By Liv Lewis-Long

Navigating the job market has always been a bit of a rollercoaster, but current economic conditions have turned it into something akin to an extreme sport. Whether you're currently employed and hoping to stay that way, or if you find yourself back on the job hunt, resilience could be your key to success. We covered this topic in a recent episode of Money Made Simple, but for those of you who prefer a written guide, we've provided some tips to weather the current job-related storm.

The current climate

New Zealand's job scene is quite a mixed bag right now. Our unemployment rate is floating around 5.2%, which is of course high, but not quite as drastic as past downturns. However, an alarming number of business closures (70,000 in 2024 alone) has tightened the job market further, with three job seekers for every available position. This imbalance gives employers the upper hand, making the job market highly competitive.

Job security

If you're currently employed, the thought of redundancy can be very unsettling. Nowadays, so many have been there to the extent that it's more the norm - rather than the taboo subject it used to be. I've been made redundant, as has my co-conspirator Jennie - she's proud to say that she's been booted out twice, by the same company no less! Here's the deal: sometimes, redundancy is out of your control, but there are still some steps you can take to make yourself indispensable:

• Upskill: Always be the person who can manage new tools or take on critical tasks.

• Adapt: Show that you can thrive with new technologies or methodologies - AI included!

• Visibility: Ensure your contributions are recognized, not just by your peers but by those up top
  
  

Being proactive about your role and the real value you are able to provide your company can in some cases shield you from being on the redundancy list if one does come along.

Job hunting: Securing a new role

If you're searching for a job, the approach needs tweaking when jobs are scarce:

• Network: This can't be overstressed. Whether online (yes, even LinkedIn) or in person, the connections you make can open doors you didn't know existed. I read an interesting stat just the other day that apparently something like 80% of senior roles are filled via existing contacts - scary if you don't have a network!

• Tailor your applications: Generic resumes and cover letters just won't cut it - the people and AI that filter applications are too discerning for this. Customise your application to highlight how your skills perfectly align with the job description. And make sure your cover letter describes why you're actually a good fit.

• Prepare for interviews: Familiarize yourself with common interview techniques like the STAR method (Situation, Task, Action, Result) and be ready to discuss your achievements concisely and compellingly. A common issue for unseasoned interviewers is going on too long and not sticking to the more relevant facts.
  
  

Building financial resilience

Job security isn't only about keeping a job or landing a new one. It's also about ensuring you can weather an unexpected period of joblessness without sending yourself and/or your family into financial stress. To help avoid the panic that could come with losing your income temporarily, ensure you have the following under control:

• Emergency fund: Ideally, have three to six months of expenses saved up in a more accessible account. It's your financial buffer that turns a crisis into a manageable situation. If you haven't yet set one up, start small and add to it regularly. If you have no idea what I'm talking about, this blog can help you learn more!

• Manage debt: Avoid high-interest debt that can escalate quickly without steady income. This includes personal loans, car finance, credit card debt and buy-now-pay-later purchases. Focus on paying down or consolidating debts when you can. We have a podcast on bad debt and how to tackle it via our Money Made Simple podcast.
  
  

Learning and development

Continuously improving your skills is a great way to stay valuable and relevant as an employee. Look for relevant certifications or training that could boost your appeal to employers. If you're not in a position to spend on higher learning, consider free or subsidised courses that can enhance your employability - there are plenty of options available in New Zealand (see list of resources at the bottom of this blog!) And don't forget, learning new skills can sometimes lead to discovering new passions that might turn into future career opportunities.

The job market might be particularly tough right now, but your resilience and adaptability can set you apart. It's about more than just finding or keeping a job - it's about creating a career that can withstand economic ups and downs. So, keep learning, keep networking, and keep your finances in check. Your future self will thank you for it.

Free resources you may find useful:

- LinkedIn professional networking platform (also good for job hunting!)

- Zeil - Zuru's new(ish) job app/marketplace

- Digital Passport: Offers free online courses in digital skills, job readiness, and AI, provided by the NZ government

- NZ Polytechnic: Offers a range of fees-free courses including diplomas in various disciplines

Want to learn more? You can head to our Money Made Simple podcast on tackling the job market, to hear Jennie and Liv discuss the topic in more detail:

Link to listen on Spotify

Link to listen on Apple

The information provided and opinions expressed in this post are intended for general guidance only and not personalised to you. These materials do not take into account your particular financial situation or goals and are not financial advice or a recommendation. This post is not intended to convey any guarantees as to the future performance of any of the investment products, asset classes, or capital markets mentioned. Past performance is no guarantee of future performance. Information is current at the time of posting, and subject to change without notice. Simplicity NZ Ltd is the issuer of the Simplicity KiwiSaver Scheme and Investment Funds. For Product Disclosure Statements please visit our website simplicity.kiwi.