Hiring in the mining sector is tipped to continue its downward trend for the rest of the year, with a recent study recording the lowest employment intentions since 2009.
Results of the latest Manpower Employment Outlook survey show 14 per cent of employers plan to increase their hiring, 19 per cent plan to decrease and 63 per cent will make no changes to their hiring plans.
The survey which measures the hiring intentions of almost 1500 employers in Australia for the coming quarter reports mining and construction employers have a Net Employment Outlook of -6 per cent, down ten percentage points from this time last year.
Manpower managing director Lincoln Crawley said the Coalition’s election win should lead to some much needed stability in the economy.
“Business will be expecting a strong agenda from the incoming government that will help encourage investment, economic growth and all important job creation,” he said.
“Resource companies in particular will be looking for changes to the resource tax to encourage activity.”
Recent reports the mining boom is over have been fuelled by a fall in commodity prices and investment levels in the sector dropping off.
However, the mining sector is transitioning from a construction boom to a production boom as the previously strong pipeline of projects come online.
Crawley explained soft market conditions and political uncertainty have led to a slowdown in the sector.
State by state, Queensland suffered the sharpest fall, dropping eight points to a Net Employment Outlook of -3 per cent. Western Australia’s Employment Oulook also weakened, falling three percentage points to +4 per cent.
“Job seekers should take heart that the new government is expected to bring some much needed stability to the market, and projects and developments that have been put on hold will likely start to get moving again,” Crawley said.
Following prime minister-elect Tony Abbott’s election night speech in which he declared Australia once again open for business, incoming minister Andrew Robb said the Coalition will “reboot” the mining boom.
Robb said the mining sector will receive a confidence boost from Saturday’s election results which saw the coalition take office with a clear majority.
“Massively” boosting jobs is also on Robb’s agenda, saying the coalition will work towards reducing national debt and aims to increase revenue by stimulating mining investment.
"As of today, the mining boom will be rebooted," he told the ABC on Sunday.
"Under Labor, it was finished because of the cost [and] uncompetitiveness that we've now got. We will change that."