Australia’s Jobs and Skills Summit
Held in September, Australia’s Jobs and Skills Summit brought together representatives from unions, employers, civil society and governments to address the economic challenges caused by current labour shortages. The Summit and subsequent Employment White Paper that was released focused on: keeping unemployment low while boosting productivity and incomes delivering secure, well-paid jobs and strong, sustainable wages growth expanding employment opportunities for all Australians, including the most disadvantaged addressing skills shortages and getting our skills mix right over the long term improving migration settings to support higher productivity and wages maximising jobs and opportunities from renewable energy, tackling climate change, the digital economy, the care economy and a Future Made in Australia ensuring women have equal opportunities and equal pay Led by the Prime Minister and Treasurer and supported by other key ministers, the Summit recommended immediate actions and opportunities for medium and long-term reform. The key recommendations to come from the event covered a range of different areas, including: Technical and Further Education (TAFE) One billion in funding was committed to paying for free TAFE courses and more than 460,000 free TAFE places. Other training opportunities will be created to encourage more women, First Nations people, regional Australians and culturally diverse Australians to participate in the workforce. Measures will be put in place to reduce barriers to employment and increase apprenticeships. The Government also pledged to develop a comprehensive blueprint with key stakeholders to support and grow a quality Vocational Education & Training workforce. Overseas migrants One of the main contributors to Australia’s workforce shortages is a lack of migrant workers. During COVID, many immigrants and short-term visa holders returned home, which reduced the ‘pool’ of skilled and unskilled workers in Australia. At the Jobs and Skills Summit, it was decided to expand the permanent migration program from 160,000 to 195,000 people between now and the end of next year. For temporary workers and international students, visas will be extended and work restrictions relaxed. Funding has also been committed to fast-track the current backlog of visa applications. In addition to this, international students who study nursing, engineering, IT and teaching (to name a few) will be allowed to stay and work in Australia for an additional two years after completing their course. Master’s graduates will have their post-study work-rights visas increased from three to five, and PhD graduates will be able to stay six years, up from four. Fair Work The Government will update the Fair Work Act to create a simple, flexible and fair new framework that ensures all workers and businesses can negotiate in good faith for agreements that benefit them. These include small businesses, women, care and community services sectors, and First Nations people. In addition to this, the Government will: Consider options to support the Fair Work Commission build cooperative workplace relationships Consider how to best help employer representatives and unions improve safety, fairness and productivity in workplaces Amend relevant legislation to give workers the right to challenge unfair contractual terms Initiate a detailed consultation and research process on the concept of a living wage, reporting back in late 2023. Initiate a detailed consultation and research process considering the impact of workplace relations settings (such as rostering arrangements) on work and care, including childcare. The Government will also update the Fair Work Act to: Provide proper support for employer bargaining representatives and union delegates Provide stronger access to flexible working arrangements and unpaid parental leave so families can share work and caring responsibilities Provide stronger protections for workers against adverse action, discrimination, and harassment Women in the workforce To encourage female participation in the workforce, businesses with 100 employees or more will be required to publicly report their gender pay gap to the Workplace Gender Equality Agency. Employers with 500 or more employees must commit to measurable targets to improve gender equality in the workplace. Pensioner working hours Finally, pensioners will be able to earn an additional $4,000 during the 2022/2023 financial year without losing any of their pension. This is on top of the $480 fortnightly earning limit that currently applies. The goal of these changes is to deepen the talent pool and remove barriers to entry so more Australians can actively participate in the workforce, which should make a difference to wage pressures and skills shortages currently being experienced by employers. You will find the extended outcomes document with all the immediate actions and areas for further work here. Need to build a skilled team of employees in Australia? Contact ANZPEO for help finding, recruiting and onboarding the right people today.
Top recruitment tips during a labour shortage in Australia
Overcome Australia’s labour shortage It’s no secret that there is a shortage of good workers in Australia right now. Unemployment is hitting near record lows, with the Australian Bureau of Statistics recording a drop to 3.5% in June. While high employment is good for the nation for many reasons, it means finding skilled and productive staff can be difficult. So what do you do to ensure that your workplace is both a magnet for high-quality workers and a haven for your current people? Let’s start with attracting employees. Beat labour shortages in Australia You want potential employees to see your company as a desirable workplace so there are plenty of responses to your job advertisements. Here are some ways you can do that: Marketing Many businesses now apply a marketing strategy to attract talent. An easy place to start is with a careers page, which will highlight the many reasons to work for your organisation and give people an easy way to send through their details. Your careers page can have videos promoting your workplace and even blog posts about what it’s like to work there. Don’t be afraid to add some personality so your company stands out. List the benefits people receive when working with you such as rostered days off, subsidised healthcare or regular team gatherings. Pay competitive salaries At the end of the day, money talks. If you can offer above award wages (award wages are the minimum standard for many professions, particularly trade-based roles), you will be able to attract more applicants and have more flexibility around who you choose. Offer perks Other perks in addition to a competitive salary will put your business ahead of the competition. – Working from Home Allowance: Over the past few years it has become more commonplace for some sectors in the workforce to work remotely from home. You may consider paying you workers a Working from Home Allowance to cover costs such as electricity and internet cost. – Food: There’s nothing better than a free lunch. Even if it’s only once a month, a free lunch can be an excellent motivator and a way to develop camaraderie across your team – Health insurance: In the USA, many companies include health insurance as part of their package but it is not the same in Australia. However, offering a monthly health insurance rebate of $100-$200 can be an appealing perk – RDOs: Some businesses and organisations in Australia offer their workers a nine day fortnight — they work slightly longer hours or take a shorter lunch break in return for every second Friday or Monday off work. – Flexible hours: Staggered start times can make a big difference to people’s schedules and stress levels. It’s easy to set a window for start times, e.g. between 7:30 am and 10 am, so long as people work their standard 7.5-8 hours per day. Retention Of course, to reduce the need to hire, you need a strategy to hold onto your existing team. What’s most important is creating a place people enjoy showing up to, whether virtually or in person. – Workplace culture Culture exists at every workplace and can be tricky to define but when you get it right you have fast-moving teams who get more done with less effort. One way to guide culture is to have clear values and to share them as part of the hiring and onboarding process. When challenging behaviours arise, you can refer people back to the company values and have constructive conversations. People work better together when they have a sense of kinship and belonging. Hosting regular catch ups and events is a great way to foster a stronger team. If you have people working remotely, consider some online games and activities. – Be free with your feedback Staff work better when they know where they stand. Frequent, constructive feedback can help your employees improve while also letting them know they are noticed and valued. Scheduling regular catch ups also allows them to raise any concerns, frustrations or issues. – Build your social and environmental conscience Studies have found employees and in particular the younger generation will hesitate to accept a job if their employee doesn’t have a strong Corporate Social Responsibility (CSR) policy, and 83% would be more loyal to a company that helps them contribute to social and environmental issues. CSR means actively contributing to the community and taking steps to minimise waste and build a more sustainable future. Some studies have even found the youngest workers prioritise purpose over salary. Focusing on improving your business in this area can help to attract ‘bright young things’ and build their loyalty. Want more information about how to quickly fill staff vacancies in Australia? Talk to ANZPEO.