| Employment prospects shine dimly: survey
10/6/2009
Source: WorkplaceInfo
The employment outlook in Australia is improving — but not by much — according to the latest survey.
The Manpower Employment Outlook Survey shows some positive signs for job seekers, but indicates employers are still taking a ‘wait and see’ approach to hiring.
The survey of 2806 employers across Australia indicated a moderate increase in hiring plans for the next three months.
According to employers, the upcoming quarter’s hiring pace will rise to +2%, an increase of three percentage points quarter-over-quarter.
Some positive signs
‘The third quarter of 2009 shows some positive signs for job seekers, with an increase of three percentage points from last quarter, combined with the majority of employers indicating they will make no reductions to their current headcount (71%),’ said Lincoln Crawley, managing director, Manpower Australia and New Zealand.
‘This supports our prediction of a "wait and see" approach from the last two quarters — employers are playing it safe and holding onto key staff members and waiting till the economy improves before making pertinent headcount decisions.’
The Manpower Employment Outlook Survey also reveals that employers in the Northern Territory (+21%) are reporting the most optimistic hiring intentions among all regions surveyed, and the region’s Outlook is 7 percentage points stronger quarter-over-quarter and 1 percentage point weaker year-over-year.
Brisbane employers least optimistic
In comparison, the least optimistic regional hiring intentions are reported by employers in the Brisbane/Queensland (-5%) region where the Outlook is 2 and 31 percentage points weaker quarter-over-quarter and year-over-year, respectively.
This region’s Outlook, as well as the Outlooks for Melbourne/Victoria (-1%), Hobart/Tasmania (+2%), is the weakest since the Australian survey was launched.
From an industry sector perspective, hiring expectations are strongest in the finance/insurance/real estate sector (+9%). The Outlook is stable quarter-over-quarter, and 17 percentage points weaker year-over-year.
Manufacturing weakest
Conversely, hiring expectations are weakest among employers in the manufacturing (-8%) industry sector, where the Outlook improves by a single percentage point quarter-over-quarter, while declining by a considerable 27 percentage points year-over-year.
‘The modest improvement in hiring plans could be attributed to the recent interest rate cuts and, combined with the Australian government’s stimulus package directed at high-spending groups such as pensioners and first-time home buyers, this should limit any additional rise in the jobless rate,’ Crawley said.
‘However, the pace of hiring in all sectors is expected to be weaker than historical patterns. Job seekers in the transportation and utilities sector will continue to be frustrated as the Outlook is the weakest since the survey began in 2003.’
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