Local businesses in the north east region are still grappling with ongoing challenges stemming from a nationwide labour shortage, which has left essential positions vacant and put pressure on businesses to meet demands.
Despite regional trends showing a slight improvement in recruitment difficulty, employers in the area continue to face hurdles in filling crucial roles across various sectors.
A recent report from Jobs and Skills Australia’s Recruitment Experiences and Outlook Survey (REOS) for the December quarter of 2023 revealed a decline in recruitment difficulty for employers nationwide.
While Victoria recorded the largest annual decline in recruitment difficulty, local businesses still struggle to attract qualified candidates.
The report indicated a shift from a lack of applicants to a lack of suitable candidates as a leading reason for recruitment difficulty in 2023. Employers cited various factors contributing to their struggles, including job conditions, candidates lacking experience or technical skills, and the location of the business, particularly in regional areas like Yarrawonga and Mulwala.
Industries in the region, including Retail Trade and Professional, Scientific, and Technical Services, reported declining recruitment rates over the year. Despite the Accommodation and Food Services industry having the highest recruitment rate, it also faced challenges, with a decrease in employers expecting to increase staffing numbers compared to the previous year.
The situation has prompted calls for urgent action, particularly from All Saints Estate CEO Eliza Brown who also sits on the GoTAFE Executive Board and is chair of the RDA Hume region.
“The Victorian High Country is facing a pressing challenge: a severe shortage of workers, particularly in the vital sectors of hospitality,” Ms Brown said.
“This shortage not only strains local businesses but also threatens the sustainable growth of our dynamic tourism industry.
“We’re urging the federal government to include jobs in the Victorian High Country under the 88 days requirement for the Working Holiday Visa program, with a special focus on roles in hospitality.
“Presently, this requirement only applies to work undertaken in northern or remote Australia.
“By expanding this program, we can effectively address the labour shortage, bolster local businesses and provide working holiday visa holders with an unforgettable experience in our diverse and picturesque region.”
Mulwala Water Ski Club CEO Peter Duncan said the ski club has not been affected too heavily this time around in terms of staff shortages but more staff is always required.
“We haven’t been drastically affected by staff shortages but we can do with more bus drivers and coffee shop attendants,” Mr Duncan said.
“Accommodation is difficult to find for people wanting to relocate to the area and is a deterrent for potential employees.
“We are a small community with three large clubs requiring employees in an industry that requires varying hours (late hours) and weekend work.
“Many years ago, most of the staff we had, it was there second job. Now not many people work two jobs.
“Also, uni students tend to stay in Melbourne where they can pick up work instead of coming home in holiday periods and long weekends.
“We used to have many students return home for work.
“Some of the strategies we have implemented for recruitment have included social media and staff recruiting friends, family, associates. etc.”
Building industry boost needed
Within the trades industry, Australia will not meet its critical housing targets without an urgent boost in the skilled workforce according to the Master Builders Association as supported by the Shadow Minister for TAFE, Skills and Tertiary Education Justin Clancy and Mulwala builder Andrew Kennedy.
“Commencement rates look to be taking a concerning turn for the worse at a time when we need more young people starting their trade education,” Mr Clancy said.
“The only official figures available are from June last year. Meanwhile the government is sitting on more recent data which it is choosing not to release.
“The people of NSW, who are experiencing ongoing challenges and frustrations in entering the housing market, deserve to know what the latest figures are in terms of training the next generation of tradies – and if the decline is continuing, how the governments are responding.
“Just saying we are doing a review doesn’t cut it.”
Kennedy Builders Mulwala Director Andrew Kennedy strongly supports the stance by Mr Clancy.
“I totally agree with Justin’s comments,” Mr Kennedy said. “The whole building industry needs support to train new tradesmen/women. They are our future.”
Yarrawonga Manufactured Housing (YMH) Operations Manager, Troy Maxted said YMH are always short staffed, and it has a real effect on the businesses ability to take on more volume.
“Qualified, experienced carpenters continue to be extremely challenging to recruit,” Mr Maxted said.
“Professionals have also been difficult to find, there just doesn’t seem to be any experienced draftspeople or estimators locally looking for these types of positions.
“Newcomers to the area and people wanting to move to the area have been our most successful avenue of recruitment with many appointments coming through this avenue.
“We are always looking at ways to attract and retain staff. We have flexible working hours, sign on bonuses, and assist with relocation costs where applicable plus other initiatives.”
Mr Maxted said he believes there are definitely policy changes and government interventions that could help alleviate the labour shortage, saying that the government needs to be pushing incentives and provide better training opportunities to attract both tradespeople and professionals to the construction industry.
“It would be great to see more policy discussions coming forth and more promotion of the opportunities within the construction industry in an effort to support business and to work towards securing the future of the industry,” Mr Maxted said.
“We need regional support and promotion to ensure our kids know what the opportunities are well before they leave school and can start understanding what a career path within the construction industry could look like.
“This needs to not only cover apprenticeships, but to also cover professional opportunities for kids that are looking more along the academic side of things and may be interested in continuing on with further study by going to university to study project management, estimating, drafting or engineering etc.”
In November last year Mr Clancy raised Questions on Notice to the government to release student numbers and fee-free place data, with the official response being that the data will be released in annual reports.
“Too little, too late! If there’s an enrolments crisis, employers, students, industry associations and the public need to know that government is not just talking and hand-wringing, but actually acting,” Mr Clancy said.
He has called upon the Minns government to work more closely with expert industry groups to help solve the tradie crisis.
“We are not hearing anything from government about working in partnership with our trade associations to get more Aussie men and women on the tools,” Mr Clancy said.
“The National Electrical and Communications Association (NECA) is an example of a not-for-profit industry-led training provider who are achieving results in this sector.”
NECA offers employment and trade training to almost 5,000 apprentices nationally, and boasts a consistent apprenticeship completion rate exceeding 90%, compared to the national average of 55%.