IT contractors could benefit as the Recruitment and Employment Confederation (REC) has urged companies to evaluate the skills of their workforce and address any deficiencies.

Research from recruiter Reed, published earlier this month, found that demand for new workers rose by one per cent in May when compared to April, indicating most firms are slowly moving out of recession.

Now is therefore the perfect time for a full consideration of what types of workers are needed and how those needs should be met, according to Tom Hadley, director of external relations at the REC.

"As the recovery continues, we're seeing employers become more confident about their hiring decisions and future staffing needs should certainly be considered as part of this," he said.

The rise in recruitment in the private sector could not be better timed, Mr Hadley adds, as national spending cuts begin to squeeze public sector jobs.