NZ: Job ads rose 3.1% in August - ANZ

Sharon Zollner, Senior Economist at ANZ, notes that the NZ’s job ads rose 3.1% in August (seasonally adjusted) – the seventh consecutive monthly lift – to be 12.1% higher than a year ago (3-month average) signifying a strong labour market.

Key Quotes

“Internet job advertising lifted 2.0% in August (sa), while newspaper job advertising, which is much more volatile amidst a declining trend, rose 22.0% m/m (sa).

Auckland job ads are 14.1% higher than a year ago, and Wellington job ads are up 11.5% y/y in what has been quite a spectacular turnaround in 2016. The slowdown in the rebuild effort continues to weigh on the Canterbury labour market, with job ads 8.8% lower than a year ago (3- month average).

Less urbanised regions continue to experience very strong growth in labour demand. Annual job ad growth in the Waikato is 21.9%, Hawke’s Bay +21.0%, Manawatu 16.6%, and Otago 15.3% y/y. That’s a sign of broad-based growth across the economy.

Employment demand is clearly strengthening rapidly. Despite solid growth in labour supply, skill shortages are set to become an increasing challenge for businesses.”