Employers / News and insights

Rising workforce costs – is it time to rethink your supply chain?

Susan Crossby Susan Cross

Rising workforce costs – is it time to rethink your supply chain?

There’s no getting around it - costs are rising across the board. The cost of employing a full-time National Living Wage worker has increased by 7.1% in real terms due to the latest minimum wage and employer National Insurance hikes. And for businesses like yours these aren’t just isolated figures; they have a direct impact on profit margins, operational efficiency, and supply chain resilience.

 

As these financial pressures mount, now is the perfect time to assess your supply chain from end to end - from materials and logistics to outsourced services like recruitment. Are your current suppliers providing the best possible value, or are there opportunities to improve efficiency, reduce costs, and enhance reliability?

 

Getting real value from your recruitment provider

Recruitment costs are often a primary focus in reviews, but too often, the emphasis is placed on price alone, overlooking the broader value and enhanced cost savings a strong recruitment partner can bring. With the rising cost of employment, a recruitment provider that delivers reliability, flexibility, and long-term efficiency can be the difference between a smooth operation and unnecessary expense – offering real savings that far outweigh a marginal reduction in the hourly management fee.

 

At gap personnel we focus on delivering a recruitment service that works for you – no hidden fees, no surprises, just transparency and efficiency. Like you, we are also facing these rising employment costs, and while we adapt to these changes, we remain committed to helping our clients navigate these challenges compliantly and cost-effectively. We follow the Association of Labour Providers’ charge rate guidance, ensuring complete clarity on costs. But beyond price, we prioritise flexibility, responsiveness, and proactive problem-solving to keep your workforce running smoothly.

 

Time for a recruitment partner health check?

Now is the right moment to ask whether your recruitment provider is truly supporting your business:

  • Was the recent rate increase handled transparently and in a timely manner?
  • Is your provider actively helping you manage costs and workforce challenges?
  • Are they offering real flexibility and strategic support?

If any of these raise concerns, it may be time to explore alternatives. The reality is that while cost matters, a recruitment partner’s ability to provide reliability, agility, and forward-thinking solutions is critical to long-term savings.

 

A seamless switch to stress free staffing

Reviewing your recruitment provider doesn’t have to be a complicated process. At gap personnel we make the transition process a seamless one, ensuring minimal disruption while maximising long-term benefits. Our stress-free staffing approach takes the hassle out of hiring, helping you maintain (and improve!) efficiencies and control costs.

 

With the new financial year underway, there’s no better time to assess your supply chain and recruitment strategy. Let’s get the conversation started - how can we help your business navigate these cost challenges?