Job opportunities in financial and professional services are supporting employer optimism into the new financial year, while hiring in the resources sector continues to decline, the Q3 2015 Hudson Report: Employment Trends [1] has revealed.
The survey of more than 3,500 employers nationally found that net hiring intentions fell by 2 percentage points (pp) since last quarter to 15.1%. The dip was driven largely by weakness in resources and mining, which fell to a net figure of -20.5%, 9.4 percentage points lower than last quarter. However, sentiment is strong in professional services, where net hiring intentions have climbed to 32.6% as well as industries such as IT (28.5%) and financial services (19.9%).
“The Hudson Report continues to point to changing dynamics in the hiring intentions of employers, with positive conditions in financial professional services counterbalancing weaker conditions across sectors such as resources and mining,” said Dean Davidson, Executive General Manager, Hudson Australia.
The Hudson Report found that 1 in 4 employers are planning to increase hiring in the quarter ahead and only 1 in 10 plan to reduce permanent staff numbers. Despite the slight softening, the net effect of 15.1% for Q3 2015 is almost 6 percentage points higher than the same time last year.
[1] Hudson surveyed 3,511 Australian employers about their hiring intentions for July to September 2015.
Queensland and NSW on top
According to The Hudson Report, all states continue to report positive hiring intentions into the new financial year. Employers in Queensland are leading hiring intentions, with a net 19.5% of hiring managers looking to increase permanent headcount in Q3, up 7.3pp compared to the previous quarter. Hiring intentions in New South Wales, the nation’s traditional professional services hub, remain strong at net 18.3%.
“New South Wales’ job market is benefitting from strength in the professional services sector. Permanent recruitment is strong right across professional services and improving within financial institutions. The technology sector is also very buoyant, with employer demand for ICT skills remaining strong,” said Mr Davidson.
“In Queensland, professional services are also underpinning the jobs market. Human Resources professionals are in particularly strong demand as businesses look for professionals to support strategic growth and future capabilities.”
A focus on new skillsets
Mr Davidson said the results reflected the ongoing transformation of the jobs market particularly within financial and professional services, while those professions more exposed to mining, resources and trade continue to face challenges.
According to Hudson, employers are focused on developing roles that will support future business growth.
“The ongoing transition in our labour markets is intensifying and organisations are evolving and recalibrating in order to remain competitive. Part of this transition includes investing in new skillsets, to ensure businesses are equipped for future growth. Smart employers should be investing in opportunities for key employees to develop a broad range of skills,” Mr Davidson said.
The Hudson Report also found that the rebound in the contractor market which began late last year will continue into the next quarter, with a net 11.7% of employers looking to hire contractors in Q3. According to Hudson, this is a result of both supply and demand factors.
“On one hand, many organisations are undergoing restructures and transformations, so they need specific skills for project-based work. On the other hand, highly-skilled workers are aware that they are in demand and are looking for challenging roles that also provide flexibility. This is contributing to a healthy market for contractors, while permanent hiring is also robust,” Mr Davidson said.
