A new study has revealed that three out of four employers are planning to take on more staff over the coming months.
The report by the Recruitment and Employment Confederation (REC) indicated that businesses are gaining confidence in the economy.
The survey, involving 600 employers, also showed a significant decline in redundancies and headcount freezes.
The majority of those who took part in the poll said they intend to increase or maintain their use of agency workers over the next 12 months.
Roger Tweedy, the REC's director of research, said: "Employers are more positive about their hiring intentions, which reflects an improvement in overall business confidence.
"Employers are recognising the need to ramp up their recruitment activity in order to attract high-potential candidates and move their business forward.
"Employer caution is starting to lift and we can afford to be more upbeat about the gradual recovery of the UK labour market."
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