September saw the strongest employment growth in 13 months, according to data from Employment Hero’s Jobs Report.
The figures showed total employment was up 2.6% in September, the highest monthly rise in over a year.
Year-on-year, employment was up 2.7%, rising from 1.6% in August.
Full-time jobs led the way, up 2.1% from the previous month and 5.0% compared to last year.
Part-time and casual roles saw smaller increases, up 1.2% and 2.2% respectively.
This pointed to employers looking for stability and longer-term staff.
Employment among younger workers played a major part in the recovery.
Gen Z jobs rose 2.8% in September and 8.3% year-on-year, the biggest jump among all age groups.
Long-term trends still showed a slowdown in the jobs market.
September’s 2.7% annual rise in jobs was down from 8.5% at the same point last year, suggesting small businesses remain cautious after last year’s Autumn Budget.
Average pay was up by 3.0% month-on-month in September and 2.2% year-on-year.
Pay continued to climb, but growth stayed below inflation, so real wages did not improve.
Kevin Fitzgerald, uk managing director at Employment Hero, said: “Our latest data gives reason for cautious optimism in the UK jobs market.
“Early signs of recovery are holding up, even amid ongoing economic uncertainty.
“That said, year-on-year comparisons show there’s still plenty of ground to make up.”
Fitzgerald added: “With the Autumn Budget around the corner, businesses are bracing for impact.
“Talk of tax hikes has been relentless and many now see them as inevitable.
“Despite that, small businesses – resilient as ever – are proving they’re not giving up, with employment nudging steadily higher as we head into November.”
He added: “The government has a real chance to restore business confidence and recognise this resilience with the Budget.
“Steering clear of tax changes that could stifle long-term investment will be key if we want to unlock the full potential of the UK jobs market.”