The present job market has been regarded as 'job churn' by Alistair Cox, Chief Executive of City headhunter, Hays. The UK's largest recruitment Company claimed that no new jobs are being created in the market, even though the employees that are leaving are being replaced by the businesses.

It has been reported by Hays that the annual profit has fallen by 80% to £29.7m for the year to June. And despite this huge fall, he said that his firm had 'turned the corner'. It had earlier also been warned by Mr. Cox that those public sector workers that are being laid off, will not be able to be absorbed by the private sector, entirely.

Mr. Cox added, "At the moment most of the demand for jobs is simply organizations replacing employees who've left. So it's really about job churn at the moment. Candidates are confident enough to change jobs, but we're not seeing new jobs being created as such".

This wasn't the scenario a year ago, when people had been sitting on their hands and staying put. The firms had been focusing more on cost-cutting. But, presently, people are confident to change jobs; and the firms today are also putting in teams to move out and create businesses.