The return to growth in the ICT sector sees new executive jobs recorded across all states with the exception of Queensland.
The EL Consult Index reveals that, nationally, ICT executive demand grew 9% in July over June.
But, according to ELConsult managing director Grant Montgomery, percentage movements in ICT are accentuated by the sector’s small base.
On the overall national market, New South Wales dominates executive job demand, with the construction and service sectors described by Montgomery as “the rising stars of employment.”
Among all sectors, EL says that finance led the way as the new financial year budgets kicked in, followed in second place by ICT with its return to positive territory after three months of losses.
Growth in marketing and engineering followed IT, while management was the only sector with a negative result.
Montgomery says the July increase across all sectors was a good forward indicator for the Australian economy and he expects that employment will trend up for a least the next three months.
“The level of executive demand which is a good predictor of business and consumer spending growth as well as general employment levels has now turned around after two consecutive months of falls.
“Overall this shows that the Australian economy is growing despite the troubles in Greek and Chinese bourses, low commodity prices and talk by the US Federal Reserve of rising US interest rates.
“It is clear that low international commodity prices, particularly iron ore, are still affecting the economy and this is particularly evident in the resource industry states of Western Australia and South Australia and talk of rising international interest rates which makes Australia a less attractive home for foreign investment capital is also affecting growth in employment.
“But strong infrastructure and housing construction and a consistently performing services sector appears to be keeping things on the boil.
“This is particularly evident in New South Wales that is again the main beneficiary of the employment uptick.”
Montgomery also says that New South Wales, with the proportion of total new positions has risen from 32%in June 2011 to 45% in June this year has now piped 50% of the national demand “reflecting the relatively strong state of its economy.”
At the same time Western Australia’s executive demand has halved from 13% in 2011 to 6% today, making it the worst performing state overall.
“There is no surprise that the Western Australia Government is now calling for a bigger overall share of the GST take to try and bolster the softening mining royalty revenues,” Montgomery said.
Montgomery said New South Wales was benefiting from a heavy government commitment to infrastructure investment and a very strong property market.
“There are obviously foreign buyers investing in the Sydney property market but there is also an increase in interstate executives moving for the job opportunities there.”