With the kids finally back at school, it feels like the year is properly underway. I’ve always felt the year doesn’t really begin until early February – especially for parents juggling work and/or job searches around what can feel like endless school holidays. Only now do we get the breathing space to pause, reflect, and think more clearly about the year ahead.

Over the past few weeks, many of you have asked for my job market predictions for 2026. And whilst I’d love to offer a crystal-ball view, it still feels too early to make any bold calls.

What I can say is this: I don’t expect the Australian job market to change significantly in the next 12 months – and it’s likely to remain competitive.

There are several reasons for this:

• Employers continue to be cautious with hiring decisions amid economic uncertainty

• Many organisations are prioritising efficiency and cost control over growth

• Layoffs and restructures over the past year have increased the number of quality candidates in the market

• Increased cost of living is leading to an increased number of employed candidates seeking jobs with higher pay

• Stricter return-to-office expectations have been a tipping point for some employees, forcing them to look for alternative options

So, what does a tough market actually mean for jobseekers?

In practice, we’re seeing:

• Much higher volumes of applications for advertised roles

• Recruiters being more selective and wanting a ‘unicorn’ – this includes candidates who meet every criteria including direct industry experience

• Recruiters are increasingly difficult to reach as application volumes rise, resulting in a flood of calls and messages each day. As a former recruiter, I know that silence is usually a capacity issue rather than a lack of interest. Don’t take it personally!

• Increased reliance on Applicant Tracking Systems (ATS’s) to reduce time spent screening and shortlisting.

If you are experiencing the above, it may help to know that many others are experiencing the same. It is not you!

So, what can you do to give yourself the best chance?

Here are four practical focus areas:

• Tailor your resume for each role. You can’t be all things to all people. Clarity and alignment to the criteria matter more than breadth.

• Leverage your network. Warm referrals still outperform cold applications. Ask for introductions to recruiters and hiring managers from people they know and trust. Dropping a name or mutual connection will often open up doors.

• Look inward as well as outward. Consider internal opportunities, project work, or ways to reshape your current role to increase fulfilment until the job market improves.

• Keep learning and developing. Skills stagnation is a risk in a fast-changing market – ongoing development helps you stay relevant and boosts confidence.

• Be proactive with your job search. Don’t rely on job boards where you will always be in a competitive process. Use networks and go direct when you can.