2015 National Road Ahead Series

Presented by

Pete Macauley

24 February 2015

PageGroup overview

Global economic environment

The New Zealand economy

The Seek perspective

Industry trends

Business confidence

Unemployment rate comparison

Migration

Michael Page market research

Summary

Questions

Agenda

PageGroup overviewGlobal coverage

PageGroup overviewAsia Pacific coverage

Areas of specialisation

Global economic environmentGrowth rate of the world economy

Source: International Monetary Fund

Global economic environmentCan we expect growth in 2015?

Source: ANZ Economics & Markets Research

2014 2015 Forecast Overall Outlook

World 3.3% 3.9% Grinding higher

US 2.3% 3.2% Leading the way

Euro zone 0.8% 1.3% Slowly but surely

China 7.5% 7.0% Trending Lower

Australia 3.1% 2.9% Still transitioning

New Zealand 3.1% 3.0% Slowing down slightly

''When the Canterbury rebuild ends people will be quite surprised by the size of the downturn.”

Dominic Stephens – Chief economist, Westpac

''The New Zealand economy has had an excellent run and growth is moderating but that's not a bad thing. We're not an 'AsianTiger' and

we can't sustain 4 percent growth. We should be happy with 3 percent or even 2.5 percent.'‘

Sharon Zollner - Senior Economist, ANZ Bank

“The economy is trucking along very nicely.”

Stephen Toplis - Head of Research, Bank of New Zealand

“We are in the unusual but encouraging situation where we have solid economic growth, more employment and higher wages, but few

pressures on inflation.”

Bill English - Finance Minister

“Growth is expected to remain at or above trend through 2016, with unemployment continuing to decline.”

Graeme Wheeler – Governor, Reserve Bank of New Zealand,

“We expect 2015 to be a year of moderate gains as the global economy grinds up a gear.”

Stewart Brentnall - Chief Investment Officer, ANZ Bank

“New Zealand had one of the fastest-growing economies in the OECD in 2014, supporting its ‘rock star’ reputation.”

Paul Bloxham - Chief Economist, HSBC

The New Zealand economyThe experts’ opinions

New Zealand economyGross domestic product

Source: www.tradingeconomics.com

New Zealand economyBusiness confidence

New Zealand business confidence rose

to its highest level in almost 20 years in

February

According to the ANZ Business Outlook survey – NZH Friday

Feb 28, 2014

New Zealand economyUnemployment rate

Source: www.ieconomics.com

New Zealand economySkilled vacancies index

Source: www.dol.govt.nz

The Seek perspectiveJob ads

Seek New Zealand tracked a 10% YOY increase in advertised roles in 2014

More than 275,000 jobs online, an increase of more than 20,000

The highest number of ads were in ICT, which had almost twice as many listings as the

second most-popular job family

Areas that tracked the highest growth included Southland (+32%), Marlborough (+29%),

Tasman (+17%), Auckland (+13%) and Bay of Plenty (+12%).

The Seek perspectiveJob index by region

Source: Seek

The Seek perspectiveSkilled job index – sales

Source: Seek

The Seek perspectiveSkilled job index – finance

Source: Seek

The Seek perspectiveSkilled job index – marketing

Source: Seek

The Seek perspectiveSkilled job index – construction

Source: Seek

The Seek perspectiveSkilled job index – procurement and supply chain

Source: Seek

Business confidence

Source: www.ieconomics.com

Unemployment rate comparison

Source: ABS

Migration

MigrationArrivals

Highest ever net gain of migrants

Migrant arrivals (gross) reached a new record high

16% increase YOY

Australia, China and India leading migration to NZ

Kiwis coming home

MigrationDepartures

Fall in migrant departures

Migrant departures to Australia were the lowset since 2004

Net loss of 5,300 people to Australia

• 23,500 in 2013

• 39,300 in 2012

Smallest net loss since 1994

Michael Page market researchSalary and remuneration

Average percentage salary

increase over the next 12 months

Employee salary

expectations for job change

Michael Page market researchAttraction and retention

Most popular tools for

attraction and retentionWhat jobseekers are looking for in their

next role

Michael Page market researchStaff turnover

Employer expectations for staff

turnover in the next 12 months

Employee turnover in the

next 12 months

Michael Page market researchEmployee activity

Interview attended in the last 12 months

Michael Page market researchRecruitment activity

Experience level expected to be

in highest demand

Top factor that jobseekers are

looking for in their next role (by age)

Michael Page market researchRecruitment activity

Plans to hire overseas workers

within the next 12 months

Expectation of local talent leaving

for overseas opportunities

Summary

2014 was another strong year for the economy

The data is pointing towards another positive year for NZ business

Employers more aware of the talent shortage and subsequent attraction and retention

challenges

Employees are expecting more

Staff turnover is set to rise – again

Australia’s challenges are NZ’s opportunities

Generate the return of NZ’s attractiveness – TODAY!

Thank you

Questions