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Port Macquarie-Hastings Skills Audit Summary Report JUNE2018

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Page 1: Summary Report JUNE2018

Port Macquarie-Hastings

Skills AuditSummary Report

JUNE2018

Page 2: Summary Report JUNE2018

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Port Macquarie-Hastings CouncilThis project was delivered by the Port Macquarie-Hastings Council Economic Development Team (Business and Industry). Council would like to acknowledge and thank industry and business representatives who contributed to the project. www.pmhc.nsw.gov.au

Building our Future:Port Macquarie-Hastings Council wishes to acknowledge the Australian Government, Department of Infrastructure and Regional Development for co-funding the project under the Building Better Regions Fund – Infrastructure Project/Community Investment scheme.

Jetty Research:Jetty Research was appointed by Port Macquarie-Hastings Council to undertake background, field and analytical research; stakeholder engagement; qualitative and quantitative data collection and assessment; and, report on trends, insights and opportunities.www.jettyresearch.com.au

Section 1: Skills Audit at a glanceIntroduction 41.1 Methodology 61.2 Top 3 Growth Areas & Required Skills 71.3 Skills Shortages 81.4 Skills Currently in Demand 91.5 Trends & Insights 101.6 Skills Strengths & Industry Attraction 121.7 Opportunities 15

Section 2: Regional Strengths2.1 Main Industries 162.2 Impact of Demographic Profile 17

Section 3: Current Skills Shortages & Constraints Influencing the Skills Mix3.1 Skills Shortages 183.2 Constraints Influencing the Skills Mix 19

Section 4: Growth Industries & Future Skills4.1 Growth Industries 264.2 Projected Future Employment 26

Appendix: Skills Shortage List NSW 2017 28

DisclaimerWhile all care and diligence has been exercised in the preparation of this report, Jetty Research Pty. Ltd. and Port Macquarie-Hastings Council does not warrant the accuracy of the information contained within and accepts no liability for any loss or damage that may be suffered as a result of reliance on this information, whether or not there has been any error, omission or negligence on the part of Jetty Research Pty. Ltd. or Port Macquarie-Hastings Council or its employees.

Acknowledgements Contents

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Introduction

The Port Macquarie-Hastings Skills Audit (PMH Skills Audit) has been undertaken within a climate of sustained economic growth in this Local Government Area (LGA). Employment projections show that the Mid North Coast is expected to have the highest rate of jobs growth in regional NSW over the next five years - underpinned by industry, infrastructure and population growth.

The importance of identifying opportunities and strengths within the existing skills base, and expanding this base to service current and future industry needs, is critical to ensuring continued, sustainable growth within the PMH region.

The PMH Skills Audit broadly aligns with the Australian Government’s Smart Cities Plan, which prioritises Jobs and Skills (among other key indicators designed to measure the progress and performance of Australian cities). The PMH Skills Audit provides an evidence base that can be used to better align the needs and expectations of employers, education providers and industry sectors to attract industry, boost employment and realise a productive, liveable regional city that attracts talent, encourages innovation and creates jobs and growth.

Strong support and demand from education, employment and industry sectors for the project

was underpinned by a pro-active approach by Council in identifying the need for an audit and enabled by a co-funded grant arrangement under the Department of Infrastructure and Regional Development Building Better Regions Fund – Infrastructure Project/Community Investment scheme.

In addition to capturing historical and current data pertinent to the social and economic factors influencing the skills mix and workforce behaviour in the Port Macquarie-Hastings Local Government Area, the project identified general and specific skills gaps, trends, insights and opportunities, which have the potential to inform strategies to meet current and future workforce needs.

This Summary Report provides high-level project outcomes based on information, data and empirical and theoretical evidence collected throughout the project period. It is augmented by an in-depth Background Paper, which details the current economic environment, qualitative and quantitative outcomes from a Business Survey and Stakeholder Engagement Workshops. The Background Paper is available on request via [email protected].

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1.2 Top 3 Employment Growth Industries + Required SkillsIn response to the Department of Jobs and Small Business growth industry projections for the Mid North Coast, the following skills were identified as being in demand to service these growth areas.

Top three employment growth industries by 2022• Health Care and Social Assistance (3,200 new jobs)• Education and Training (1,200 new jobs) • Construction (1,200 new jobs)

Top three business skills required• Compliance with regulations • Industry-specific skills • Management skills

Top 3 soft skills required• Teamwork• Communication• Problem-solving

1.1 Methodology:The research methodology was undertaken in a number of stages ranging from desktop studies to direct stakeholder engagement - it sets a precedent from which future audits can be modelled.

Background Research

To establish an evidence base.

Reference Group Workshops

Insights, feedback and opportunity exploration by key industry, business and education sector representatives.

Business Leader Interviews

10 x in-depth interviews to gain insight and inform survey questionnaire.

Business Survey

130 x telephone surveys of businesses of varying sectors and size.

Focus Group Workshops

Business owners and managers shared their experience, insight and ideas on how to address skills gaps and recruitment issues.

Reporting Outcomes

A suite of documents make up the first Skills Audit for the PMH region.

Summary Report; Background Paper (including Survey results, Reference Group and Focus Group insights); Brochure of high level insights.

SECTION 1: SKILLS AUDIT AT A GLANCE

Health C

are and Social

Assistance

3,200 new jobs

Education and

Training

1,200 new jobs

Construction

1,200 new jobs

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1.3 Skills ShortagesSkills shortages are driven by a lack of available skills in the region as well as a lack of available training and education offerings. Other factors impacting the workforce and employment conditions in the region are listed below.

• Casualisation of the workforce

• A culture of employing by word-of-mouth

• Lack of trust in job placement agencies

• Expectations and quality of school leavers and technology

Almost seven in ten businesses surveyed reported

that their skills needs were met within the local area, a quarter were not met locally.

Industries which generate the largest contributions in output and contribute significantly to employment in the region, experience difficulties when seeking skills required for their business. These sectors include:

• Construction

• Manufacturing

• Transport Services

• Health Care and Social assistance

• Education and Training

1.4 Skills Currently in DemandThe following industry specific skills were identified as being currently in demand during the survey of 130 businesses.

• IT personnel

• Civil engineers

• Town planners

• Supervisors (all sectors)

• Specialists (all sectors)

• Real estate valuers

• Licensed real estate agents

• Property managers

• Experienced sales staff (retail)

• Industry specific skills (e.g. lotto systems)

• Chefs

• Glaziers

• Cabinet makers

• Truck drivers

• Qualified landscapers and horticulturists

• Metal and tile roofing installers

• Machinists & general manufacturing skills

• Machine operators (piling and drilling)

• Furniture removalists (manual handling and driving)

Soft Skills• Forward thinking

• Ability to use technology

• Ability to communicate

• Higher skill set for managers

Charles Sturt University, Port Macquarie

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1.5 Trends & InsightsThe social and economic environment influencing the skills mix in the PMH region can be characterised by the following trends and insights, which were identified throughout the project.

• Construction, health and aged care, education, hospitality and retail are the major employment drivers in PMH – this trend is anticipated to continue over the next decade.

• PMH has an ageing workforce, largely due to a lack of migration from cities or other regional centres by younger workers.

• Poor inward migration is driven by a lack of advertising of positions and increasing casualisation/sub-contracting in many industries - making it unattractive/unviable for people to move to the region.

• There is disconnect between employer needs, government funding and skills-based training. For example, the apprenticeship system is not delivering sufficient new tradespeople, particularly in fast-growing regional areas such as PMH.

• There is a high percentage of hiring by word-of-mouth, as advertising positions is often seen as “too hard”.

Obviously word-of-mouth is the big one … some of our other staff refer people that have come in, or [people] they know …

Food + Accommodation

• An acknowledged lack of HR skills – particularly among smaller businesses – impacts effective recruitment and staff retention.

• Employment services providers are largely government-funded, and predominantly focussed on finding work for medium/long-term unemployed – this is not aligned with the needs of employers for fresh, skilled workers. Some employers felt “pestered” to take on unsuitable candidates, further alienating them from external recruitment services.

• Local employers feel unable to cost-effectively access high quality recruitment and HR consultancy services, contributing to greater levels of word-of-mouth hiring.

• There is a pool of skilled, semi-retired workers who may thrive in the era of casualisation. Some of these may have moved to the region within the past 5-10 years, and could provide a fresh range of skills and experience. However, they are unlikely to be on the radar of local employers, and may not actively be seeking work.

• Technology is influencing everything – online booking and review apps such as Trip Advisor, AirBnB, EBay, Gumtree, Instagram, Amazon, Facebook and Dimmi were all mentioned as game-changers for employers.

• Younger workers are perceived as often lacking the “soft skills” needed for employment – e.g. communication and presentation skills, and reliability. However they are adept at using technology/social media. How can this be better utilised?

The Native Catering Co., North Haven

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1.6 Skills Strengths & Industry AttractionThe PMH region boasts one of Australia’s strongest economies coupled with an enviable lifestyle. There is great potential to promote and expand the existing skills base to attract industry and those looking to relocate to a thriving, regional location with a diverse economy and vibrant culture.

Over the five years to May 2022, employment in the Mid North Coast SA4 region is projected to rise by 9,200 (up by 11 per cent), the largest projected increase in regional NSW.

Department of Jobs & Small Business, Australia

The PMH region has a high proportion of experienced workers in occupations requiring low to middle level skills. The potential to harness this strong, available workforce would be attractive to industries looking to reduce overheads by relocating to a regional area.

In line with project objectives, the following strengths and associated industry attraction potential were identified.

Skills Strengths:• Readily available, experienced

workers in occupations requiring low to middle level skills.

• A mix of professionals, managers, administration and trades workers offer the diversity of skills to support a range of businesses across industry and of varying size.

• A growing tertiary education sector supplying a stream of trade qualified and university graduates to service expanding and new industries in the region.

Industry Attraction:• A thriving, diversified economy

with strong health, education, construction, manufacturing and retail sectors - small and large businesses can thrive here.

• Fastest growing region on the mid north coast with population projected to reach 100,000 by 2030 – providing a readily available workforce.

• A supportive and innovative business community with strong networks and a culture of innovation and entrepreneurship.

• A regional hub strategically located between two capital cities, supported by strong transport links and infrastructure networks.

• Major projects and big picture planning from NSW’s most progressive Council (2017 A R Bluett Memorial Award recipient) such as new commercial precincts and residential land releases are encouraging investors to realise their potential in the region.

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1.7 OpportunitiesThroughout the project, a series of stakeholder workshops and in-depth interviews with business owners and managers sought to explore opportunities for narrowing skills gaps, growing employment and attracting the right people to the right roles. The following opportunities were identified.

• PMH is ideally placed to become an acknowledged centre of excellence and resource hub for all aspects of health care and aged care (including aged care technology and allied health).

• Efforts to attract younger workers from Sydney, Brisbane and NSW regional areas to the PMH region should continue. In particular, it should target professionals in construction-related trades, and health/aged care.

• A collaborative approach by stakeholders across industry sectors, businesses, employers and Government could be taken to further identify existing and anticipated skill and trades shortages, and to tailor courses to satisfy this demand.

• Employers should be encouraged to seek new (permanent) staff from outside the region – adding fresh talent and skill sets to the existing labour pool. To support these efforts,

employers could consider seeking external HR advice or training existing staff to better understand the recruitment environment.

• A recruitment drive to realise the potential of semi-retired workers re-entering the workforce in a casual/part time capacity could be undertaken.

• Businesses impacted by changing technology could utilise tech savvy, younger employees or seek assistance from emerging, cost-effective, online and social media marketing services.

• Services designed to assist local businesses transition to an online sales environment would not just protect local businesses from online encroachment, but also to assist them in opening up new markets across Australia or globally.

• There is an opportunity for non-government funded recruitment and HR consultancy services to focus on the needs of local employers rather than the long-term unemployed.

• Strategic collaboration between employers, vocational education providers, high school students, parents and careers advisors would better align expectations pertaining to ‘soft skills’ among potential new employees.

Elements of Design, Wauchope

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2.2 Impact of Demographic ProfileThe PMH resident profile differs from NSW as a whole, it has a:

• higher median age (48 in PMH compared to 38 in NSW and 43 in regional NSW);

• lower labour force participation rate (49% compared with 59% in NSW and 55% in regional NSW);

• higher proportion of older couples without children (17% vs 10% NSW and 13% regional NSW);

• smaller proportion of overseas-born residents (11% vs 28% NSW and 11% regional NSW) and those with a language other than English (3% vs. 25% NSW and 6% regional NSW); and,

• lower proportion of university qualified residents (13% vs 23% NSW and 14% regional NSW).

With a slightly older population but lower proportion of university qualified residents, the

region has a significant proportion of experienced workers in occupations requiring low to middle level skills. Given the median workforce age is 49 (vs. 42 for NSW as a whole), PMH needs to attract younger residents to ensure business stability and continued economic growth.

Summary Point: PMH has an ageing workforce, and this trend is

increasing. It is essential to attract

younger residents to ensure business stability and continued economic growth.

2.1 Main IndustriesThe PMH region has performed well in the previous 5 to 10 years due to the existing strengths in the workforce and opportunities presented. Specifically, the demographic profile, lifestyle and scenic attraction, and construction industry boom have seen many employment opportunities for experienced tradespeople, but have also assisted to support the retail, hospitality, health care and aged care industries.

Construction is a major industry in the PMH region, providing the largest output, followed by electricity, gas, water and waste services (although declining in output), and real estate services. This has been buoyed by a sustained land development and housing boom in the region, which has the highest level of residential development on the Mid North Coast underpinned by new land releases and sub-division opportunities. With anticipated population growth, a high level of construction activity is likely to continue - creating continued employment opportunities in construction and assisting to support the retail and manufacturing sectors.

In 2016-17, more PMH businesses operated in the construction industry than any other industry (total of 1,216 businesses) with 92% being very small, either having 1-4 employees (418 businesses) or being non-employing (704), independent contractors. Large businesses with more than 20 employees were more likely to cover accommodation and food services or health care and social assistance.

Health care and social assistance provided the largest number of jobs to the area in 2016-17, due partly to the ageing population, with education, hospitality, and retail being the other major employment drivers in the region.

According to respondents to the PMH 2017 Business Confidence Survey, Business confidence in the region is positive. A quarter of businesses surveyed in the area saw an increase in the number of employees over the past year and

just over one-third of respondents expected an increase in the number of employees at the same time next year. This suggests a reasonable to high level of confidence within local businesses and potentially good employment growth prospects.

Summary Point: Health Care and Social Assistance, Retail Trade, Construction and Education and Training are the major employment drivers in PMH – and will continue to be for the next decade.

Summary Point: Construction, Electricity, Gas, Water and Waste Services, Rental Hiring and Real Estate and Manufacturing are the industries with the greatest output (revenue) in the PMH region.

SECTION 2: REGIONAL STRENGTHS

Burger Rebellion, Port Macquarie

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3.2 Constraints Influencing the Skills MixLack of available skills and training offerings, and disconnect between employer and employee expectations were cited by businesses as the major challenges in their businesses. Specifically, 58% of businesses cited the lack of available skills in the region as the main recruitment challenge in their business. About half claimed that limited training and education offerings were of concern. Also of note was the proportion who claimed that employees’ attitude towards employment was a major obstacle (25%).

Research and in-depth interviews identified the following constraints influencing the skills mix in the PMH region:

• Lack of available skills

• Education and course offerings available

• Casualisation of the workforce

• Culture of employing by word-of-mouth

• Lack of trust in job placement agencies

• Expectations and quality of school leavers

• Technology – changing the game and constantly evolving

Lack of available skillsThe demographic profile of the PMH region differs from the broader NSW profile in that it is slightly older and less likely to be university qualified. As a destination popular among retirees, the population has a higher proportion of empty nesters (those less likely to have children living at home).

The in-depth business interviews revealed that these characteristics make some of the current workforce less receptive to training and new skill development. While many local businesses offer training as a means to up-skilling staff, some find it difficult to encourage participation among specific demographic groups.

Manufacturing: “To get them to go to the courses can be quite exhausting. The older ones are afraid of IT and would prefer to be on the floor working hard”.

Additionally, the lack of available jobs for high school and university graduates means that younger people need to leave the region to engage in ongoing education or employment, further contributing to the ageing population.

The lack of available jobs for high school and university graduates was typically a product of the large proportion of small businesses in the region. Small businesses often required individuals to have a significant track record operating within a niche role (such as a construction sales person, truck driver, or experienced produce manager). This requirement for experience was typically characteristic of smaller organisations where there was no role duplication, or in which individuals worked independently.

Construction: “For some roles we need specific experience (such as estimators) – more an experience issue than a skill problem. We don’t have duplicates of roles – no one to learn from, so they need to have the skills and experience. “

An exception to this was, anecdotally, the health care and social assistance sector, where limited Transition to Professional Practice places were available for newly graduated Registered Nurses, resulting in graduates in this sector leaving the region to complete this training, with many not returning.

Summary Point: The ageing population is largely due to a lack of migration from larger centres by younger workers.

Summary Point: A lack of job opportunities for university graduates coupled with an inability of smaller organisations to take on qualified, but inexperienced, young workers is impacting the viability of youth remaining in, or relocating to, the region.

The research uncovered the current skills shortages present in the region and a number of constraints influencing the current and forecast future skills mix available to the region. Skills considered currently in demand (according to survey respondents) are listed in Section 1.4 Skills Currently in Demand.

3.1 Skills ShortagesTwo in three businesses reported that their skills needs were currently met within the local area, while a quarter were not met locally (with the balance unsure). However, by industry around four in five businesses in the retail and the accommodation and food services industries reported that all of their skills needs were able to be met within the local area. In contrast, only half of businesses in manufacturing and in construction were able to source their skills needs locally.

This suggests that the industries which generate the largest contributions in output and contribute significantly to employment in the region, experience difficulties when seeking skills required for their business. These sectors include:

• Construction

• Manufacturing

• Transport Services

• Health Care and Social assistance

• Education and Training

The sectors not (generally) reporting skills shortages include:

• Retail

• Accommodation and Food Services (with the exception of chefs, where some shortages were reported)

Among other factors outlined in this section, skills shortages were felt to be driven by a lack of available skills in the region as well as lack of available training and education offerings. Skills shortages in the PMH region are generally aligned with state wide and regional shortages set out in the Department of Jobs and Small Business Skills Shortage List 2017 (appended).

More locally, those skills cited as being in short supply tended to be extremely specific to the role or industry (for example: real estate valuers, metal and tile roofing installers, glaziers and cabinet makers). In addition to very specific skills, some businesses were unable to find recruits with specific experience in supervision, management or sales. And others mentioned more specific life skills such as being forward thinking.

SECTION 3:SKILLS SHORTAGES & CONSTRAINTS INFLUENCING THE SKILLS MIX

He

alth Care

and S

ocial A

ssistance

Co

nstructio

n

Manu

facturing

Transport S

ervice

s

Edu

cation and Training

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Summary Point: The trend towards casualisation and sub-contracting in some industries (particularly hospitality and construction) is a serious impediment to attracting fresh and/or younger workers to the region.

Summary Point: There is a pool of skilled, semi-retired workers who may thrive in the era of casualisation. Some of these may have moved to the region within the past 5-10 years, and could provide a fresh range of skills and experience. However, they are unlikely to be on the radar of local employers, and may not actively be seeking work.

Education and course offerings availableIt was felt by employers that universities and other training providers did not consider the future labour market when creating courses – resulting in the provision of too many of some skills and not enough of others.

Conversely, education sector representatives, who were engaged as part of the Reference Group, reported a reactionary approach to industry demand for courses (particularly in trades) and undertaking independent research and forecasting when structuring course offerings.

Specific roles within growing industries were difficult to recruit for, including aged care and social assistance, early childhood educators, health professionals and manufacturing staff. With the leading sectors for employment growth in the Mid North Coast region expected to be Health Care and Social Assistance (3,200 new jobs), Education and Training (1,200 new jobs), and Construction (1,200 new jobs), opportunity exists to better align education and course offerings to future employment requirements.

Summary Point: There is perceived disconnect between employer needs, government funding and skills-based training. In particular, the apprenticeship system is not delivering sufficient new tradespeople, particularly in fast-growing regional areas such as PMH.

Casualisation of the workforceCasualisation of some industries, together with an expansion in the use of sub-contractors, has created difficulties in staff retention. In the early 2000’s, the ‘trend’ was to find efficiencies through process improvement. It is felt that some industries have moved on and now seek efficiencies and cost savings through their use of labour - favouring casual staff and sub-contractors over full-time and part-time staff.

Casual staff and sub-contractors present cost savings in that they are flexible and can be better managed to cover peak periods. While this is beneficial to the business, it is not conducive to employers training or up-skilling staff, or to taking on apprentices.

Additionally, casualisation has implications for employees requiring job security. Fixed employment is generally required for securing loans, and – critical in this context - providing an incentive for people and families to move from metropolitan to regional areas. This form of employment is often satisfactory only for a short period until the employee is able to find a permanent role and then move on.

Hospitality: “When I was first in hospitality – two thirds [of staff] were full time and now only one fifth. We bring them in as we need them creating flexibility for us but uncertainty for the employee. They get a full-time job as soon as they can so they can get a mortgage.”

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Lack of trust in job placement agenciesEmployment services providers are largely government-funded, and predominantly focussed on finding work for medium/long-term unemployed. As a result, they are not necessarily aligned with the needs of employers for fresh, skilled workers.

This has contributed to local employers being unable to cost-effectively access high quality recruitment and HR consultancy services. The current funding model has also led to some employers complaining of being “pestered” to take on unsuitable candidates - further alienating them from external recruitment, and those providing such services.

Summary Point: Employment services are not felt to have the employers’ interests in mind when seeking to place recruits, leading to an often expensive and ineffective job placement as well as reducing businesses feeling of trust in agencies when seeking HR consulting services and support.

Culture of employing by word-of-mouthWhile recruitment processes varied, word-of-mouth was most commonly used to source employees (55%). Media advertising (32%) and recruitment agencies and services (36%) were also identified as important sources for workforce recruitment, although these methods were used far more frequently by larger companies than smaller ones.

Some businesses reported they were lucky to have people contact them regarding employment (either due to relocation to the area – administrative roles, or as an after school job – retail), others had to advertise either locally or, for more specialist roles, outside of the region. Partnerships with schools and TAFE were also successful in assisting with recruitment for some roles such as administration and store workers.

Construction: “We’ve always found people by chance. The last person I hired I found on Facebook.”

Construction: “The majority are people who come off the street looking for work – fortuitous.”

Retail: “I also network with TAFE and Newman College to let them know when things are coming up.”

This suggests that businesses place high value on referrals and prefer to source individuals through their networks. This presents a number of opportunities to form informal recruitment networks and groups.

While there are advantages to word-of-mouth hiring, such as lower recruitment costs (in time

and labour) and supporting local residents; the downside includes a reduction in the local talent pool and the exclusion of new residents and those seeking to relocate who might use online or agency services to seek employment.

Summary Point: There is a strong tendency to recruit using word-of-mouth, as advertising positions is often seen as ‘too hard’. An acknowledged lack of HR skills – particularly among smaller businesses – is also likely to be an issue in recruiting and retaining the right staff.

Summary Point:The lack of advertising of positions and increasing casualisation/use of sub-contracting in many industries, makes it unattractive/unviable for people to move to the region.

Sails Port Macquarie

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Technology – changing the game and constantly evolvingThroughout the project and during stakeholder and employer workshops, the issue of technology constantly arose. In most instances, the technology and social media revolution was perceived more as a threat than an opportunity. This encompassed online shopping impacting shopfront retail sales, challenges with online booking platforms and dealing with bad online reviews:

Hospitality: “You’ve got TripAdvisor. You’ve got all the social media now where they trash restaurants and that sort of thing…They don’t have to put their names to it. It’s just another form of bullying if you ask me.”

Accommodation: “You live and die by your social media reviews, so we will always pick that skill, but it’s really hard to find someone with great customer service and also having that ability to take your business to the next level, to really take advantage of all the innovation and technology that’s out there.”

Retail: “We need Ebay. You have to do it. We have to do it or we would just die.”

Employers mainly understood the opportunities presented by technology, but felt restricted by time or lack of skills to properly exploit these opportunities. At best, employers felt reactive rather than pro-active in managing the opportunities presented by technology (generally), online sales platforms and social media management.

Summary Point: Technology is influencing everything – Trip Advisor, AirBnB, EBay, Gumtree, Instagram, Amazon, Facebook and Dimmi were all mentioned as game-changers for employers – and this is just the tip of the iceberg. Many employers feel under-resourced or under-skilled to deal with technological threats, let alone find ways to use this same technology to expand their businesses.

Expectations and quality of school leaversIt was felt that schools and some education providers no longer teach “job-readiness”, work ethic, and high quality basic literacy and numeracy.

Hospitality: “Basic mathematics and general writing skills are lacking. Also lack of attention to detail – distracted by things on Facebook. FOMO (Fear Of Missing Out) impacts their jobs.”

Childcare: “The quality of candidates varies. While they all have a Cert 3, basic job readiness skills are lacking in those from particular colleges - work ethic, initiative, ears switched on, seek feedback, take directions, please and thank you and conflict resolution.”

Businesses felt that education providers needs to teach students about workplace requirements and employer expectations in an effort to bridge the ‘soft skills’ gap existent in this relationship. It is anticipated that a broader understanding of these requirements will better prepare young employees in their transition to the workforce and improve retention rates once there. An opportunity for collaboration between business and education providers exists to reduce the onus on the education sector in this regard.

Today’s culture of FOMO (fear of missing out), addiction to social media, career restlessness and expectations of swift promotions and high pay levels was also felt to impact the quality of work provided by school leavers:

Hospitality: “Drive to never be satisfied – always driving for the next role. Hoping to start rotating responsibilities and doing different things to keep people fresh.”

Summary Point: Younger workers are perceived as often lacking the “soft skills” needed for employment – e.g. communication and presentation skills, reliability. However they are totally comfortable with technology/social media. How can this be better utilised?

Charles Sturt University,

Port Macquarie

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ConclusionThe Port Macquarie-Hastings region jobs outlook is positive – with the highest employment growth in regional NSW forecast over the next 5 years. Our ability to service this growth with a skilled and adaptable workforce will further secure Port Macquarie-Hastings as a pre-eminent regional city.

Challenges currently influencing the local skills mix including lack of available skills, relevant education and training offerings, recruitment practices and employer expectations are tempered by opportunities for collaboration and a strong economy with the potential to attract workers and industry, and to broaden the existing skills base.

The importance of fostering strong, collaborative relationships between employers, business networks, and education and training providers is paramount. Building a job ready workforce that

can leverage its strong literacy and numeracy skills against a culture of continual learning and willingness to undertake workplace training will result, over time, in a workforce capable of adapting to the changing employment landscape now and into the future.

The Port Macquarie-Hastings Skills Audit is the first of its kind specifically focussed on this region. The in depth research provides baseline data from which future Skills Audits can be measured and modelled. Tracking the progress and skills base of the workforce over time will enable informed and strategic decision making across industry, education and government sectors as well as providing information to employers and those seeking to align their skills with growth sectors in the region.

For more information about this project please email [email protected].

4.1 Growth IndustriesThe period 2006 to 2016 was one of strong employment growth in the PMH region. Industries that saw the largest growth in employment during that timeframe included administrative and support services (up 66%), and health care and social assistance (up 56%). Construction saw an increase in 30%. Declines over the period were seen in manufacturing (-29%) and information media and telecommunications (-21%).

4.2 Projected Future EmploymentRecent employment projections from the Department of Jobs and Small Business indicate that over the five years to May 2022, the Mid North Coast SA4 region will experience regional NSW’s highest rate of employment growth, with the labour market increasing in size by 11% and creating 9,200 new jobs.

The leading sectors for employment growth are expected to be Health Care and Social Assistance (3,200 new jobs), Education and training (1,200 new jobs), and Construction (1,200 new jobs). The industries expected to see a decrease in jobs include manufacturing and electricity, water, gas and waste services, both of which are likely to lose 200-300 jobs by 2022.

Businesses reported that compliance with regulations would be an extremely important skill for their staff in the next 5 years. Similarly, industry-specific and management skills were also regarded as becoming increasingly important over the coming decade.

Teamwork, communication, and problem-solving skills were the top three soft skills perceived by the majority as extremely important for their business over the next 5 years. Many survey respondents found it difficult to predict skill requirements into the future, most recognised IT/Computer skills are being relevant. Others pointed to specific trade or industry skills.

SECTION 4: GROWTH INDUSTRIES & FUTURE SKILLS

Health C

are

and Social

Assistance

Adm

inistrative

and Suppo

rt S

ervice

s

UP 56% 2006-2016

UP 66% 2006-2016

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Skill Shortage List New South Wales 2016-17This list shows occupations which were assessed in 2016-17 by the Department of Employment specifically for New South Wales, for which shortages or some recruitment difficulty is evident. Additional occupations were assessed for Australia as a whole (state-level information is not available). Listings of shortages from this research are available on page 6 in the section occupations assessed at the national level.

These lists are summary in nature and should be viewed in the context of the more detailed analysis available in the occupational reports which are published on the Department’s website.

Ratings of shortage reflect employers’ recruitment experience for workers with around three years or more experience in the relevant occupation. Shortages may exist in occupations which have relatively high rates of unemployment. A rating of shortage does not mean that an individual will necessarily gain employment in that occupation.

This list has no status for migration.

Details about the methodology used in this research are available at employment.gov.au/skill-shortages.

The lack of a rating for an occupation does not necessarily imply ‘no shortage’ as the occupation may not have been assessed. Reports for occupations assessed for New South Wales are published at state and territory skill shortage information. For the complete set of occupational reports, see skill shortage information by occupation.

Labour markets can change quickly and vary by location. The assessments made here reflect the labour market at the date shown.

Key to ratingsS State-wide shortage

M Shortage in metropolitan areas

R Shortage in regional areas

D Recruitment difficulty

R-D Recruitment difficulty in regional areas

M-D Recruitment difficulty in metropolitan areas

Definitions of ratingsShortage

Skill shortages exist when employers are unable to fill or have considerable difficulty filling vacancies, or significant specialised skill needs within that occupation, at current levels of remuneration and conditions of employment, and in reasonably accessible locations. For occupations assessed at a national level, a rating of S represents a national shortage.

Recruitment difficulty

Recruitment difficulties occur when some employers have difficulty filling vacancies for an occupation. There may be an adequate supply of skilled workers but some employers are unable to attract and recruit sufficient suitable workers for reasons which include: the specific experience or specialist skill requirements of the vacancy; differences in hours of work required by the employer and those sought by applicants; or particular locational or transport issues.

Definition of occupationOccupations are defined according to the Australian and New Zealand Standard Classification of Occupations (ANZSCO) which is published by the Australian Bureau of Statistics to provide uniformity in the collection, analysis and dissemination of occupational statistics in Australia and New Zealand.

Managers

Occupation Group

ANZSCO Occupation NSW Rating

Date Assessed

Comment

Specialist Managers

1341-11 Child Care Centre Manager

S August 2016

ProfessionalsDesign, Engineering, Science and Transport Professionals

2321-11 Architect S April 2017 The shortage extends across all sectors surveyed including residential, aged care and education construction.

Design, Engineering, Science and Transport Professionals

2322-12 Surveyor S April 2017 Positions for registered surveyors and for senior surveyors with a number of years of experience were the hardest to fill.

Design, Engineering, Science and Transport Professionals

2332-11,12, 14,15

Civil Engineering Professionals

M April 2017

Design, Engineering, Science and Transport Professionals

2333-11 Electrical Engineer

D April 2017 The recruitment difficulty is for electrical engineers with experience in the Mining industry and with Level 3 ASP accreditation.

Education Professionals

2411-11 Early Childhood (Pre-primary School) Teacher

M-D April 2017 The recruitment difficulty is for long day care centre early childhood teachers in Sydney.

Health Professionals

2512-14 Sonographer S June 2017 While the labour market for sonographers has eased over the past two years, employers across both the public and private sector still face considerable difficulty recruiting sonographers.

Health Professionals

2514-11 Optometrist R June 2017

Health Professionals

2515-11,13

Hospital and Retail Pharmacist

M June 2017

Health Professionals

2525-11 Physiotherapist D June 2017 The recruitment difficulty is for senior physiotherapists.

Technicians and Trades WorkersAutomotive and Engineering Trades Workers

3211-11 Automotive Electrician

S December 2016

Shortages are for automotive electricians in automotive electrical repairs and servicing, fitting vehicle accessories, fault finding and re-wiring, repairs and servicing to air conditioning units and providing services to the mining sector.

Automotive and Engineering Trades Workers

3212-11 Motor Mechanic (General)

S December 2016

Shortages are for light vehicle mechanics in motor vehicle dealerships, workshops and providing mobile roadside assistance.

Automotive and Engineering Trades Workers

3212-12 Diesel Motor Mechanic

S December 2016

Shortages are evident for diesel mechanics working across various types of heavy vehicles including trucks, buses, cranes, mobile plant and agricultural equipment.

APPENDIX

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Occupations assessed at the national levelThe following occupations were assessed in 2016-17 at the national level only. Separate ratings are not available for New South Wales.

ProfessionalsOccupation Group

ANZSCO Occupation NSW Rating

Date Assessed

Comment

Design, Engineering, Science and Transport Professionals

2347-11 Veterinarian S March 2017

Health Professionals

2527-11 Audiologist S May 2017

Legal, Social and Welfare Professionals

2713-11 Solicitor D February 2017

The recruitment difficulty is for solicitors with five or more years of experience.

Technicians and Trades WorkersEngineering, ICT and Science Technicians

3121-14 Construction Estimator

S April 2017 A shortage of experienced construction estimators is evident across most sectors of the industry. Employers in New South Wales and Victoria, and those seeking estimators with at least five years of experience, have the least success in filling vacancies.

Engineering, ICT & Science Technicians

3132-11 Radiocommu-nication Techni-cian

R November 2016

Shortages are evident for qualified radiocommunication technicians in regional areas.

Automotive & Engineering Trades Workers

3233-13 Locksmith S December 2016

Construction Trades Workers

3311-12 Stonemason S September 2016

Construction Trades Workers

3331-11 Glazier S September 2016

Shortages are evident in the eastern mainland states.

Construction Trades Workers

3332-12 Solid Plasterer S September 2016

Shortages are restricted to the eastern states.

Construction Trades Workers

3333-11 Roof Tiler S August 2016

Shortages are most evident in the eastern states.

Construction Trades Workers

3334-11 Wall and Floor Tiler

S September 2016

Shortages are restricted to the eastern states.

Electrotech-nology and Telecommuni-cations Trades Workers

3424 Telecommuni-cations Trades Workers

S December 2016

Employers have marked difficulty recruiting telecommunications trades workers who meet their skill needs. Those in regional areas attract very few candidates and shortages are most prominent in these areas.

Food Trades Workers

3511-11 Baker S October 2016

Food Trades Workers

3511-12 Pastrycook S October 2016

Skilled Animal and Horticultural Workers

3622-12 Arborist S September 2016

Hairdressers 3911-11 Hairdresser S August 2016

Shortages are evident for trade qualified and experienced hairdressers. Employers generally consider those who hold fast-tracked hairdressing qualifications to be unsuitable.

Occupation Group

ANZSCO Occupation NSW Rating

Date Assessed

Comment

Automotive & Engineering Trades Workers

3212-13 Motorcycle Mechanic

S December 2016

Automotive & Engineering Trades Workers

3222-11 Sheetmetal Trades Worker

M December 2016

Automotive & Engineering Trades Workers

3223 Structural Steel and Welding Trades Workers

S December 2016

Automotive & Engineering Trades Workers

3232-11, 12,13

Fitters S December 2016

Automotive & Engineering Trades Workers

3232-14 Metal Machinist (First Class)

M December 2016

Shortages are for experienced metal machinists in Sydney, particularly for workers with Computer Numerical Controlled (CNC) machine programming skills.

Automotive & Engineering Trades Workers

3241-11 Panelbeater S November 2016

Automotive & Engineering Trades Workers

3243-11 Vehicle Painter S November 2016

Construction Trades Workers

3311-11 Bricklayer S August 2016

Construction Trades Workers

3312 Carpenters and Joiners

S August 2016

Construction Trades Workers

3322-11 Painting Trades Worker

S August 2016

Construction Trades Workers

3332-11 Fibrous Plasterer S August 2016

Construction Trades Workers

3341 Plumbers S September 2016

Shortages are evident for general plumbers and roof plumbers across NSW.

Construction Trades Workers

3941-11 Cabinetmaker S August 2016

Shortages of cabinetmakers are state-wide but are particularly evident in regional areas.

Electrotech-nology and Telecommuni-cations Trades Workers

3411-11 Electrician (General)

M September 2016

Electrotech-nology and Telecommuni-cations Trades Workers

3421-11 Airconditioning and Refrigeration Mechanic

M September 2016

Shortages are evident in Sydney for airconditioning mechanics and refrigeration mechanics except for positions that entail both roles.

Food Trades Workers

3512 Butchers and Smallgoods Makers

S December 2016

Food Trades Workers

3513-11 Chef S October 2016

Community and Personal Service WorkersHealth and Welfare Support Workers

4114-11 Enrolled Nurse S June 2017

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