In the world today, no economy is an island entire of itself; every economy is a piece of the overall global economy. Our economy has been a full participant in the recent global turmoil and will be negatively impacted by the weakening global economic conditions. But our domestic economy remains better placed than most to deal with the looming global economic storm. Most economists believe that the Australian economy will grow by between 0.5% and 1% in 2009, despite significant pockets of weakness developing during the year.

 

But what will our economy look like in 2009 ? We believe that the Australian economy will feature the following characteristics for at least the next twelve months – low growth (0.5-1%), low inflation (2.5-3.5%), low interest rates (2-3%) and low confidence (business and consumer).

 

However, we believe, with a significant economic downturn on the horizon, businesses will start to increase the employment of part-time workers to enable a quick response to changes in demand for products & services. Part-time employment will become, in the next year, a vitally important part of the economy, adding significant flexibility to businesses. In December 2008 the Australian economy lost 44,000 full-time jobs as companies reduced labour costs to brace for a weakening economy in 2009. But, at the same time, part-time positions soared, increasing by a massive 42,800 to 3,102,200 workers. The ability of businesses to survive the economic downturn will depend on their ability to respond very rapidly to changing patterns of consumer demand and competitive pressures. Employing a strong, skilled and committed workforce of part-time employees will be the inevitable solution.

 

 

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