By Daniel Hunter

The latest Bank of Scotland Report on Jobs indicated further growth of both permanent and temporary staff appointments in May.

Scottish recruiters largely linked the increases to greater client demand, with permanent job vacancies in particular rising at the strongest pace since January. Concurrently, average salaries paid to permanent staff rose markedly in May, with the rate of inflation the sharpest for five years.

The Bank of Scotland Labour Market Barometer — a composite indicator designed to provide a single figure snapshot of labour market conditions — indicated a strong improvement in Scottish labour market conditions in May.

The Barometer rose for the third consecutive month to 54.7, its highest level since last December, and was above the equivalent index for the UK as a whole (52.4, a three-month high).

"May’s barometer 50 showed a strong improvement in Scottish labour market conditions," Donald MacRae, Chief Economist at Bank of Scotland, said.

"The number of people 45 placed into both permanent and temporary jobs rose in the month while vacancies increased across most sectors. These results provide further evidence that business confidence is slowly 40 being restored enabling the Scottish economy to record much sought-after growth during 2013.”