Overview of the UK's HR and recruitment industry

Author
Darcy Nathan, Editorial assistant
Posted
August, 2024

Experiencing strong growth in the past decade driven by the demand for innovative recruitment strategies and a focus on employee wellbeing, the HR profession has become essential to every organisation

What areas of HR can I work in?

Almost every kind of organisation requires HR personnel, creating opportunities across all industries.

If you work in-house at a large company, you'll be part of an HR team and may specialise in one or more of these areas:

  • employee engagement
  • employee relations
  • employment law
  • health and safety
  • industrial relations
  • learning and development (L&D)
  • payroll and pensions
  • performance and reward
  • recruitment and talent management
  • strategy and organisation development
  • training.

In small and medium-sized enterprises (SMEs), you may be responsible for various tasks related to human resources. The specific responsibilities will vary depending on the needs of the business and your role within the human resources field.

While human resources officer is a common job title, other positions may focus on related areas such as learning and development, career coaching, or occupational psychology.

It's important to note that not all organisations have a traditional HR department. Some now opt to outsource services such as recruitment, payroll, and pensions management to external human resources outsourcing (HRO) companies, recruitment agencies, or consultancies.

For those interested in recruitment, it's advisable to consider larger international agencies like Adecco. However, many smaller independent agencies specialise in specific industries or sectors, such as education or digital.

To see what's on offer, search graduate jobs in recruitment and HR.

Who are the main graduate employers?

Some organisations offer HR as one element of a general management programme, but HR graduate schemes are offered by many leading employers, including:

  • Balfour Beatty
  • Boots
  • BP
  • Centrica
  • Civil Service Fast Stream
  • DHL
  • GSK (GlaxoSmithKline)
  • Jaguar Land Rover
  • KPMG
  • Lloyds Banking Group
  • Mitchells & Butlers
  • Network Rail
  • NHS
  • Nestlé
  • PwC
  • Rolls-Royce
  • Royal Mail Group.

There may also be opportunities for internships and work placements with a strong HR focus. Find out how to get a job in HR.

Recruitment consultancies also take on graduates. These include:

  • Adecco Group
  • Big Red Recruitment
  • Cititec
  • Client Server
  • Hays
  • ManpowerGroup
  • PageGroup
  • Randstad
  • REED
  • Spencer Ogden.

What's it like working in HR?

Upon entering the recruitment and HR sector, graduates can anticipate:

  • a competitive industry with strict deadlines and targets
  • high earning potential, as the average salary for HR professionals is £40,341, according to Reed.co.uk. Some companies also offer commission and bonus schemes
  • recognition and reward for qualifications and experience. HR officers typically earn between £24,000 and £35,000, while managers can earn between £35,000 and £55,000. Directors may earn over £80,000
  • the option of self-employment for individuals with the right qualifications and experience, particularly with the increasing prevalence of consultancy work due to outsourcing.

To find out more about typical salaries and working conditions, browse recruitment and HR job profiles.

What are the challenges facing the HR sector?

  • Hybrid working - many people are now splitting their workweek between home and the office, causing new challenges for companies. HR professionals play a key role in negotiating the best working practices with employees and having difficult conversations when it comes to getting people back at their desks.
  • Diversity monitoring - to create the most inclusive and diverse workforce, organisations must first have data from employees who may not feel comfortable answering questions about their sexual orientation or religion. HR professionals will be needed to communicate why the data is required and create a culture of trust so that everyone knows how it will be used.
  • Wellbeing - at the top of many HR agendas is ensuring that the mental health of all staff is looked after. This includes encouraging people to take breaks, providing mental health first aiders throughout the organisation, and offering training and awareness about spotting the signs and how to help others.

Find out more

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