The Australian hospitality industry has faced significant challenges due to a severe labour shortage stemming from the COVID-19 pandemic but there seems to be a glimmer of hope on the horizon, according to the latest Sidekicker Jobs Index.
This index, which analyses data from over 27,000 workers across various sectors in Australia, has revealed some key findings that point towards a potential improvement in the labour shortage crisis.
Highlighting the most notable findings Thomas Amos, CEO and Co-founder of Sidekicker said: “There was an overall 20 percent YoY decline in shifts per business in Australia, indicating labour shortages are easing. Victoria saw the biggest YoY decline in shifts per business (-31 percent) across all states.
“Sector-wise, the aged care industry registered the largest YoY decrease in shifts per business (-66 percent), followed by hospitality with a drop of 36 percent YoY.”
This is a substantial decline in the hospitality sector, which was particularly hard-hit by the labour shortage and indicates a potential stabilisation in the industry. It’s worth noting that this decline comes after a period of significant disruption caused by the COVID-19 pandemic.
One surprising development highlighted by the Sidekicker Jobs Index is that New Zealand businesses are now requesting more shifts than their Australian counterparts. This is the first time such a trend has been observed since the pandemic began, further suggesting that the labour situation in Australia may be gradually improving.
One possible factor contributing to these shifts in the labour market is the impact of high-interest rates. Interest rates have the potential to affect businesses‘ hiring decisions, and it’s possible that the recent rate increases have influenced the decline in shifts per business.
While the labour shortage crisis in the Australian hospitality industry has been a cause for concern, the Sidekicker Jobs Index suggests that there may be a light at the end of the tunnel. The decline in shifts per business, while significant, indicates a potential easing of labour pressures.
As businesses adapt to changing economic conditions and the impact of high interest rates, the hope is that the hospitality sector will continue to recover, providing opportunities for both workers and businesses alike.
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