Unemployment set to rise

Ex-pat kiwis looking to return home may need to rethink their plans with unemployment set to rise sharply. The latest Hudson Report, Hiring Expectations says New Zealand’s employers don’t expect to be taking on many new workers in the coming months and many expect to cut staff numbers.

Under the headline ‘Employer hiring expectations tumble’, Niko Kloeten at The National Business Review writes; “Unemployment looks set to jump – a new survey shows 24% of New Zealand employers are looking to shed permanent staff in the next three months.” The NBR says the figures are the worst since the first Hudson Report was published in 1999.

Things are particularly bad in the IT sector. IT Brief (a trade publication) reports; “The sector has entered into a cautious phase as businesses around New Zealand continue to downsize, recruitment specialist Hudson says.” The company’s recent report showed the IT industry had experience a 28.4 percent decline.

In ‘Employers’ hiring expectations plummet’ The New Zealand Herald quotes Hudson executive general manager Marc Burrage saying; “”With cost and demand pressures on businesses mounting, some employers have had to rapidly reassess their workforce strategies. We are seeing some employers talking to their employees about reductions in salary levels or offering flexible working practices, such as job sharing, to help retain the talent they’ve worked so hard to develop.”