A recruiter says the region's falling unemployment rate could be rocked by the vaccine mandate. Photo / Getty Images
A recruiter says the region's falling unemployment rate could be rocked by the vaccine mandate. Photo / Getty Images
The Bay of Plenty's low unemployment rate could climb if a large number of workers decide not to get vaccinated before mandate deadlines, a recruiter says.
The comment comes as Stats NZ's latest figures show the unemployment rate for the Bay of Plenty in the September quarter dropped to 3.8per cent.
This was 0.1 per cent lower than the same quarter last year but slightly higher than the 3.6 per cent recorded over the same period in 2018.
The lowest recorded unemployment rate for the region was 2.9 per cent in 2007.
The vaccine mandate requires high-risk workers in the health and disability sectors to be fully vaccinated by December 1. Schools, early learning staff and support people who have contact with children and students are required to be fully vaccinated by January 1.
Tauranga-based The Staffroom Ltd director Jill Cachemaille. Photo / NZME
Tauranga-based The Staffroom Ltd director Jill Cachemaille said the business had been contacted by people working in those sectors who were looking for employment in different fields as a result of the mandate.
"However, the success of those applicants finding new employment totally depends on whether other businesses implement the new vaccine mandate."
1st Call Recruitment managing director Phil van Syp. Photo / NZME
Staffroom Ltd consultant Natalie Brant said job listings had increased over the past 12 months.
"With the lack of international people relocating, it has opened the job market to many New Zealanders who are being offered these opportunities."
Brant said 12 months ago there was an influx of candidates looking for employment.
"Many from the hospitality and travel industry had lost their jobs to Covid so we saw a huge amount of people coming through.
"Now it is a role reversal – it is a candidate's market."
1st Call Recruitment managing director Phil van Syp said employers usually hired people based on their skills but now vaccination status could soon become a factor.
About 60 per cent of clients required candidates to be vaccinated, he said.
"People (who choose not to be vaccinated) are going to find it extremely hard to find employment."
There was an abundance of jobs but not enough workers.
"We could easily do with about 100 people right now," he said.
Rotorua-based Top Staff Solutions managing director Kirsten Bangs. Photo / NZME
Rotorua-based Top Staff Solutions managing director Kirsten Bangs thought Rotorua's unemployment was probably higher than the regional figure.
Bangs said she was expanding her business due to market demand and the expected rise in job seekers as a result of the vaccine mandate.
"It's going to make recruitment really busy... unemployment will take a bit of a hike as well."
There was still a high number of unvaccinated people and if they were to lose their jobs businesses were going to need to fill those positions with vaccinated people, she said.
Bangs said a lot of people were rewriting their health and safety policies to include proof of vaccination.
"I don't feel people will have a choice. People are just going to have to comply or not have a job."
The Staffroom Ltd consultant Natalie Brant. Photo / Supplied
Rotorua-based Talent Id director Kellie Hamlett said the job market was "incredibly tight".
"Compared to previous months, we were receiving a lot more job applications than we are now."
However, Hamlett did not think the new vaccine mandate would have much of an impact as people would find employment elsewhere.
"People who lose staff will be crying out for staff that will be hard to replace and on the other side that will create a bit of movement in the market to place those people into other roles."
Priority One's skills and employment hub Ara Rau had placed 185 jobseekers into employment or training in the first 10 months.
Priority One chief executive Nigel Tutt did not believe the vaccine mandate would have a major impact on the unemployment rate but said there would not be many options for displaced staff.
Tutt believed the unemployment rate in Tauranga and the Western Bay was between 0.5 per cent to one per cent lower than the region as a whole.
"We have reached a very low point of unemployment, and one that is putting local businesses under pressure."
Tutt said feedback from nearly all sectors was the employment market was "very competitive".
Tauranga Chamber of Commerce chief executive Matt Cowley. Photo / NZME
Tauranga Chamber of Commerce chief executive Matt Cowley said members reported that it was taking an average of three to six months to fill vacancies.
"Everyone I speak with says their greatest challenge is hiring and retaining staff.
"The combination of near-zero immigration and significant government stimulus has stretched our existing labour market. It will get worse if we lose people to Australia for higher incomes and less restrictions.
"As we have labour shortages across the board, anyone who is let go from work because they are not vaccinated will likely find other work with a place that does not have the same vaccination requirements."
Rotorua Business Chamber chief executive Bryce Heard said the region's 3.8 per cent unemployment rate was "implausible" for Rotorua.
"Low unemployment implies a strong and growing economy.
"While some parts of our economy are strong including forestry and farming, a major part of our economy, related to tourism, travel, events, retail and hospitality is under unprecedented stress."
