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Australia – Contingent work up nearly 20% in September quarter, report finds

23 October 2020

The number of casual job opportunities in Australia rose by 19.5% over the September quarter, according to the latest Sunsuper Australian job index. At the same time, contingent jobs, as a percentage of total employment vacancies, is at a record high at 33.2%

The Sunsuper Australian job index is the first and only Australian jobs report to split data between permanent and contingent (i.e. temporary, fixed term contract and casual) job vacancies.

Meanwhile, over the last three months permanent work rose 12.6%.

Overall, the Sunsuper Australian job index rose by 14.8% in the September quarter compared to the previous quarter, evidence of some recovery in hiring new staff. However, the Index still remains nearly 40% lower than the same period last year.

“Although we’ve seen a strong recovery in permanent job opportunities this quarter, rising 12.6%, the stronger recovery was actually in contingent or casual work, which rose nearly 20%,” Sunsuper’s Chief Economist Brian Parker said. “Also, the ratio of contingent job advertisements as a percentage of total advertisements is now 33.2%, the highest in the history of the Sunsuper Australian job index, which highlights employers’ preference towards flexible staffing arrangements in uncertain times.”

Parker noted that there was an enormous variation in the movement in job vacancies by occupational group in the September quarter. Both manager and clerical roles grew 12% and 14% respectively, but this recovery is from a low base, and both remain 42% lower than a year ago. The strongest performing occupational group was professionals, rising 25.3% in the last three months.

The healthcare industry rebounded with demand for casuals and temps rising 22.6%, although permanent opportunities rose by 2.6%.

From a regional perspective, the most consistent gains were made in New South Wales – up 24.4% in permanent job opportunities and 27.3% in contingent work (25.3% overall). However, the number of opportunities in New South Wales is still down 35.6% year-on-year.

Parker added, “The rebound in job prospects in the Australian Capital Territory is a more encouraging story for job seekers. The strong growth, particularly in contingent work, means that the ACT, down just 8% on year-ago levels, along with Tasmania (down 9.5%), are the regions to have best withstood the first six months of the pandemic.”