NSW, ACT, QLD Employment Markets Soften in June

The SEEK Employment Index
A consistent picture of softening employment market conditions in New South Wales, Queensland and the ACT was evident in June, as increases in job applications received outweighed the number of new job ads posted.

Nationally the SEEK Employment Index (SEI), which measures the ratio of new job ads to job applications, fell by 5.1% (seasonally adjusted) for the month, to be 21% lower than a year earlier. This was the seventh consecutive monthly fall in the Index.

Employment market softening was greatest in NSW which experienced a significant 7.7% drop, followed by Queensland (-6.9%) and the ACT (-6.2%). Western Australia (up 2%) was the only state to experience a tightening of the SEI in June.

Job Advertisements
The number of new jobs advertised decreased nationally in June by 3.8%, offsetting the rise in May of 3.3%. Overall new job ads are 10.4% higher than June 2007.

Significant drops in the number of new job ads in the past month was seen in NSW (-5.2%) and South Australia (-5.8%) in June compared to the large increases seen in these states last month (4.9% and 10.7% respectively), suggesting a slowing demand for labour.

Queensland jobseekers enjoyed the greatest increase in job ads posted last month (up 1.4%).

Job Applications
Jobseeking activity increased again in June with total applications for jobs placed with SEEK in response to advertised positions rising by 1.3%. This increase was on top of substantial growth in the previous three months.

Queensland experienced the biggest increase in job applications received for the month, rising 8.3%. Western Australia was the only state to record a drop in application numbers (-1.1%).

Commenting on the results, SEEK Joint CEO Paul Bassat said:

ìThe softening labour market observed in June in NSW, ACT and QLD could be attributed to the busy end of financial year period. Recruiting and hiring at this time of year are not necessarily high priorities with many businesses examining their HR requirements following planning for the new year and employee reviews.

ìFrom a jobseeker point of view, job applications increased again in June. It could be that rising grocery, petrol and energy prices along with concern about interest rates is leading many people to explore other working options.

ìJobseekers are competing strongly for roles in the manufacturing, accounting and hospitality fields. On the other hand, we are witnessing strong demand from employers in a wide range of industries spanning everything from construction to legal to government to healthcare so there are definitely job opportunities out there.