For many workers, the wait is over. They've hung on to their jobs through the recession and restructurings despite wanting to jump ship long ago. Now the economy is on the mend they're itching to go. But it's still a tough labour market and as managing director of Hays New Zealand Jason Walker explains, only candidates who really impress will come out on top.
"The skill you need to learn and develop is having a look at your skill set and how that skill set is going to benefit the organisation you're going to work for," Walker says.
Candidates changing jobs post-recession will notice a very different job interview than they would have experienced just 18 months ago. Walker says don't expect employers to try to sell the prospect of coming to work for them. The shoe is on the other foot.
"It really means having a good handle on where you can demonstrate the key objectives and outcomes that employer is looking for. Find something that is going to reduce costs, add to productivity, and improve the quality of the business they're operating or add to the culture of the business."
Employers have raised their expectations. Most are not interested in graduates who lack industry experience or migrants without local experience. Even returning OEs will find it difficult if they don't have relevant local work experience. Employers aren't just looking for someone with all the skills and experience who can hit the ground running. They're looking for candidates with that extra something special.
"Those candidates that employers want and who they need to work in their business have been hanging on to their current job for the last 12 months," Walker says.
They are survivors and best placed to find new opportunities.
"There is a high value placed right now on those who have actually worked through the recession and have maintained and stayed very productive throughout those times. Those are the candidates that are highly sought after and that's why they're considering their options."
These survivors have seen co-workers made redundant, they've likely missed out on career development and had to take on extra work.
"The currency at the present time is that you have been successful and you're wearing the shirt that says, 'I survived the recession and all I have left is this shirt'."
Employers who lose these top performers will have a hard time replacing them and could notice a significant disruption to their business.
"We are going to see a lot more churn. We're going to see a lot more organisations trying to implement programmes to retain their talent because there are going to be significant numbers looking to move on."
A recent Hay survey asked candidates if they knew anyone looking for vacancies or wanting to move from their present role.
"More than 50 per cent knew of individuals who were looking to move within the next six months [or overall]."
Walker says many candidates who were staying put for security now felt confident enough to put out feelers. Turnover has noticeably declined and employers struggled in the downturn. Redundancies, restructurings and redeployments have meant little opportunity on the job front. Meanwhile, employers also cut graduate programmes, training and career development.
"There really has been a fairly tough culture across most of New Zealand with employers which has impacted on teams. It's impacted on individuals. And right now, because there is a lot more positive press in the marketplace, these individuals or potential candidates have started to feel a little bit frustrated that they're not getting the development or career opportunities which were available 24 months ago."
But it's not a bold boom in new opportunities. Walker says the job numbers vary each week depending on what's in the media, what's happening overseas or even what's happening with the weather.
"We do find [during] this time of year that there is a peak in recruitment through the summer months."
We could possibly see a "jobless recovery" where the unemployment rate stays about the same and there are virtually no new jobs created.
"I think employers have done a great job in retaining the skilled talent they have onboard. But it doesn't necessarily mean they are going to need to recruit over the next six months because they've got the ability to take on capacity and increase productivity with the people they have."
But since most New Zealand businesses are small to medium-sized, they are already running on bare bones. If they decide to take on more staff with the economic upturn, they are going to be very conservative.
"When they're making their next recruitment decision, they are going to be a lot more careful because they need to make the right decision. The salary of that individual has to be met with increased productivity right across the business."
Walker says the churn is most prevalent in the construction industry because of a slight increase in the residential housing market.
Demand has also increased for administrative support.
"Individuals need to be multi-skilled. They need to be the sales PA, the director's PA as well as the key administrator."
People are moving back into jobs at their appropriate skill level where they might have just taken what they could get during the recession. But the employment climate is still a long way from where it was.
"Eighteen months ago we found candidates looking to move predominately for salary and to some extent it was a bit of a bidding war. There was a lack of real talent in the marketplace so you could move every six to 12 months, if you were that way inclined, to get a salary increase."
Nowadays, Walker says candidates are looking more for training and development as well as culture and atmosphere. They know finding a salary increase will be difficult.
"They're quite happy to move for the same salary. So they'll move as long as the conditions are a lot better than where they are currently and there's a potential to develop and build their careers forward."
Bridget Beattie, regional general manager at Right Management, agrees that churn will increase. Staff turnover is going to go from involuntary to voluntary. Their surveys show 57 per cent of Kiwi workers are now disengaged from their jobs.
"When the economy is tight and competition is greater than ever, companies are even more dependent on the discretionary effort of their people. They need them to do more than simply turn up. Yet a large proportion of the workforce is struggling to feel any connection with their employer or their job," Beattie says.
Organisations which allow their workers to become disengaged risk losing them.
"Now that New Zealand has moved out of recession and the job market shows signs of recovery, those people will feel more confident about making a move elsewhere," she said.
It's good news for recruitment companies. Momentum Consulting Group in Auckland has reported its performance as a company is back to pre-recession levels. General manager Howard Ross says they have noticed an increase in contracting and fixed-term contract roles which signals the first stage of a recovery.
"A number of organisations have realised that they under-resourced during this period and staff have reported being very tired at this time of the year. Under these conditions we are expecting that many people will take advantage of an improving market to look for new opportunities," Ross says.
Momentum has heard from candidates who have said they have been asked to work much harder than they ever have before.
"Given the economic conditions, many staff have been under huge pressure, having to cover for other jobs that were not filled for economic reasons and this has created considerable stress in some organisations."
Those top performing survivors are the ones who are now in a position to call the shots, Ross says.
"The best candidates are getting more than one offer and if the potential employer does not move quickly, they will lose out. This has not happened on a regular basis for quite some time."
* Contact David Maida at www.DavidMaida.com
Job market clouds clearing
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