Business Confidence Lifts In Auckland

18 June 2009

Media Release

Business Confidence Lifts In Auckland

Over 1000 Auckland businesses have responded to the Chamber’s business confidence survey that was undertaken electronically this week.

• Those who believe the economy will improve over the next 6 months have more than doubled from 14% in March to 30% in June.

• For the first time in a year, more firms believe the economy will improve in the next 6 months than deteriorate.

• Only 7% of businesses are having difficulty finding employees with the right skills compared to 25% a year ago.

• The biggest single factor limiting firms from expanding is demand (followed by finance).

• 73% of respondents believe interest rates will be the same or greater.

• In the March survey 20% of firms expected to reduce staff in the following quarter while in the June survey only 12% of firms expect to reduce employee numbers.

• This is similar for part-time employees where in March 16% of firms expected a reduction in part-time employees while in June only 10% of firms expect to have lower part time employees.

• On profitability 61% of firms expected profits to be the same or better compared to 53% in March.

A copy of the survey is attached.

The Chamber has undertaken this survey of its members for over 10 years. The survey is undertaken electronically over a 48 hour period.

ENDS

ChamberBusinessConfidenceSurvey_June09_Findings.doc