Healthcare, trades and education are struggling to fill job vacancies in a tight labour market, as unemployment in the region continues to drop.
In Newcastle and Lake Macquarie, the monthly unemployment rate dropped from 3.6 per cent in November to 2.5 per cent in December, while in the Hunter Valley, it fell from 3.2 per cent to 3.1 per cent.
The less volatile 12-month average unemployment rate remained at 2.9 per cent in Newcastle and Lake Macquarie, and fell to 3.1 per cent in the Hunter Valley.
The lack of available workers has left industries and businesses competing for the few that remain, with plenty of jobs remaining unfilled.
Professions highly impacted by vacancies include health care (528 roles), automotive and engineering trades workers (482), carers and aides (394) legal, social and welfare professionals (195), and as highlighted in the media in recent days, education professionals (181).
While the pool of unemployed people across the region remains low, the number of people not in the labour force grew from 184,700 people in December 2022, to 216,200 in December 2023.
Business Hunter chief executive Bob Hawes said worker shortages were still apparent across the region.
"It remains somewhat concerning that businesses are still looking for people," he said.
"Clearly the mismatch between the skills and experience they are looking for and the credentials of the job seekers is causing some to give up and withdraw from the job market altogether."
The monthly Jobs and Skills Australia Internet Vacancy Index for December 2023 showed employers are still posting job ads, despite a dip from 6536 in November to 5647 in December, a drop of around 13.6 per cent.
However, Mr Hawes said employers typically back off from recruiting efforts through December, and 2023 was no different.
"Across the entire jobs market, there remains a question as to whether there is going to be a bounce back in the job ads in January and February 2024," he said.
"If there isn't, this could be a sign that business expectations of reduced economic activity are creeping in and of continuing frustration that businesses can't find the people they are looking for.
"Population growth continues to push up the number of people of working age living in the region, yet the total workforce has not grown by the same rate, which is mostly explained by the falling participation rates."
Unemployment for the youth cohort (15- to 24-year-olds) is also low, falling in Newcastle and Lake Macquarie from 8.2 per cent in November to 5.6 percent in December and in the Hunter Valley, from 9.4 percent to 5.6 percent.
"This is a time of year when you typically see change in the youth figures as the supply swells with school and tertiary students hitting the market, but it is also a time when employers are actively on the hunt for youth talent," Mr Hawes said.
