19.03.2025

Worker confidence decline is a ‘stabilisation’ not a crisis

Job confidence has fallen across the UK, but this is a return to normal after post-Covid highs—not a sign of crisis. Businesses ignoring this risk losing top talent, says specialist recruitment firm, Robert Half.

The latest iteration of its Jobs Confidence Index (JCI) – an economic confidence tracker produced in partnership with the Centre for Economics and Business Research (Cebr) – revealed that the JCI had fallen to its lowest level since Q1 2023.

However, all four confidence pillars of the Index (job security, pay, progression and macroeconomic confidence) remain in positive territory, suggesting that this is a stabilisation, rather than a negative issue. In fact, the data revealed that more than half (54.8%) of staff are still confident in their job security, despite the economic climate.

Businesses need a competitive proposition

According to another Robert Half survey, 82% of businesses plan to make professional hires in H1 2025 across all types of employment (permanent, contract and on project basis). Such demand implies it’s vital that employers offer a strong proposition to encourage highly skilled individuals to move roles while confidence remains high. And while the JCI data revealed that salaries are still the dominant driver for career moves (43%), candidates are increasingly focusing on benefits (28%) and career progression (25%).

Matt Weston, Senior Managing Director UK & Ireland, at Robert Half commented: “We’re facing a continued period of adjustment in the labour market, but workers are still optimistic and employers really do need to be mindful of this. As the latest JCI shows, hiring conditions have stabilised and wage growth remains positive. We can’t overlook the fact that there are still opportunities out there for job seekers and they are looking for far more from a role than just remuneration. Employers willing to adapt to evolving workforce expectations will be the ones able to attract the best talent.

“Also, professionals are clearly prioritising their career development – in fact the level of those looking for a new job to support this is increasing. Businesses have to be aware of the mindset of the workforce, because in a skills short market top talent is still in the driving seat. The current environment rewards employers who offer strong benefits packages, professional development opportunities, and a compelling work culture. For businesses, this is a moment to build resilience, enhance employer branding, and refine recruitment strategies. Those that don’t act now risk falling behind when it’s time to scale up recruitment.”

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