Contact Centre and Customer Service (CC&CS)
Without better pay and benefits, workers have little appetite for jobs in customer service
The candidate pool:
After being buffeted by the pandemic, when customer service operations were forced to pivot to a completely new way of working, CC&CS businesses must now to adapt to further advances in technology, a continuing rising customer expectations, and the new world of employee empowerment.
However, challenging as these problems are, the issues that affect the sector most are far more mundane, namely the UK’s acute talent shortage, and the traditionally low rates of pay found within the sector that are causing employees to leave the industry or switch jobs frequently. With inflation remaining stubbornly high, workers on moderate or low incomes are more adversely affected by the UK’s ongoing cost of living crisis, forcing them to seek better paid jobs, or to retreat from the workforce altogether. Current estimates say the cost-of-living emergency is driving a shortfall of 75,000 workers across the industry.
Further impacting the hiring and retention strategies of employers is the aforesaid march of technology in the sector. Big data is now part of the customer service armoury, but big data is only as good as
the workers who work with it. A high degree of digital fluency is needed to deliver the trends explored above. This presents a conflict with the current state of UK worker digital efficiency. According to a report, 27% of UK workers say they do not have sufficient digital skills to perform their role effectively - information supported by earlier research from PwC and Lloyds Banking Group, that found more than a third of the UK’s ‘digitally literate’ workforce were unable to complete at least one of the Lloyds’ Essential Digital Skills for Work. This impacts more than just employees within the CC&CS sector, as there are almost 12 million workers across every type of industry who cannot perform basic digital activities, but it does make the recruitment and retention tasks of CC&CS employers more difficult. Candidates who have the digital skills so many CC&CS roles now require are more likely to use their bargaining power to seek higher compensation and access to flexible working conditions.
Shortage or surplus?
Despite the large potential talent pool for roles within the wider CC&CS sector, hiring remains slightly difficult, with an average (National) of 67 job seekers per permanent role and 104 candidates per vacancy for temporary workers.* Regional supply differences and differing salary levels further impact the competitive hiring environment, driving an average of 49 days* to fill vacancies in CC&CS. *Indeed.com
Why is this?
Low average pay for permanent and temporary workers – particularly in South West and Scotland.
Lower than average provision of hybrid and remote working across the sector.
Digital skills needs for CC&CS accelerating, putting some candidates on the sideline.
What can businesses do to boost their attraction and retention rates?
Increase salary offers
Provide flexible working conditions, including fully remote as well as hybrid
Offer digital training to expand the talent pool
ACROSS THE UKCC&CS Permanent Roles (scroll to view)
Sample role
Customer Service Representative
Annual salary range for these roles
£15,500 (below market)£21,861 (market median)£29,700 (above market)
Hiring difficulty
Slightly difficult - (scores 4 out of 10) - average job posting: 51 days
Supply vs Demand
Very high – (scores 2 out of 10) – market favours employer
Top 3 titles in job postings
Customer Service AdvisorCustomer Service Representative Customer Assistant
Top 3 skills in job postings
Customer serviceCommunicationFriendliness
Top 3 credentials in job postings
Security clearanceDriver’s licenseFirst aid certification
Most common experience level
Mid-level (0 -2 years)
Most common education level
High School (100%)
ACROSS THE UKCC&CS Temporary Roles (scroll to view)
£16,200 (below market)£22,751 (market median)£53,500 (above market)
Less difficult - (scores 2 out of 10) - average job posting: 47 days
Moderate – (scores 3 out of 10) – market favours employer
Customer serviceCommunicationDetail orientated
Driver’s licenseSecurity clearanceCertified Customs Specialist
Average regional median salaries, and the rate of supply and demand for employees – permanent and temporary hires – CC&CS roles.
Sample roles:
High supply of potential candidates for available vacancies can be found in almost every region and for permanent and temporary roles. Even in the South East, with close proximity to London, high supply levels are impacting salaries.
However, the North West is an outlier - high demand and relatively low supply of temporary CC&CS workers is driving a 36% salary premium for short-term hires.
Median salaries , and the rate of supply and demand for employees in selected UK cities– permanent and temporary hires – CC&CS support roles.
At the extremes:
Highest permanent salary in the UK: London £30,710 p.a. Lowest permanent salary in the UK: Nottingham £20,000 p.aHighest temporary salary in the UK: Birmingham £36,889 p.a. Lowest temporary salary in the UK: Leeds £17,230 p.a
