Despite the report that Australian job advertisements dropped heavily in June, pointing to the likelihood of slower hiring in the months ahead:
- Australian job advertisements fell heavily in June, according to the ANZ Job Ads Index.
- Job ads in its series have now fallen in four of the past six months, seeing the annual increase slow to a near two-year low of 6.9%.
- The result fits with the moderation in Australian employment growth in 2018.
David Plank, head of Australian Economics at ANZ, said that this does not automatically follow that Australian unemployment will begin to increase. According to Plank: “It is important to note that job ads are still at a level consistent with continued jobs growth, just at a much lower level than occurred during 2017. This does not rule out a further decline in the unemployment rate, though progress on this front is likely to be slow.”
Nothing to panic about. Plank also suggests that the other labour market indicators like business conditions, consumer sentiment and ABS job vacancies all continue to point to a positive direction in the Australian job market.
In fact, the Australian IT job market continues to boom this year. It is forecasted that IT workers in Australia will increase to 722,000 in 2020 from 600,000 in 2014 but there is currently a skills shortage.
According to the figures, the demand is so high in the IT industry many employees don’t stay long in a role very long because they keep on seeing better opportunities in the market.:
- 71% of Australian CIOs say employee turnover among permanent IT professionals has increased over the last three years and is highest in large companies (83%).
- Of the CIOs who say voluntary employee turnover has increased, 46% say it’s because of more IT jobs in the market.
- The average tenure of permanent IT employees is now 4.6 years.
- Almost a third (31%) IT employees leave in two years or less, according to Australian CIOs.
- A research, which surveyed 160 Australian CIOs, reveals voluntary IT employee turnover is highest in large organisations (83%), followed by medium (77%) and small-sized organisations (52%).
According to Andrew Morris, Director of Robert Half Australia, “The technology market is booming, creating an abundance of opportunities for talented IT professionals as companies increasingly adopt new technologies that require specialised skillsets to manage them.”
The annual study was developed by Robert Half Australia and was conducted by an independent research company. The study is based on 160 interviews with CIOs/CTOs from companies across Australia, with the results segmented by company size, sector and geographic location.