The government wants savings of at least $69 million a year from its spend on recruitment agencies by cracking down on the number of firms its uses.

Recruiter Robert Half says competition for finance professionals is heating up.

Employers warned of an increase in staff churn and greater pressure to retain top talent.

Kiwi employers may currently be in a talent “sweet spot” but it may be the calm before the storm, says Manpower New Zealand general manager Chris Riley.

According to the latest Manpower survey, 89% of firms believe they have the talent they need to execute their business strategy.

Mr Riley said the figure is so high because New Zealand employers are still thinking in the short term.

“Smart” job seekers are using social media to bypass the traditional recruitment process “jumping the queue” into their desired position.

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Managing principal of career services at Right Management, Murray McLachlan, said while social networking sites such as LinkedIn are not new, people are increasingly finding smarter ways to leverage its potential.