Thursday 22 February 2018

Jobseekers downbeat on salary hikes despite rise in job ads

Businessman in Waiting Room
Businessman in Waiting Room
Colm Kelpie

Colm Kelpie

THE majority of jobseekers believe they won't get a pay increase this year, a survey has found.

Despite this, demand for employees is rising and job postings were also up 21pc year-on-year in the final three months of the year, according to a report by Dublin-listed recruitment company CPL.

Science and engineering were among the sectors outstripping other areas, with 84pc more postings in the final quarter of last year than in the same period in 2012. Accountancy, finance and banking grew 10pc and IT 9pc.

However, jobs in sales, marketing and retail fell 4pc, which is the third quarter of falls in 2013, having briefly posted a small growth of 2pc in the third quarter of last year.

The CPL survey found that only 20pc of jobseekers who responded believed that a pay rise would be standard in 2014.

A further quarter believed there was room to negotiate but the majority, at 57pc, believed there would be no change to wages this year.


Ronan Lyons, Assistant Professor in Economics at Trinity College Dublin, said jobseekers continued to view it is an employers' market.

"So the majority of workers expect no change in their salary in the year ahead," he said.

The report was based on information taken from CPL's database and augmented with responses from 508 employers and 830 jobseekers.

The findings come as unions prepare to lodge a series of pay claims across the private sector, which they see as key to growing the economy.

Other findings include:

* Nearly half of jobseekers are looking for jobs overseas; 10pc believe they have no choice but to look abroad and 37pc have already done so.

* There is a belief that long-term unemployed candidates have a slim chance of getting a job without intervention.

Peter Cosgrove, CPL Resources director, said research shows that the experience is very different for individual jobseekers.

Meanwhile, a separate study showed there was an increase in permanent hiring last year along with growth in salaries, specifically in ICT, Pharma and HR.

The Morgan McKinley Irish Employment Monitor for December highlights a demand for job titles, such as 'Mortgage Underwriter' and 'Commercial Lender', not seen since the beginning of the economic downturn.

The report recorded a 1pc decrease in the number of new professional jobs advertised in December compared with the same month in 2012.

And compared with November, new professional job vacancies were down 22pc.

Karen O'Flaherty, Morgan McKinley's chief operations officer, said December was usually a quieter month.

"Employers are more budget and decision-sensitive in terms of headcount at the end of the year or awaiting confirmation of forecasts and plans in the new year. Job seekers equally are less active and more risk-averse as the holiday season approaches," she said.

Irish Independent

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