According to the annual Manufacturing Salary Survey produced by Midlands-based recruitment specialist Consilium Group, more than half of the manufacturing, automotive and engineering businesses in the West Midlands are planning to take on extra staff this year in an attempt to meet soaring demand.

Across the three sectors, 57% of the region’s employers plan to increase their head-count, while 28% say theirs will remain the same, and just 15% plan to reduce their staff numbers.

However, there are concerns that wage inflation will result in employers increasingly looking to other sectors for workers or bringing in talent from mainland Europe; and while more engineering graduates are being recruited and more apprenticeships are being created, it could take years before the benefits they provide take effect.

The report warns that the UK economy will need a further 100,000 STEM graduates by 2020.

Russell Tuck (pictured) said: “Our survey has highlighted the fact that the job-seeker is ‘king’ in the current recruitment market; to compete successfully, employers here in the West Midlands must respond by making the ‘candidate experience’ fairer, more dynamic and — ultimately — positive.

"Employers are realising that wage inflation is a dangerous precedent. In response, our findings have shown that they are increasingly prepared to widen their search criteria to include alternative industry sectors — or to look overseas for talent in Europe.”