In March this year we put out our first economic and labour market report in collaboration with NZIER. In September, we released a supplementary update on this report, highlighting the changes throughout the year. Now, thanks to our relationship with NZIER, we've had the chance to sit down with NZIER Senior Economist, Christina Leung, to get her insights on the New Zealand economy, and its impact on the job market.
Christina spoke to our CEO Liza Viz the current economic climate, how this affects the regions, and what sectors have been most successful over the past year. Christina touches on whether it's a good time for employers to be looking for talent, and the importance of employees keeping their skills relevant. Watch the video below for more.
Liza also asked Christina about the concern that many New Zealanders have about what's going on globally, particularly in China. Christina states that although China's growth has slowed, there has been a shift in the type of growth occurring: from investment to consumption. This bodes well for New Zealand as a producer of high value goods. Christina also commented on the Auckland housing crisis, and the impact it has had on both policy and people. For more of Christina's thoughts on this, and on the employment situation in the current economic climate, watch the video below.
On the Ground
For both employers and employees, our approach to the market and the way we brand ourselves is vital to standing out and being successful. Everyone wants to be seen as the best employer, or a top talent. So how do we make sense of the economic and labour market data, and find out how it can help us optimally position ourselves in the current climate? Here are my key takeaways from working on this report.
The market has proven difficult and challenging for many employers nationally. Intense competition for talent has continually grown over the year, particularly across specialist technical and highly skilled professional job types. We are aware that capability and capacity to deliver is one of the most prevalent challenges cited by many managers as they look to HR for talent solutions. Remuneration is under pressure and organisations are starting to move on HR strategies to strengthen retention and bolster their employment attractiveness.
When economic uncertainty grows some employers choose to decelerate hiring. Conversely, savvy employers looking at the forecasted long term skill shortages are working hard to make the most of securing the best talent. Those that continue to secure top talent at these times often enjoy a long term increase in productivity as a result.
This may well be a defining year as pressure is mounting on employers to move on remuneration.
Outside of the sectors facing more intense skill shortages, wage inflation has remained low for the year.
Consequently employee loyalty continues to erode, and there is increasing movement across most role types. So long as we don't see massive economic down turn, remuneration and benefits are set to move.
We continue to suggest you do careful research before making your move, as many employers are finding it difficult navigating and leading their businesses forward. We strongly recommend continued skill development in this market to make yourself attractive to employers.
Many thanks to Christina for giving us her insights and being a part of this blog. Christina spoke to us at the recent Harold Hillman Leadership Event in Auckland. At the same event, Liza sat down with Harold Hillman to talk leadership, authenticity and finding your voice. We'll have more from that in a couple of weeks time, with the first installment in our new leadership blog series 'Beyond Leaders'.