Saturday, June 6, 2020

Nottingham-headquartered recruitment business sees increased demand in food sector

As a result of the COVID-19 pandemic, Staffline’s Recruitment business is experiencing “significant variance between customer segments.”

The Nottingham-headquartered firm has noted a marked increase in demand in the food sector, including food processing, logistics and supermarkets. In response, the company has launched a new web-based platform to act as a coordination point between displaced workers from the travel and hospitality sectors, providing live opportunities in the food supply chain.

Conversely, demand from other sectors such as retail, automotive and manufacturing has diminished considerably, with the Group’s limited exposure to white collar and permanent recruitment also impacted. 

Within PeoplePlus, business continuity and resilience plans mean that the business can continue to operate the majority of the division’s services despite recent ‘isolation measures’, according to customer requirements, including through digital delivery models.

In an update the company added: “On Friday, 20 March 2020, the Government announced that no VAT payments due from businesses between 20 March 2020 and the end of June 2020 would be required to be made, with payment being deferred until the end of the tax year.

“HMRC has not yet issued detailed guidance on how the tax year will be defined – the tax year for VAT typically runs to the end of 31 March, 30 April or 31 May (depending on the VAT return periods of an individual business). Therefore, the Company’s working assumption is that VAT payments for the period from 20 March 2020 to 30 June 2020 will be deferred until March 2021.

“This payment delay provides the Company with an immediate and significant short-term liquidity improvement. The Company is in ongoing discussions with HMRC regarding other supportive measures.” 

Staffline continued: “Given the evolving nature of the COVID-19 pandemic, it is too early to assess its medium-term impact on the Company and therefore trading for the current financial year. While the implications of the COVID-19 pandemic are difficult to determine, the Board is confident in the long-term structural growth drivers of the markets in which the business operates.”

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