Employment intentions remain positive although growth is slowing, and the real estate industry isn’t doing too badly considering the state of some housing markets, a new report has found.
“Overall the economy is growing, however it has slowed in recent months following the financial debt issues being experienced by America and parts of Europe,” said Michael Emerson, head researcher of the MyCareer Employment Forecast report.
“Compared to any other first world country, Australia is holding its ground very well in the economic stakes,” he continued.
“Australia’s interest rates are quite high and the Reserve Bank could further cut them at any time if required”.
The report said employment intentions remain positive, with the annual rate of jobs growth reaching 1.3 per cent by August next year. Yet the report’s Candidate Environment index suggests a softening in demand.
“Salaries continue to grow, but growth is slowing and salaries growth for managers/professionals has been surprisingly weak,” it said.
“After a strong 2010, particularly for professionals and management positions, in 2011 the mood is more somber and a degree of caution has crept in,” Mr Emerson said.
“In terms of the overall outlook, this caution has translated into lower business confidence which is impacting the jobs market. With employment intentions lower but remaining positive (+6.6) in June 2011, the jobs outlook is positive with the forecast expected to grow by 1.3 per cent by the end of August 2012.”
Around 241,000 full time positions were added to the Australian economy to August this year, and will grow by 1.2 per cent to August in 2012.
“Part time jobs are also forecast to continue to grow as employees value the flexibility and increasing numbers of people prefer to work part time to suit work and lifestyle balances,” the report said.
In terms of the real estate industry, it “has been holding up reasonably well despite the softening in the housing market.”
“Demand in the commercial property side also continues to be quite good with jobs growing.”
On a mainland state-based level, the report found that NSW would see job growth of 0.9 per cent to May 2012 on the back of slower economic growth; jobs would grow by 1.6 per cent in Victoria in the same period after a strong 2010; the job market would improve in Queensland after the floods, and should be growing at a rate of 2.9 per cent by next May; the mining sector would continue to drive Western Australia’s job market, rising by 2.3 per cent to August 2012; while South Australia’s jobs market is forecast to continue to grow at the slower rate of 0.5 per cent in the year to August 2012.