47% of employers to increase permanent headcount – here’s where
Almost one-half (47%) of Australian employers intend to increase permanent staff levels in the next 12 months, according to recruiting experts Hays.
Based on findings in the recruiter’s FY21/22 Hays Salary Guide, 15% of the close to 3,500 employers surveyed also intend to increase their use of temporary or contract staff.
Together, Hays notes, this represents an impressive volume of opportunities for skilled professionals.
Life Sciences, legal and contact centres lead permanent jobs growth
But not all industries and sectors will see headcount growth at similar levels.
With the life sciences industry continuing to fight coronavirus, 61% of life sciences employers intend to increase permanent staff levels over the coming year.
Following close behind is the legal sector, where 59% of employers will add to their permanent headcount. Permanent vacancy growth is also notable in the contact centres (58%), technology (57%) and both engineering and human resources (56%) sectors. Architecture, construction and insurance (all 54%) and retail (52%) also have strong hiring intentions.
Rapid recovery underway
The Hays Salary Guide shows that unemployment has continued its downward trend. According to the data, almost three-quarters of employers say permanent staffing levels are either above (29%) or equal (45%) to their pre-COVID-19 level.
In addition, 63% of employers have returned to growth or rapid growth and 72% say business activity will increase over the next 12 months.
Furthermore, 67% of employers are optimistic about the wider economic climate and the employment opportunities it may create in the next two to five years.
Talent shortage imminent – ACT and WA will be hit hardest
64% of employers say skills shortages will impact the effective operation of their organisation or department in the next 12 months.
The looming threat of skills shortages is more acute in certain locations than others. The ACT and Western Australia are facing the greatest impact, according to employers, as skills shortages spread across these location’s quicker than others.
In the ACT, 74% of employers say skills shortages will impact the effective operation of their organisation. 75% say permanent staffing levels are above or equal to pre-COVID-19 levels and 51% expect permanent staffing levels to increase in the next 12 months.
Meanwhile, in Western Australia, 74% also say skills shortages will impact the effective operation of their organisation. But 80% say permanent staffing levels are above or equal to pre-COVID-19 levels and 47% expect permanent staffing levels to increase.
“Stronger than anticipated” recovery
“Pleasingly, Australia’s economic recovery is stronger than anticipated,” says Nick Deligiannis, Managing Director of Hays in Australia & New Zealand. “Fiscal stimulus and control of the spread of COVID-19 has helped to create a jobs market recovery, with employers navigating their way out of the pandemic and reinvesting in headcount growth.
“However, acquiring top talent with the right skills is not as easy as it first seems. An old challenge has reared its head once more – skills shortages.
“With hiring activity increasing, the supply and demand imbalance has now tipped firmly in favour of skilled professionals.
“While employers have so far managed the shortage, they are reaching their turning point. In the next 12 months, almost two-thirds say skills shortages will impact the effective operation of their organisation or department.
“There’s also a small but notable number – 22% – who do not believe they have the talent required to achieve their organisation’s strategic objectives.
“This skills imbalance is a substantial treat to those organisations that continue to invest in projects and headcount to return to, or cement, their growth,” he said.
The Hays Salary Guide is based on a survey of close to 3,500 organisations and more than 3,800 skilled professionals.