the 12 months from June 2008- June 2009.
Interim provider Russam GMS gathered this data from 11,000 interim managers. In response to the report, Charles Russam, chairman of Russam GMS said; “There are certainly signs of optimism for the interim market and things are not going to get any worse. Despite the announcement that the recession is officially over, businesses will still be reluctant to hire staff on a full-time basis for the time being.”
There were further positive results from this report with regards to interim rates. It was feared that interim rates were being cut but the report suggests that they have remained fairly stable. The average daily pay rate for interims across all sectors was £592 in December 2009, only a small decrease (1.5%) from £601 recorded in June 2008, and from the all time high of £611 recorded in December 2008.
Demand for interim managers within the Finance sector is increasing but there is concern about interim roles within the public sector. This is because it has been reported that there are planned government spending cuts, as well as projects potentially being frozen pre and post election. Charles Russam added; “I expect more interims to be taken on for projects instead of management consultants, as interims are much more cost-effective.”
Filed under: Contractor News | Tagged: Charles Russam, Interim Managers, Interim Provider, Russam GSM
During a recession demand for contractors does seem to rise anyway but I think the forthcoming public sector cutback does not bode well for the market. Look at Hays’ results this week – the UK largest recruiter suffering a huge fall in revenues. More storms yet to come I think…