Kiwi job market shifts down a gear

MEDIA RELEASE

13 January 2012

Kiwi job market shifts down a gear

Advertised job vacancies across New Zealand are up 21% on a year ago but growth is slowing, according to an analysis of more than 38,000 jobs listed on Trade Me Jobs in the December quarter.

Head of Trade Me Jobs, Pete Ashby, said while “headline growth” was very solid, there were signs it was softening. “The job market has clearly shifted down a gear when you compare this quarter’s 21% growth in listings with last quarter’s 30%,” he said. “We’d hoped the employment market would improve after the Rugby World Cup and the November election but the reverse has happened, with advertised jobs up only seven per cent in December.”

Mr Ashby said the signs of a slowdown aligned with the Westpac McDermott Miller’s research out earlier this week, which found employee confidence in the job market had fallen to a two-year low in the December quarter. “There’s certainly anxiety in the public sector after the November election and broad uncertainty surrounding the ongoing turmoil in the European financial markets,” he said. “These two factors have combined with a post-Rugby World Cup hangover to dent job market confidence.”

He also noted pay packets had not enjoyed much of a boost. “The pay offered by employers has been flat – up just 0.4% on the same period last year. With competition amongst job hunters on the rise, it’s starting to look like an employer’s market again.”

Industry findings

Specialist government and council roles led the way in terms of growth in the December quarter, with listings in this sector up 47% on a year ago. Mr Ashby said the driving force here was Auckland super city recruitment.

He said demand for highly skilled civil and structural engineers remained “insatiable”, with listings up 39% on the same period a year ago. “We’ve also seen strong demand from employers seeking candidates with drafting experience, as well as sector-specific skills such as energy and the environment.”

Elsewhere, accountants remain in hot demand, with listings up 36% in the quarter and strong salary increases. Trades and services (up 41%), construction (up 33%), and retail (up 22%) also saw significant growth in listings compared to a year ago.

In the regions

The South Island is “going gangbusters” according to Mr Ashby. "All regions of the Mainland demonstrated growth above the national average for the quarter, but Canterbury and Southland were the stand-outs, each with 61% growth in job listings compared to a year ago, followed by Otago with 40%.”

Canterbury’s growth continued to be strongly connected to the rebuilding efforts in Christchurch, with the roles driving growth including builders, surveyors, project managers and engineers. The number of healthcare roles listed in Canterbury had also soared. “There are signs of pressure here, with demand for caregivers and community & social services workers driving growth of more than 100%,” Mr Ashby said.

Crystal ball time

Mr Ashby said he was “cautiously optimistic” about the New Zealand job market in 2012. “While storm clouds over global markets remain a major concern, there are signs of improvement. We’re hopeful this is simply a ‘blip’ in the ongoing recovery.”

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