Guest The Pom Queen Posted July 30, 2013 Share Posted July 30, 2013 AUSTRALIA faces an extended slump as evidence mounts the wider economy is failing to pick up the slack from a slowdown in mining. Two of the nation's leading economic forecasters have warned the transition away from the mining boom is likely to be slower and more painful than thought. Latest economic snapshots show low interest rates are failing to spark activity in critical non-mining sectors such as housing construction, leaving the nation at risk of extended below trend growth. In research to be published today, Deloitte Access Economics says the value of resources projects has fallen for the second consecutive quarter - the first time this has happened in more than a decade. The pullback has been in planned projects as higher costs, lower commodity prices and a slowdown in China prompts miners to cancel expansion plans. Despite the pullback, the value of definite resources projects - those already under way or that have funds in place - continued to rise to hit $227 billion at the end of June. The report finds major investment in new liquefied natural gas developments is underpinning much of the current spend. It comes as oil and gas players launch a national advertising blitz, warning that more than $150 billion of proposed gas developments are under threat from anti-fracking protesters. Overall, the total value of projects across all sectors fell $51.8 billion over the June quarter to $887.1 billion, Deloitte found. The value of definite projects rose 3.7 per cent to $468.1 million -- the highest on record -- while the value of planned projects fell 14.3 per cent to $410 billion. The Reserve Bank has cut the official cash rate to an historic low of 2.75 per cent in a bid to stimulate the housing sector as the mining boom moves from construction to production. Deloitte partner Stephen Smith yesterday said the outlook for housing "remains shaky" and it was unlikely to emerge as the key driver of future growth as planned by the RBA. "With non-residential building approvals well below their pre-GFC levels, and with governments looking to constrain spending, this category of construction activity is looking increasingly unlikely to take over the mantle of growth driver for the Australian economy," Mr Smith said. "We do expect a period of below-trend growth for . . . the next couple of years." The Deloitte report follows an update from BIS Shrapnel that also warned the transition away from the mining sector would be "a real nail biter". BIS Shrapnel associate director Kim Hawtrey said building activity would pick up across the nation over the next two years but the pace would be "uncomfortably slow" and not all states would benefit. "Home building has been punching below its weight and normally low mortgage rates would be stimulating the sector toward clear recovery by now but the antibiotics are taking longer to work this time around," Ms Hawtrey said. "High household debt, concerns about the global economy, planning restrictions in some states and lack of land supply are among the factors that explain this." BIS Shrapnel says Victoria will feel the brunt of the pain with housing in oversupply. Read more: http://www.heraldsun.com.au/business/slump-fears-deepen-over-mining-slowdown/story-e6frfm1i-1226687770815#ixzz2aUVizBKz Link to comment Share on other sites More sharing options...
wolvesaussie Posted July 30, 2013 Share Posted July 30, 2013 of course housing is not going to pick up the slack people who dont own houses cant afford to buy or build them. .. its not a land supply problem Link to comment Share on other sites More sharing options...
VERYSTORMY Posted July 30, 2013 Share Posted July 30, 2013 For me, the issue, as I have posted before is in the last paragraph. Oz has the highest personal debt in the world. The banks say they pass the stress tests, but these are based on tests to see if the borrowers of mortgages have enough income to pay what they owe. However, as an increasing number find their more lucrative FIFO incomes are slashed, I can see debts turning toxic pretty quick. The mining industry is slowing down faster than the reports can keep up with. The last quarter, exploration, which is one of the biggest employment sectors in the industry was down 22%. That is a total reduction of about 70% in three quarters. It also poses not just short term problems but long term as the exploration for future mines is now almost non existent. An increase in metal prices will not be enough, in the short or medium term to change that as a lot of companies are looking back wondering why they spent so much in Oz to begin with given the high costs of exploration and mining compared to competitor nations. Mining itself is slashing jobs weekly. There were significant redundancies at several companies this week - including Anglogoldashanti and a couple of mid tiers who cut up 75% of their work force. Link to comment Share on other sites More sharing options...
Parley Posted July 30, 2013 Share Posted July 30, 2013 Fear not. Change is coming to Australia. We should hear the date soon. Probably September 7th. Link to comment Share on other sites More sharing options...
Guest The Pom Queen Posted July 30, 2013 Share Posted July 30, 2013 I have deleted 6 posts please stop with the personal attacks Link to comment Share on other sites More sharing options...
legoman Posted July 30, 2013 Share Posted July 30, 2013 As I said before people need to pace themselves, my sons pal spent 4 years in the mines, blew all his money lost his job struggled to find work and now labouring got married last year now unable to buy own place due to expense and no deposit. Family from Hull moved here November, brought 66k pounds all gone as they didnt realise cost of living here and based on accounts of loads of work,now struggling. not saying just wa oz but same in every country, with a boom comes an inevitable bust. Be prepared dib dib Link to comment Share on other sites More sharing options...
lookingtoleave Posted July 30, 2013 Share Posted July 30, 2013 So the fact of the matter is then don't come to Oz.... Cause construction jobs are few & far between just like the UK ? Link to comment Share on other sites More sharing options...
simmo Posted July 30, 2013 Share Posted July 30, 2013 So the fact of the matter is then don't come to Oz.... Cause construction jobs are few & far between just like the UK ? not quite that simple. Link to comment Share on other sites More sharing options...
legoman Posted July 30, 2013 Share Posted July 30, 2013 So the fact of the matter is then don't come to Oz.... Cause construction jobs are few & far between just like the UK ? Jobs in both countries but dont fall for the 'theres loads of work in Oz' rubbish, you dont walk off the plane and be handed a choice of jobs to choose from. esp the plumbers jobs, seems theres a plumber on every corner here in Perth, dont be picky when you get here, my pretty city and guilds cert meant nothing here. apply for any jobs you feel you could do be ready for no replies, turn down, if you are lucky or a reply months later. make sure its what you are running to that you have checked out, not what you are running from Link to comment Share on other sites More sharing options...
Guest Guest26012 Posted July 30, 2013 Share Posted July 30, 2013 I think you have to get yourself out and about and get to know people. A lot of jobs are gained by not what you know but who you know. Be prepared to travel to work and to maybe work outside your skills for a while. Create a network and be prepared to put in some groundwork. I have seen lots of people gain work this way. Link to comment Share on other sites More sharing options...
paul1977 Posted July 30, 2013 Share Posted July 30, 2013 So the fact of the matter is then don't come to Oz.... Cause construction jobs are few & far between just like the UK ? Still better work prospects here but tightening by the week Link to comment Share on other sites More sharing options...
paul1977 Posted July 30, 2013 Share Posted July 30, 2013 I think you have to get yourself out and about and get to know people. A lot of jobs are gained by not what you know but who you know. Be prepared to travel to work and to maybe work outside your skills for a while. Create a network and be prepared to put in some groundwork. I have seen lots of people gain work this way. True in some ways but most of the jobs your talking about will be rubbish, to get on a good firm here you have to be very lucky Link to comment Share on other sites More sharing options...
Guest Guest26012 Posted July 30, 2013 Share Posted July 30, 2013 True in some ways but most of the jobs your talking about will be rubbish, to get on a good firm here you have to be very lucky Not true! I have friends that have well paid jobs, not rubbish, that they got through friends of friends! You must be talking from just your experience, I'm talking from mine. Nobody's right, nobody's wrong. Link to comment Share on other sites More sharing options...
Guest The Pom Queen Posted July 30, 2013 Share Posted July 30, 2013 So the fact of the matter is then don't come to Oz.... Cause construction jobs are few & far between just like the UK ? Its a tough one as areas/states seem short of construction workers so people move to secure a job only once that job is completed they are back out of work. Link to comment Share on other sites More sharing options...
Guest The Pom Queen Posted July 30, 2013 Share Posted July 30, 2013 esp the plumbers jobs, seems theres a plumber on every corner here in Perth, You see there is an example we are in urgent need of plumbers in Cairns. We have been trying to get one for 3 months now with no luck. Link to comment Share on other sites More sharing options...
paul1977 Posted July 30, 2013 Share Posted July 30, 2013 Not true! I have friends that have well paid jobs, not rubbish, that they got through friends of friends! You must be talking from just your experience, I'm talking from mine. Nobody's right, nobody's wrong. Sorry I misread your post from before a, your correct a lot of things in life are about who you know.. Remember my saying...!!! Not what you know but who you know.!! Link to comment Share on other sites More sharing options...
Guest Guest26012 Posted July 30, 2013 Share Posted July 30, 2013 I have a friend here in Perth who has his own building business that has been struggling to find builders. I know it's only one example but he's worked here for six years and has work coming out of his ears. I'm not saying that it will always be like that, before I get jumped on, but that's how it stands at the mo. Link to comment Share on other sites More sharing options...
Guest Guest26012 Posted July 30, 2013 Share Posted July 30, 2013 Sorry I misread your post from before a, your correct a lot of things in life are about who you know.. Remember my saying...!!! Not what you know but who you know.!! How rude! Link to comment Share on other sites More sharing options...
paul1977 Posted July 30, 2013 Share Posted July 30, 2013 How rude! But how true..!! Link to comment Share on other sites More sharing options...
legoman Posted July 30, 2013 Share Posted July 30, 2013 You see there is an example we are in urgent need of plumbers in Cairns. We have been trying to get one for 3 months now with no luck. I can still turn my to plumbing, very low labour charge but huge call out fee :laugh: Link to comment Share on other sites More sharing options...
Guest The Pom Queen Posted July 30, 2013 Share Posted July 30, 2013 I can still turn my to plumbing, very low labour charge but huge call out fee :laugh: Lol well if ever you are over here give me a shout Link to comment Share on other sites More sharing options...
Mandy Smith Posted August 1, 2013 Share Posted August 1, 2013 We are flying out at the end of the month and these reports are making me very nervous about securing work. My husband is a welder and the last years plus preparation has been on the basis that work and prospects are good. Guess we will just have to wait and see how things pan out but I am feeling quite worried along with the general stress of dismantling your life and putting it on a ship! Mandy /PHP] aw [b]AUSTRALIA faces an extended slump as evidence mounts the wider economy is failing to pick up the slack from a slowdown in mining. [/b] Two of the nation's leading economic forecasters have warned the transition away from the mining boom is likely to be slower and more painful than thought.Latest economic snapshots show low interest rates are failing to spark activity in critical non-mining sectors such as housing construction, leaving the nation at risk of extended below trend growth. In research to be published today, Deloitte Access Economics says the value of resources projects has fallen for the second consecutive quarter - the first time this has happened in more than a decade. The pullback has been in planned projects as higher costs, lower commodity prices and a slowdown in China prompts miners to cancel expansion plans. Despite the pullback, the value of definite resources projects - those already under way or that have funds in place - continued to rise to hit $227 billion at the end of June. The report finds major investment in new liquefied natural gas developments is underpinning much of the current spend. It comes as oil and gas players launch a national advertising blitz, warning that more than $150 billion of proposed gas developments are under threat from anti-fracking protesters. Overall, the total value of projects across all sectors fell $51.8 billion over the June quarter to $887.1 billion, Deloitte found. The value of definite projects rose 3.7 per cent to $468.1 million -- the highest on record -- while the value of planned projects fell 14.3 per cent to $410 billion. The Reserve Bank has cut the official cash rate to an historic low of 2.75 per cent in a bid to stimulate the housing sector as the mining boom moves from construction to production. Deloitte partner Stephen Smith yesterday said the outlook for housing "remains shaky" and it was unlikely to emerge as the key driver of future growth as planned by the RBA. "With non-residential building approvals well below their pre-GFC levels, and with governments looking to constrain spending, this category of construction activity is looking increasingly unlikely to take over the mantle of growth driver for the Australian economy," Mr Smith said. "We do expect a period of below-trend growth for . . . the next couple of years." The Deloitte report follows an update from BIS Shrapnel that also warned the transition away from the mining sector would be "a real nail biter". BIS Shrapnel associate director Kim Hawtrey said building activity would pick up across the nation over the next two years but the pace would be "uncomfortably slow" and not all states would benefit. "Home building has been punching below its weight and normally low mortgage rates would be stimulating the sector toward clear recovery by now but the antibiotics are taking longer to work this time around," Ms Hawtrey said. "High household debt, concerns about the global economy, planning restrictions in some states and lack of land supply are among the factors that explain this." BIS Shrapnel says Victoria will feel the brunt of the pain with housing in oversupply. [left][color=#000000] Read more: http://www.heraldsun.com.au/business/slump-fears-deepen-over-mining-slowdown/story-e6frfm1i-1226687770815#ixzz2aUVizBKz [/color][/left] Link to comment Share on other sites More sharing options...
flag of convenience Posted August 1, 2013 Share Posted August 1, 2013 Not true! I have friends that have well paid jobs, not rubbish, that they got through friends of friends! You must be talking from just your experience, I'm talking from mine. Nobody's right, nobody's wrong. It is certainly about connections here and maintaining those connections. No means easy. Link to comment Share on other sites More sharing options...
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