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A national survey has found many Australian companies are putting their hiring on hold because of growing uncertainty about the economy.
Recruitment company Hudson surveyed about 7,000 hiring managers and many said they were less optimistic leading into the next three months.
The survey recorded the first drop in employer confidence in two years.
The managing director of Hudson, Gary Lazzarotto, says some sectors were less optimistic than others.
"The largest area of decline was the financial services area which is not necessarily a great surprise," he said.
"But again, what we saw in the finance services area was that while 11 per cent of companies were not looking to increase their head count this quarter, they are not actually starting to downsize, but they are putting their hiring on hold."
The construction, property and engineering sectors were the most optimistic going into the next quarter.
Companies cited ongoing interest rate rises, the turbulence in global financial markets and increasing credit costs as some of the factors affecting their confidence.
"What we are seeing is that companies are taking a cautious approach to the economy and they appear to be listening to some of the news that is out there regarding uncertainty in the economy, and really putting their hiring on hold for some degree for the next quarter," Mr Lazzarotto said.
- RADIO AUSTRALIA
