SEEK NZ Employment Report - May

NATIONAL INSIGHTS

• Job ads fell 5% in May and are 30% lower year-on-year (y/y).
• After rising for seven consecutive months, applications per job ad remained steady in April*.

REGIONAL INSIGHTS:

• Taranaki (3%) and West Coast (39%) were the only regions to record a monthly rise in job ads.
• Compared to May 2023, job ads have declined the most in Marlborough (-46%) and Wellington (-42%).

INDUSTRY INSIGHTS:

• The Construction sector led the monthly decline in jobs ads, with Engineering roles dropping 12% month-on-month (m/m).
• Call Centre & Customer Service (2%) and Sales (1%) were among the few industries where ad volumes increased in May.

*Applications per job ad are recorded with a one-month lag and data shown in this report refers to April data.

Of the May data, Rob Clark, Country Manager SEEK NZ, says:

“It is an incredibly tough labour market at the moment, and SEEK data reflects that, with declining ad volumes in most regions and in all sectors.

“Construction jobs fell the most in May, and have recorded the greatest decline this quarter, with jobs in Engineering and Construction some of the industries most impacted.

“We know there have been major cuts to the public sector and in May this was mostly felt outside the major metro regions, with a 7% decline in regional public sector roles month-on-month.

“Applications per job ad, which measures competition among candidates for vacant roles, did not grow or decline in April and remain exceptionally high. This is particularly true for roles in Manufacturing, Transport & Logistics, Construction and Trades & Services.”

NATIONAL INSIGHTS

Job ads fell by 5% in May, making it the fourth consecutive month of job ad decline. Ad volumes remain 30% lower y/y, and are 25% lower compared to May 2019.

Job ads declined most outside of the urban centres (-6% m/m) compared to the cities (-4%).

Applications per job ad remained steady in April and are now 69% higher than the same time last year.

REGION INSIGHTS

Most regions recorded a decline in job ads in May. The largest declines in the larger regions include Hawkes Bay (-9%), Waikato (-7%) and Bay of Plenty (-6%).

In May the smaller regions declined to a greater extent than the metro cities, due mainly to the decline in public sector jobs, which fell 7% m/m.

Taranaki (3%) and West Coast (39%) were the only regions where job ads rose m/m, and the latter appears to be a resettling after a decline of 36% the month prior. In Manawatu there was no change m/m.

When comparing year-on-year, all regions have recorded job ad decline, the greatest being Marlborough (-46%) and Wellington (-42%).

Applications per job ad increased in Auckland (2%) and Wellington (4%) but declined in Canterbury (-4%) and Otago (-9%).
 

INDUSTRY INSIGHTS

Job ads fell in most industries m/m, but a slowdown in hiring in the Construction sector, including roles within the Engineering (-12%) and Construction industries (-8%) led the decline.

Notably, after the announcement in March of a restructure to postal services at NZ Post, ad volumes for these roles fell 18% in May.

Some job ads rose m/m, including Sales (1%), Call Centre & Customer Service (2%) and Legal (3%).

Applications per job ad rose to small degrees in most industries but jumped substantially in Hospitality & Tourism (27%). A 9% rise for applications per job ad in Manufacturing, Transport & Logistics roles brought levels to record highs, some 43% higher than levels recorded in 2019.
 

The data found in this report can be viewed and downloaded here.

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