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Effect of Australia’s Low Unemployment Rates On Hiring and how EPG Staffing can help

Last month, hiring in Australia picked up, driving the unemployment rate down to its lowest level since the mid-1970s. However, the number of jobs created was well below economist forecasts, indicating that the country’s labour market is still struggling to gain momentum.

Underemployment, which measures the number of employed workers who would like to work more hours, fell to its lowest level since September 2008. This suggests that businesses are starting to increase hours for existing staff rather than hiring new employees.

So what does this mean for the employers who are actively looking for workers to fill open positions?

Increased competition: one of the most immediate effects of low unemployment is increased competition for workers. Finding quality workers may become more complex over the coming months as more businesses are vying for a smaller pool of eligible candidates.

Rising wages: with more businesses competing for workers, wages are likely to increase. This is good news for employees but may pressure employers’ bottom line. This is already starting to happen in some industries, such as construction and mining.

Hiring freezes: some businesses may choose to halt hiring until the labour market improves. This could lead to a decrease in job openings and an increase in unemployment, at least in the short term.

What does this mean for employers?

To offset the effects of rising wages, some businesses may choose to invest in new technologies that improve efficiency and productivity. This could create new opportunities and offset job losses caused by technological advances in the long term. Unemployment may also encourage businesses to invest in training and development programs to prepare employees for the future better.

What does this mean for job seekers?

If you’re looking for a job, now is an excellent time to be on the market. Unemployment is low, and competition for jobs is high, giving you more bargaining power regarding wages and benefits. However, don’t expect to have your pick of the jobs market. You may need to be more flexible in your job search and be prepared to accept a position that is not exactly what you’re looking for.

How can EPG Staffing help?

EPG Staffing is a leading global provider of staffing and recruiting services. We can help you find the right employees for your business and aid you in navigating the ever-changing labour market.

We provide rapid mobilisation of workforces in new territories and bespoke staffing solutions that take on associated employment risks. And because we’re a global company, our staffing services can scale with your business – giving you the peace of mind that your employees are in good hands, no matter where in the world you’re expanding to.

We offer a full range of staffing services, from Employer of Record and Managed Service Programs to Professional Search and Contingent Workforce Solutions.

We also focus on offshore staffing, helping you stay ahead of the competition and access a larger pool of qualified workers.