Permanent hiring turns a corner for UK logistics

Permanent hiring is stabilising across UK logistics after nearly four years of decline, giving warehouse, driving and supply chain teams a clearer run at building settled, long-term workforces again.
Author

Jen May

Job Title

Chief Customer Officer

What's the state of permanent hiring in UK logistics right now?

The direction of travel has changed. Permanent placements have finally stabilised, ending a decline that had run for 45 months since Liz Truss's premiership, while temporary billings rose for a fourth month in a row REC / KPMG Report on Jobs (S&P Global). For logistics teams that have leaned heavily on temporary and seasonal cover, that steadying of the permanent market is the first real sign of a floor under hiring.

The wider picture is still cautious rather than booming. The labour market is described as 'low hire, low fire', with weaker recruitment but only slight increases in redundancies, and vacancies sitting below pre-pandemic levels Low Pay Commission Report 2025, GOV.UK. In plain terms: fewer employers are letting people go, and fewer are rushing to recruit. That makes this a moment to move deliberately, not frantically.

Which logistics roles and dynamics are shifting first?

Temporary demand tends to turn before permanent demand, and we're seeing that order play out now. Temporary billings have increased for a fourth consecutive month even as permanent placements only just stabilise REC / KPMG Report on Jobs (S&P Global). In logistics that usually shows up first in flexible warehouse operatives, pickers and packers, and driving cover, before it feeds through into permanent roles like shift supervisors, transport planners and supply chain coordinators.

The latest market readings continue to track these monthly swings in permanent and temporary activity KPMG and REC, UK Report on Jobs June 2026. For employers, the signal is simple: when your temporary headcount keeps climbing month after month, it's often a sign that some of that work is really permanent. Converting proven temporary staff into permanent hires is one of the clearest early opportunities in a market like this.

How do you hire well in logistics as the market turns?

Start by reading your own numbers. If temporary billings in your operation have climbed for several months running, as the wider market has REC / KPMG Report on Jobs (S&P Global), map which of those roles are genuinely ongoing and build a permanent plan around them. A stable permanent core reduces the churn and retraining that eat into productivity on the warehouse floor and in the cab.

  • Define the role in outcomes: throughput, routes covered, shifts led, not just a job title.
  • Move quickly on strong people. In a 'low hire' market good people have fewer competing offers, so a short, clear process wins them Low Pay Commission Report 2025, GOV.UK.
  • Prioritise reliability and shift fit alongside tickets and licences; attendance and retention carry real weight in logistics.
  • Convert your best temporary workers first: they already know your site, systems and safety standards.
  • Build a small, warm talent pool so you can fill planned permanent roles before peak, not during it.

The common thread is pace with judgement. The market has steadied REC / KPMG Report on Jobs (S&P Global), but it hasn't opened the floodgates, so the teams that prepare now will be first to secure the people they need when demand firms up further.

Where does an AI recruitment agent fit for logistics hiring?

When you're ready to turn a plan into permanent hires, we can do the heavy lifting. We search a database of 15 million candidates, build you a ranked shortlist in under 30 seconds, and manage the process end to end so your managers stay on the floor. Our recruitment agent manages recruitment end to end for 8% on a successful hire, with no monthly fee and no upfront cost. If you want to build a settled logistics team as the market turns, start hiring with Reed.ai today.

Sources

Jen May
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