The Scotland IT sector is the biggest creator of job opportunities, despite a general drop in vacancies indicating a difficult economic recovery.

The drop in job vacancies across Scotland threatens to hinder the country’s economic bounce back, according to recent research from the Association of Professional Staffing Companies (APSCo).

Data, provided by Broadbean Technology, revealed that, despite the vacancy divide, IT continued to be the biggest creator of job opportunities in Scotland.

The sector accounted for around 13% of the total (unchanged month-on-month). However, its 5,500 jobs tally was less than half March’s figure. Engineering took the second spot accounting for 11% of Scotland’s vacancies in June (up 2% on March’s figures) with building and construction dropping 1% to 9.4%.

Average permanent salaries have also risen across most industry sectors to help meet the rising cost of living. Of the top sectors for job numbers, medical and nursing paid the highest salaries, at over £48k, rising slightly from March.

The oil and gas sector, which is a major boon for the Scottish economy, came second at just under £47k. Notably, salaries in the IT remit have risen to almost £45k, as recruiters try to attract new talent to this fast-growth sector, the research said.

Conversely, call centre and customer service and admin and secretarial jobs had the lowest salaries, both paying under £23k. Despite some of these promisingly high salaries, it looks like pay increases will struggle to mitigate inflation, which hit a record 40-year high in May.

Application per vacancy (APV) numbers have also continued to drop. Call centre and customer service roles did, however, record an average APV of 34, up by two month on month. IT jobs received only 14 applications, which is indicative of the sector’s well-documented skills short market.

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Commenting on the data, Ann Swain, CEO of APSCo, said: “This latest data shows a sharp fall in staff availability in June across many white-collar sectors. From the statistics, it appears that many employers are responding to this shortage of highly skilled professionals with monetary incentives.

“While it’s certainly important to be mindful of inflation, reliance on financial incentives alone isn’t sustainable and won’t solve the skills crisis.

“A focus on developing skills in the workforce, hiring from wider talent pools to boost diversity and an internationally viable recruitment route are needed to help narrow talent shortages.”

Swain continued: “In a post-Brexit and Covid-hit economy, the strength of Scotland’s labour market will be paramount to the country’s economic recovery, and with APSCo’s latest data indicating a fall in jobs and application numbers, the country’s economic stability is potentially under threat.

“If Scotland’s economy hopes to bounce back, greater support from our Government is needed to help make the employment market globally competitive and fit for purpose in the current economic landscape.”

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