Hays Human Resources - January 2008

Hotspots

As businesses continue to thrive, the general growth of the recruitment market has created a shortage of HR specialists.

The hotspots of most demand vary across the country from state to state. Queensland is seeing a demand for remuneration and benefits contractors, business analysts, HR officers with two to three years experience and HR administration temporaries. While the immediate need for remuneration and benefits contractors is driven by remuneration reviews, there is always a shortage of these candidates. Business analysts are needed as they are tasked with improving HR processes and procedures.

Demand in both Sydney's metropolitan area and Western Australia is focused on internal recruitment and generalist HR advisors with between three and five years experience, with recruitment usually a key part of the remit since many companies are experiencing rapid growth and require someone with previous experience establishing a HR function.

With retention a priority, both NSW and Victoria are continuing to see companies focus on learning and development, with a need for instructional designers, and learning and development specialists.

Melbourne and Newcastle are seeing an increasing demand for entry to mid level occupational health and safety candidates with tertiary qualifications and three or more years experience.

Similarly to Queensland, Newcastle also requires HR administration temporaries since HR projects are being implemented this quarter, and require short-term assistance.

The coming quarter

Vacancy activity will recommence over this quarter, following the holds of December. Given the level of HR requirements and general growth of businesses, the market will continue to be very busy.

Permanent and temporary learning and development candidates are a constant requirement across all industries, due to initiatives to improve staff training and the streamlining of operations, and we expect the recruitment of these staff will be a key focus for businesses over the quarter.

We expect a continued need from medium sized employers implementing their first internal HR function. These employers require stand-alone HR professionals, which will ensure the demand for these skills remains high over the quarter.

Companies are finding they need to adapt their vacant role to attract the best candidates. For example, in NSW many internal recruitment roles have been remodelled into HR generalist positions, where 40-60 percent of the role involves recruitment and the remainder is project based so that candidates can develop their skills across the board.

With companies constantly looking at ways to be more attractive to candidates, we have recently seen suburban organisations offering to pay motorway tolls, which has been very well received.

Executive recruitment

HR executive roles are centered geographically in Sydney and Melbourne head offices, although we are also seeing an increase in HR management roles in Perth brought about by the creation of new roles and movement in the market.

Executive movement traditionally increases this quarter following the allocation of bonuses, although these candidates are very specific about the content and reporting structure of their next role and with employers just as particular, the recruitment process can take time.

Salaries

Some national organisations are implementing consistent salaries across the country, which is helping to align nationally salaries.

New South Wales and Western Australian salaries increased substantially over the last six months, with a plateau expected this quarter. The only exception is expected to occur for occupational health and safety candidates due to the increasing demand for experienced staff.

However in Victoria and Queensland salaries need to increase in order for employers to secure the talent they want. For example, employers are genuinely surprised when advised that HR graduates are being offered $50,000 for their first role, and that to secure an HR advisor they need to increase their salary higher than they had anticipated.

Candidate trends

Queensland's candidate levels have remained stable since August, while Western Australia's candidate pool has increased at the entry and senior levels, with the notable exception of HR advisor candidates. Victoria has seen an increase in the number of generalists in the market but a downturn in learning and development, remuneration and benefits and occupational health and safety specialists. Meanwhile NSW requires more HR generalists with experience in establishing a HR function, along with learning and development specialists and recruiters for long-term contracts.

With candidates generally able to pick and choose from a selection of roles, many make their decision based on the work environment, benefits offered and proximity to home.

Candidates are more knowledgeable and certain about the types of organisations they want to work for. They understand which sectors are booming and benefits such as work/life balance, performance bonuses, career development, flexibility around hours and location (for example working from home options) are all featuring more prominently when deciding on a role.

In addition, many candidates now request roles with companies that have a strong corporate social responsibility policy.

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