Devlin

100s of applicants for every job...

Looks like the recession is finally biting despite everyone saying "it won't happen in Australia"!

http://www.news.com.au/business/stor...22-462,00.html

folic

With regard to your post and your siggy, it seems to be many thousands of cases of 'hope springs eternal'

livinginreality

I guess it had to happen sooner or later did'nt it?

Devlin

What signature??

Hutch

Think he's referring to your 'location' tag.

La Vida loca

Interesting thread for Aus.

Having been made redundant recently and on the job market.
I can tell you there is not many jobs as there was last year.

Employers are taking longer and now will not rush through to make an offer, they are considering all applications and there is many of them.

As for House prices which is a signal of a recession, Australian prices still remain delussional in the fact the only reason they remain inflated is due to the FHOG.

My unprofessional and unqualified view, is come July when the grants are withdrawn, hopefully, house prices will drop all the way into 2010.

Why is this? because the ones with the free cash will be removed from the market, so less people will be carpet treading. Once this occurs and there is no competition those desperate sellers will start to drop prices, as will people making offers......

And dont forget all the people with investment properties, who may hit hard times....they will squeal pretty bad due to overcommittment.

Geelong Gent

Agree with your other sentiment although I strongly feel the govt will extend the timeframe.

There is also a huge demand at present for renovation work due to the 30% kickback from the govt for this sort of work. After 1 July I do not see this being extended. This has the effect of bringing small time tradies into a false sense of security.

sonlymewalter

And whilst interest rates have fallen, once the market recovers interest rates will sky rocket to a level unseen for years.

Happy times ahead

kporte

everyone?
I think most people said it would not be as bad as other countries and thus far that is the case.

louH

Why? What do you think will be the driver to force interest rates up to those high levels?

sonlymewalter

Happened last time. The banks will recoup every cent they have lost over the months due to low interest rates.

These low interest rates will be sticking in their throats as banks like to screw the consumers for as much lolly as they can get. No point at the moment as people haven't got it, but the minute things start looking up they will be on to us. Big style

capetosydney

I thinks the key statement in the article is :
"Sean Johnston, director of West Recruitment, said the quantity of applicants had increased significantly, but the quality had not. "
Indicative of firms letting go of general non key personel. Unforutely, if you do not have hard skill, but rather 'general' work experience than you're up aginst a wall.

Flutterby

Inflation.

bcworld

I don't think the banks have lost any money due to lower interest rates - their profit margin would effectively be the difference between interbank lending rates and what they charge the consumer.....I doubt if that's changed very much - hence all the kerfuffle when banks weren't passing on the same cuts as the RBA - they were protecting their margin.

As Flutterby says, the reason interest rates may rise is inflation - governments around the world are pumping trillions of dollars into economies, when that money is gone and the problem still isn't sorted they print more trillions of dollars = recipe for inflation.

sonlymewalter

I was thinking more on the lines of stagflation