The recession has led to an increase in temporary workers and a new trend of ‘working interviews' according to a report released by recruitment firm Crone Corkill.

Due to pressure on cashflow small business owners are increasingly likely to hire staff on temporary contracts to ensure that they are the right person for the job and mimise the risk of hiring an unsuitable employee.

"Not only has the demand for temporary personnel increased as employers assess staffing requirements on a project by project basis, but we have also seen a marked increase in employment on a temp-to-perm basis", says Lee Dempster, Operations Director at Crone Corkill.

However, the report also highlighted that retention is becoming a key issue for employers, with almost 25% of the companies questioned saying that staff retention will be their top challenge over the coming months as recovery in the market will inevitably lead to employees evaluating other options as they become available.