| Jobs losses hit real estate as market deteriorates
THE real estate sector is in the grips of a ''white-collar'' crisis, with more than 200 workers made redundant across the industry as deals collapse and development projects dwindle. The trigger has been a decrease in large-scale transactions and weak conditions in the construction and residential development sectors. The losses are not just among back-office staff, but finance directors and senior management. Because a number of the staff have left on redundancy packages, they are unlikely to be eligible for government benefits so the numbers won't appear in the national employment statistics. ''Real estate is a very tightly held market and losing a job is like losing their identity amongst their peers. The settlement of the Centro court action is also expected to trigger management restructuring and staff cuts. In the past week Dexus and Stockland have each laid off 45 people across several divisions. ''For many people, it's not a question of the money - as most get a redundancy package - it's about what do they do now,'' she said. Recruiters say this is a concern as it will send a message that the national economy is performing better than it is. ''In our last survey, respondents overwhelmingly said wage policies have been tempered, with many saying they had a minimal pay increase or a freeze on senior salaries, and predict the same for next year. Analysts have suggested further job losses are on the way as companies look to cut costs in the lead-up to the end of a tough financial year. The average pay rise in the six months to the end of February was 3. |
Wednesday, 16 May 2012
Jobs losses hit real estate as market deteriorates
