Decrease in Employment Confidence Continues for Second Consecutive Month in New Zealand

New Zealand Jobs Market Declining – In May 2023, New Zealand witnessed a second consecutive monthly decline in the number of job advertisements, signaling a decline in jobseekers‘ confidence regarding employment prospects.

According to Rob Clark, SEEK NZ Country Manager, job ad volumes experienced a five percent month-on-month decrease in May. This decline can be attributed to slight decreases observed in major industries such as Manufacturing, Transport & Logistics (-7%) and Trades & Services (-6%).

Notably, the industries that encountered the most significant month-on-month losses in job ads were Consulting & Strategy (-20%), Human Resources & Recruitment (-10%), and Hospitality & Tourism (-10%).

Conversely, there was notable growth recorded in the industries of Sport & Recreation (11%), Engineering (4%), and Construction (3%).

Furthermore, the Healthcare & Medical sector demonstrated a one percent increase, driven by a rise in demand for Aged Care Nurses and Psychologists & Counsellors, as highlighted by Clark.

Reason of Declining Employment Confidence

The decrease in job advertisements appears to have contributed to the decline in employment confidence, as stated by Westpac Senior Economist Michael Gordon.

During the June quarter, employment confidence dropped by 3.9 points to reach a score of 105.6. Although an index number above 100 indicates that optimists outweigh pessimists, the latest figure marks the lowest recorded since June 2021.

Gordon explained in a media release that perceptions regarding job availability played a significant role in the decline of confidence. This metric often serves as an indicator for the direction of the unemployment rate. The current reading suggests that unemployment is likely to rise further from its recent lows throughout the year.

However, this does not imply that job seekers have halted their search for work. According to SEEK’s findings, applications for job advertisements witnessed a 13% increase in May.

In a media release, Rob Clark from SEEK stated, “The nation’s workers are once again actively pursuing employment opportunities, with applications per job ad reaching levels not seen since the onset of the pandemic when job ads were at an all-time low.”

According to SEEK, applications per job ad exhibited growth across all industries, with a notable 38% increase recorded in the Manufacturing, Transport & Logistics sector.

Clark further added, “Positions such as Drivers, Couriers, Building Trades, and Warehouse workers gained significant popularity in May.”

More reasons could be:

• It might be because of deterioration in households’ perceptions of their own job security and earnings prospects.
• Fear of recession grappling on the industry.
• Tourism prospects might have taken a hit.

Conclusion:

In conclusion, the recent decline in job advertisements in New Zealand has raised concerns. People are concern about employment prospects and this contributed to a drop in job seekers confidence. With consecutive monthly decreases in job ad volumes, especially in industries like Consulting & Strategy, Human Resources & Recruitment, and Hospitality & Tourism, it’s evident that certain sectors have been more affected than others. But if we see the flip side, industries such as Sport & Recreation, Engineering, and Construction have shown notable growth.

While uncertainties remain, it is important and crucial to stay active and informed about the job market. Be flexible in adapting the changing landscape of industry. Closely monitor the employment trends and leverage platforms like SEEK and other job websites. By this way, you can continue to navigate the job market, seize opportunities, continue to grow and contribute to the country economic recovery.

Remember, challenges often come hand-in-hand with new possibilities, and resilience can lead to success even in the face of adversity.

FAQs

• What is a good salary in New Zealand?

According to Jobted, the average salary in New Zealand is NZ$61,828 per year or NZ$1,189 per week. However, the average yearly salary including housing, transport, and other benefits is NZD 97,300. The most typical earning is NZD 58,507. A good earner in New Zealand makes above NZD 70,000 per year. Salaries vary greatly by industry and region.

• What qualifications do I need to work in New Zealand?

If you want to work in New Zealand, it is beneficial to have your qualifications evaluated by the New Zealand Qualifications Authority (NZQA). It helps you in making sure that your qualifications are recognized and respected in New Zealand. It helps you in making sure that your education and qualifications meet the country requirements. This assessment provides valuable information about how your overseas qualification aligns with the New Zealand Qualifications Framework (NZQF). So you get to know that whether your qualification is applicable, with a corresponding New Zealand qualification type.

Another important point to note down is, while having formal qualifications is essential, you should have a strong command of spoken and written English. It is crucial and required for most job opportunities in New Zealand. In addition to English proficiency, it is typically required that overseas qualifications meet the standards set by New Zealand and are accepted by local employers when seeking employment in the country.

• Can I apply for New Zealand visa without a job?

Yes, you can apply for a New Zealand work visa without a job offer. One way is through the “open” work visas such as partners of a worker work visa, post-study work visa, working holiday visa. However, it’s important to note that most work visas require a job offer from a New Zealand employer. You can also apply for jobs without holding a visa. Job offer letters are essential, in order to obtain the right to lawfully work in New Zealand. It is required by employment and immigration laws.