Debunking Market Myths.
There’s no doubt that COVID-19 has had farreaching impacts on every aspect of New Zealand’s economy. Our Labour market is no exception. We see sensational headlines every day, many with conflicting messages.
year on year, in February 2022 ad volumes were up 40% and applications down 46%. With more and more baby boomers set to exit the labour market, and with the border re-opening enabling talented New Zealanders to move off-shore, the candidate shortage is having a profound impact on recruitment. Employers are seeing a dramatic reduction in the number of applications to online advertising and are recognising the crucial importance of networks, databases and the search process in their hiring approach.
THE GREAT MIGRATION OR THE BRAIN DRAIN The reconnection of the globe is putting further pressure on our talent short market. We expect to see the recommencement of international movement hit New Zealand’s talent market in the second half of 2022.
‘Candidate Shortage,’ ‘The Great Resignation’, ‘Great Migration’ and ‘Brain Drain’. So, what is actually playing out in the market and what can you expect to see for the remainder of 2022?
New Zealanders could already be getting ready to leave the
Broadly speaking, it’s taking longer to hire because there are
Of course, the opening of the borders conversely means that
working age population) in New Zealand who have not been able to travel for two years. Infometrics forecasts 40,000 country. In addition to this many more will soon head overseas for OEs, or be lured to Australia by higher salaries. Will New Zealand be a successful ‘net importer’ of talent?
significantly fewer candidates to choose from and those who
overseas talent – both relocators and returnees, can now come
are receptive to a conversation are looking for more money than
to New Zealand. However, with the visa application process
ever before. Employers are having to shift their expectations, and
facing the biggest backlog in New Zealand history, the inflow of
retaining the best talent is becoming a top priority for businesses.
talent could be significantly slower than the outflow.
CANDIDATE SHORTAGE
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There are 750,000 people in the 25-35 age bracket (20% of the
It’s also worth reflecting on our pull factors as a location. We need to work on ensuring we are offering better conditions than other countries / regions near us, like Australia and Asia. This
2021 was the year for the job hunter and this has not changed
means facilitating an easy pathway for senior professionals who
in 2022. During 2021 job listing numbers increased by 51%
may have families and their situations to consider.
