Media releases
Labour market remains tight despite easing shortages
Thursday 22 December 2005
Two Department of Labour reports released today showed that employers may be finding it easier to recruit suitable candidates than they did a year ago, but the labour market remains tight.
"A slight easing in the labour market is predicted in the year ahead, but the low unemployment rate continues to impact on business and industry," Deputy Secretary Martin Scott said.
"The Department's focus continues to be on addressing skill shortages through a range of measures from increasing productivity, attracting skilled migrants and expatriates to New Zealand who can contribute to economic growth, as well as input to training and education initiatives."
The Department's quarterly Skills in the Labour Market report released today showed that a shortage of labour remains a constraint on economic growth.
"With unemployment at 3.4%, and the economy still going strong, skill shortages continue to be apparent across most industries and regions, to varying extents," Mr Scott said.
At the same time, employers are under less pressure than they were last year. The Department's Job Vacancy Monitor showed a 3 per cent decline in vacancies advertised in November 2005 from November 2004.
This is the second consecutive month in which an annual decrease in job vacancies has been measured. In October, the number of job vacancies advertised in newspapers across the country fell by 3 percent compared to the previous October.
This trend was apparent across all skill levels including highly-skilled occupations such as engineering as well as skilled and semi-skilled/elementary occupations.
The IT sector moved against the trend and again measured strong growth in vacancies. There were 24 percent more IT vacancies measured in November compared with the same month in 2004.
"This reflects a growing gap between demand for, and supply of, IT skills," Mr Scott said.
The Job Vacancy Monitor is a monthly, one-day analysis of job vacancies
advertised in 25 newspapers and selected websites.
ENDS
Regional information
| Region |
Change December 2004 to December 2005
|
Change November 2004 to November 2005
|
|---|---|---|
| Auckland | -4% | -2% |
| Bay of Plenty | 22% | 26% |
| Canterbury | 5% | 4% |
| Gisborne | 27% | 16% |
| Hawke's Bay | 5% | 6% |
| Manawatu - Wanganui | 9% | 10% |
| Marlborough | 0% | 3% |
| Nelson/ Tasman | -13% | -14% |
| Northland | 29% | 34% |
| Otago | 6% | 9% |
| Southland | 7% | 9% |
| Taranaki | 21% | 25% |
| West Coast | 47% | 41% |
| Waikato | 8% | 8% |
| Wellington | 11% | 12% |