Recruiting is back on the increase after a lull in August, it has emerged.
However, the report by the Recruitment and Employment Confederation (REC) and KPMG has found that salary inflation has eased for the first time in just over a year.
The REC's acting chief executive Helen Reynolds commented that employment is growing steadily with help from flexible resourcing.
She added that the government must continue to stamp out rogue employment agencies to ensure the "UK maintains a vibrant, flexible and modern labour market".
Alan Nolan of KPMG noted that the credit crunch had not affected the employment sector as yet, although he indicated it could be too early to tell.
"The overall picture of a tight labour market remains, demand for staff is back on the increase compared to last month," he said.
The REC is to hold a recruitment conference in the west midlands on November 1st, aimed at helping employers, recruiters and jobseekers address the current challenges in the employment sector.