Online job advertisements increase in August

Online job ads increased last month, up by 4.8% or 10,600 in seasonally adjusted terms.

This strong increase diverges from the consistent pattern of declines recorded over the last 12 months. And despite these recent decreases, monthly online job ads continue to be about 35% higher than in 2019.

Online job ads were up in most states and territories and in all major occupation and skill level groups over the month. Victoria recorded the strongest increase, followed by South Australia. Among major occupation and skill level groups, Professionals and Skill Level 1 occupations recording the strongest increases.

Online job ads decreased at a similar rate across capital cities (down by 19.7%) and regional Australia (19.8%) over the year.

From Sizzle to Fizzle? Changing demand patterns for kitchen staff in the post-pandemic period

The return of diners to their favourite restaurants, pubs and cafes, after pandemic lockdown restrictions were lifted, provided relief to uncertain business owners and prompted a well-documented boom in recruitment activity in the hospitality sector. More recently, inflationary and cost-of-living pressures have squeezed segments of the sector from both ends, with reports of long-standing and favoured venues facing closure appearing regularly in news media. The August Vacancy Report considers how the current economic volatility and seasonal fluctuations typical of hospitality industry have been expressed in the demand for Chefs, Cooks and Kitchenhands.

The number of online job advertisements for these occupations has decreased more sharply compared with the average decline recorded across all occupations. Labour market trends suggest that there continues to be considerable opportunities for Chefs despite challenging business conditions from higher costs, and lower discretionary spending from patrons. However, as conditions continue to tighten, fewer Kitchenhands and Cooks are being deployed to support Chefs, who then likely experience expanding role demands.

The pattern of higher vacancy rates, which express the number of job advertisements as a proportion of employment numbers, would typically indicate demand for a higher number of employed Cooks, for instance. However, this shift appears at odds with trends in worker mobility and employment numbers.

High turnover for the hospitality industry could explain some of the persistent demand for Chefs and Cooks. However, Cooks are also finding demand from a diverse range of employers, and half the number of Cooks are now making the linear transition to become Chefs, from 12% in 2011, to 6% after 2016. Further monitoring of these changes will help inform appropriate responses to maintain workforce wellbeing and the health of the hospitality sector and its partnered industries such as tourism and the arts.
 

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For direct queries email us at JSA-Nowcasting@jobsandskills.gov.au