Job Seekers Out in Force: Job Applications Soar

Australian employers beware. Job seekers are on the move, posting 46% more job applications in January than at the same time last year according to SEEK Employment Index data released today.

Developed in consultation with Victoria Universityís Centre for Strategic Economic Studies, the SEEK Employment Index is the first Australian aggregate indicator to directly compare labour market supply with labour market demand.

The January data indicates that job seekers came out in force in the New Year, with job applications for new positions rising by 7.2% (seasonally adjusted) since December. Queensland experienced the sharpest increase at 10.6%, and nationally, job applications were 46% higher than a year earlier.

The number of new jobs advertised also remained high in January, holding steady with 0.6% rise since December in seasonally adjusted terms. A yearly comparison shows that job ads are 39% higher than they were in January 2005.

The resource rich states of Western Australia (5.9%) and Queensland (3.34%) led the monthly growth in new job ads, however even in Victoria and New South Wales job ads remain about 30% higher than they were a year ago.

SEEK CEO, Paul Bassat, said that job seekers are taking advantage of the buoyant market, coming out hard and early in their search for a new position.

ìThe number of applications job seekers posted for new positions was strongest in the first three weeks of January, when people were either dreading their return to work or they had just got back to their desks after a break.

ìConditions for job seekers are the best theyíve been in 30 years, and there are plenty of opportunities available for skilled and experienced people. The soaring job application numbers suggest that many Australian employees are not fearful of changing organisations and taking the next step in their careers.

Professor Peter Sheehan, Director of the Centre for Strategic Economic Studies said that with supply and demand both strong, the economy seems poised for continued growth in output and employment during 2006.

ìJob applications come from two sectors of the market, people who are looking to change jobs and those who are not employed and wish to enter the labour market.

ìGiven Australiaís steady and low unemployment rate we anticipate that people who are already working are contributing to the jump in job applications in January. If this results in increased staff churn within companies over the coming months it could translate into increased inflationary wage pressuresî, he said.