Australian workers’ confidence in finding a new job has continued to tumble, falling to its lowest level in 18 months, according to the latest labour mobility index by specialist recruitment and HR services company Randstad.

The index continued to fall in the December quarter, dropping one basis point from 101 the previous quarter to 100. However, the declining trend appears to be easing following a steep 10-point fall over the previous two quarters, after reaching a lofty 111 points at the beginning of last year.

Although the downward momentum appears to be slowing, the index is 7 points lower than it was in the corresponding period last year, indicating workers are exercising caution in times of economic uncertainty.



Randstad’s mobility index tracks changes in the expectation of workers to be employed elsewhere in the next six months. It is measured every quarter as part of Randstad’s Workmonitor, which provides a comprehensive understanding of job market sentiments, as well as a rotating set of themed questions relating to trends in the job market.

The Workmonitor also found 9% of Australian workers are actively looking for a new job and only 3% are concerned they may lose their current job.

Randstad CEO Fred van der Tang says economic instability and reduced worker mobility tend to go hand in hand, as workers feel safer staying with their current employer.

“With the Australian economy continuing to feel ripples from overseas economic instability – the most recent being the announcement of further job cuts in the banking and finance sector – it’s natural to see workers taking a cautious approach, and bedding down in their current roles,” he said.

However, Mr van der Tang says there are signs of confidence emerging.

“The research found only 3% of workers are concerned about losing their job, which is lower than we’ve seen recently. This suggests a kind of tug-of-war is occurring between the opportunities created by a tight labour market and the uncertainty of global economic conditions,” Mr van der Tang says.

“Employees recognise the labour market pendulum is still favouring them, with the skills shortage continuing to create opportunities and drive up salaries, but uncertainty over the Eurozone crisis means, in certain industries, they are a little more cautious than they were at the same time last year.”

Mr van der Tang said it is important for employers to adapt their hiring approach to suit the current conditions.

“Employers seeking to attract talent may need to be more creative and should focus on improving and promoting their employer brand. It’s not always about the money. There are plenty of other things employers can do to entice talent to their door.

“The best employers offer a broad package of benefits and incentives, such as training and development opportunities, a good work/life balance and flexible working options.”

Global Comparison

In a global context, Australia ranked eleventh for actual mobility, with 17% of Australians having changed jobs in the previous six months. The countries that experienced the greatest mobility in the labour market were India (41%), China (36%) and Brazil (25%).

The December quarter Workmonitor also found, of Australian workers:

•    66% feel their performance is not reflected in their salary
•    60% are happy to work a further two years beyond retirement age
•    46% are expecting a pay rise
•    51% expect improvements in their employer benefits
•    69% are satisfied or very satisfied about working with their current employer
•    11% are dissatisfied or very dissatisfied about working with their current employer
•    17% had no fear of losing their job

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