More jobs and higher pay on the way, Infometrics

The labour market continues to look healthy as employment numbers rise, according to the latest statistics from Infometrics.

The number of filled jobs rose 0.1 per cent between September and October, the ninth straight month of job gains.

Continued Covid-19 restrictions had not dampened the Auckland market, with a 3.9 per cent rise in employment in the city in October.

Brad Olsen​, Infometrics principle economist, said all signs pointed to a healthy job market being here to stay.

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“We are seeing jobs being created month-on-month, we are seeing the number of jobseekers falling week-on-week, and we continue to hear pressures from businesses that they need more workers, Olsen said.

“All of this points to an expectation that there does seem to be that pressure behind the labour market.”

Brad Olsen, principle economist at Infometrics said all signs point towards the job market having momentum needed for a sustained period of growth.

Bejon Haswell/Stuff

Brad Olsen, principle economist at Infometrics said all signs point towards the job market having momentum needed for a sustained period of growth.

Despite some businesses being worried about the wage subsidy winding down and the new Covid-19 traffic light system, they should not expect any significant changes in employment market any time soon, Olsen​ said.

“There is still caution in some businesses as to what these changes are going to mean. Certainly there were worries last time we saw wage subsidies removed, where business thought they would not be able to exist without Government support.

“At the moment though we are seeing job momentum [rising]. There is an optimism that we will continue to see a tight labour market, adding more jobs and putting pressure on wages,” Olsen​ said.

The construction industry had the biggest rise in jobs, up 8.6 per cent in jobs filled during the past year.

Professional services, health, and public sector employment growth also remained key to job growth.

Accommodation and food services also but at a notably slower rate.

The increased competition in the job market had led to wage bills becoming more expensive, with earnings per filled job rising 6.6 per cent on average over the last year, more than double the 10-year average of 3.1 per cent, Olsen said.

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