Market Overview

The employment market in Australia continues to be impacted negatively by both global and domestic economic conditions. China continues to slow slightly, the US continues to grow at a moderate pace, and the Euro area remains in recession with some signs of stabilisation. Accordingly, domestic economic conditions have been dramatically impacted by the slowdown in the mining sector, with Western Australia and Queensland experiencing significantly changed market conditions. In many of the major mining businesses, leadership teams have changed and the focus has shifted to tighter capital management and cost control. This shift of focus has further compounded the overall slowdown in the sector and this is flowing through to the broader economy, lowering confidence levels and further weakening the employment market. These weaker conditions and lower confidence levels, combined with the ongoing strength of the Australian dollar relative to historical standards, supported the Reserve Bank of Australia’s recent decision to cut interest rates to the lowest level seen for many years in an attempt to stimulate growth. Accordingly, wage growth is expected to be moderate with average salary increases in line with inflation. In these market conditions, businesses need to remain focused on talent management to ensure their best employees are retained as conditions improve.

Apply now