Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Employees would move for better pay

Employees would move for better pay, but economists say they may have to wait

By Suze Metherell

Jan. 29 (BusinessDesk) - Better pay would lure six out of 10 employees to leave their current job, says a survey by recruitment company Hudson but economists remain sceptical that conditions are favourable for pay increases.

Hudson surveyed 5,003 employers and 5,701 employees in Australia and New Zealand. Of employees surveyed across New Zealand and Australia 58.2 percent say higher remuneration would see them leave their current workplace, while 71 percent of employers said they intended to increase wages in line with the consumer price index.

A more mobile labour market, with jobseekers confident they can be employed, puts pressure on employers for wage increases, says the Hudson report. However, despite employers reporting skill shortages, New Zealand unemployment remains at a pre-recession high of 6.2 percent.

“There is still high unemployment by historical standards,” Council of Trade Union economist Bill Rosenberg told BusinessDesk. “So there’s a lot more work to be done.”

Labour scarcity should prompt employers to increase wages to attract and keep staff, but this was yet to be truly seen outside of Christchurch where construction worker shortages were leading a rise in pay, Rosenberg said.

“It’s not enough to say you’ve matched cost of living, it is time for real wage growth now,” Rosenberg said.

Last week’s Westpac McDermott Miller Employment Confidence Index showed jobseekers had growing optimism when it came to finding a job, reaching the second highest level in the past two years. The New Zealand Institute of Economic Research Quarterly Survey of Business Opinion said that employers were finding labour increasingly hard to find, particularly skilled workers.

The Hudson report says these key economic indicators should force employers to raise remuneration.

“The labour market is starting to have movement but it’s still a long way from being red hot,” said ANZ New Zealand chief economist Cameron Bagrie. “It’s a bit of horse before the cart in terms of wage rises, you’ve got to get the productivity to match before the wage gains.”

While there is a risk of workers migrating in search of better pay packets, increasingly the New Zealand economy held more promise, Bagrie said.

“People want to come here,” he said. “The economic story here is more robust than anywhere, than in Australia, and we are seeing a turnaround from the exodus we saw.”

Skill shortages were becoming a problem, particularly in construction, and that increased the pressure for wage growth, Bagrie said.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Cosmetics & Pollution: Proposal To Ban Microbeads

Cosmetic products containing microbeads will be banned under a proposal announced by the Minister for the Environment today. Marine scientists have been advocating for a ban on the microplastics, which have been found to quickly enter waterways and harm marine life. More>>

ALSO:

NIWA: 2016 New Zealand’s Warmest Year On Record

Annual temperatures were above average (0.51°C to 1.20°C above the annual average) throughout the country, with very few locations observing near average temperatures (within 0.5°C of the annual average) or lower. The year 2016 was the warmest on record for New Zealand, based on NIWA’s seven-station series which begins in 1909. More>>

ALSO:

Farewell 2016: NZ Economy Flies Through 2016's Political Curveballs

Dec. 23 (BusinessDesk) - New Zealand's economy batted away some curly political curveballs of 2016 to end the year on a high note, with its twin planks of a booming construction sector and rampant tourism soon to be joined by a resurgent dairy industry. More>>

ALSO:


NZ Economy: More Growth Than Expected In 3rd Qtr

Dec. 22 (BusinessDesk) - New Zealand's economy grew at a faster pace than expected in the September quarter as a booming construction sector continued to underpin activity, spilling over into related building services, and was bolstered by tourism and transport ... More>>

  • NZ Govt - Solid growth for NZ despite fragile world economy
  • NZ Council of Trade Unions - Government needs to ensure economy raises living standards
  • KiwiRail Goes Deisel: Cans electric trains on partially electrified North Island trunkline

    Dec. 21 (BusinessDesk) – KiwiRail, the state-owned rail and freight operator, said a small fleet of electric trains on New Zealand’s North Island would be phased out over the next two years and replaced with diesel locomotives. More>>

  • KiwiRail - KiwiRail announces fleet decision on North Island line
  • Greens - Ditching electric trains massive step backwards
  • Labour - Bill English turns ‘Think Big’ into ‘Think Backwards’
  • First Union - Train drivers condemn KiwiRail’s return to “dirty diesel”
  • NZ First - KiwiRail Going Backwards for Xmas
  • NIWA: The Year's Top Science Findings

    Since 1972 NIWA has operated a Clean Air Monitoring Station at Baring Head, near Wellington... In June, Baring Head’s carbon dioxide readings officially passed 400 parts per million (ppm), a level last reached more than three million years ago. More>>

    ALSO:

    Get More From Scoop

     
     
     
     
     
     
     
     
    Business
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news