Local businesses in Corowa and Rutherglen 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.
However, this has not translated to relief for businesses in Corowa and Rutherglen, where job listings for positions such as piggery workers, hospitality staff, teachers, labourers, production workers, and agricultural hands remain unfilled.
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 Corowa and Rutherglen.
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.
Border regional builder Evident Construction’s director Peter Adams said it had been a challenge to find skilled workers in the region since the pandemic. “There’s a demand for our services, and the shortage of skilled workers and even apprentices not only affect our ability to take on new projects but also puts a strain on existing staff who have to pick up the slack.”
Corowa High School Principal Dr Joanne Bellette, speaking to the Free Press in late 2023, said they had faced
a “consistent shortage of teachers at the high school” putting pressure on existing staff.
“When someone needs to take leave, or they are sick, we only have a very small supply of those teachers before we are then looking at collapsing classes and taking other measures.”
To make matters worse, number of opportunities for apprentices and trainees across regional Victoria has plummeted with the latest data revealing “Fee-Free TAFE” skills policy has failed to maintain the number of apprentices and trainees.
The statistics reveal the loss of 2,810 positions across nine Victorian electorates in the 2022-2023 financial year.
The number of apprentices and trainees taking up a new trade or learning a new skill has also with significant regional decreases, including Indi from 4,060 (2021-22) to 3,690 (2022-23) - 370 lost positions (-9.11 per cent)
Senator for Victoria, Sarah Henderson, said Victorian Government’s failures would hit these communities hard.
“The data is clear, despite all of Labor’s promises to skill Australians their policies are failing and there are now over 50,000 less apprentices and trainees today than when Labor took office,” Senator Henderson said.
“The bottom line here, is we need more apprentices and trainees in our community not less.”
Deputy Leader of the Opposition and Shadow Minister for Skills and Training, Sussan Ley said this would have serious impacts on Australia’s economy.
“This puts Australia’s economy in a weaker position and brings into question our capacity to deliver on national priorities like AUKUS, the infrastructure pipeline and the housing we need to meet Labor’s out of control migration settings.”
The labour shortage 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 Regional Development Australia Hume region.
“Staff shortages have become more problematic since the pandemic,” she said.
“It’s an issue right across the board from doctors and nurses to trades and hospitality.
“Looking specifically at the hospitality industry, many staff left their hospitality jobs during COVID and moved into other professions because they couldn’t get work.
“This shortage not only strains local businesses but also threatens the sustainable growth of our dynamic tourism industry.
“Now we are getting backpackers into the country who cannot do their second-year visa unless they are working in remote areas of Australia in hospitality. Unfortunately, our region isn’t considered remote.
“That makes it very difficult to hire people in high season- for us, that would be September to May, and for the snow region from May to September- so we can’t take advantage of those people who are actively looking for work in those seasonal times.
“On top of that, we have a housing crisis, so once we do get them here, we have to try and find somewhere for them to live.”
Ms Brown is encouraging people to sign a petition to include the Victorian High Country in the 88 Days Requirement (Working Holiday Visa) program.
“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,” she said.
“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.”
Ms Brown said the small business community is vital to keep the entire economy running.
“There is an impact across Australia because of these staff shortages,” she said.
“If regional small businesses can’t run at capacity, they’re not paying as much tax, and then we’re not getting our roads fixed, and the flow-on effect continues.”
Ms Brown said they are sponsoring people for their citizenship, offering accommodation if they have room and renting houses for people to work.
“It’s like a big Jenga game trying to manage the influx of visitors in peak tourism seasons, but also make sure you have enough to staff as well, and when you do find the staff, finding a place for them to live is the next hurdle.”
On the topic of housing to accommodate workers, Independent Federal Member for Indi Helen Haines addressed an audience of local governments, not-for-profits, peak bodies and housing advocates as a keynote speaker at the National Regional Housing Summit in Canberra last Friday.
The Summit was hosted by the Regional Australia Institute, the Master Builders Association and the Real Estate Institute of Australia who spoke of the challenges of the current housing crisis in regional, rural and remote Australia.
“From the suburbs of Wodonga and Wangaratta to our busy tourism towns of Beechworth, Bright and Mansfield, there is a shortage of social and affordable housing and key worker accommodation in our region,” Dr Haines said.
“Mortgage stress, rising interest rates and increases to rents are a constant concern for local people and they are a major factor of the cost-of-living crisis being felt across the country.”
“Addressing the housing crisis is one of the most important conversations for the nation right now and I am working to ensure the voices of regional Australians are front and centre.
“In my meetings with the housing minister, I have urged her to commit one-third of the Housing Australia Future Fund to projects in regional, rural and remote areas; a fair share when almost one third of Australians live in the regions.
“In my view, the government has missed the contextual challenges of regional Australia’s housing shortage by lumping it alongside the urban shortages experienced by our city cousins, when we know the regional challenges are different. There is no ‘one size fits all approach’ to solving the housing crisis.
“Regional Australia needs a $2 billion Regional Housing Infrastructure fund, because councils need a leg up to build the sewerage and drainage, pavements and pipes that will prepare land for new homes to be built. It’s about building communities not just houses.”
Urgent boost in building industry needed
Australia will not meet its critical housing targets without an urgent boost in the skilled workforce according to the Master Builders Association.
The association’s view is 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 Minns and Albanese governments are responding.
“Just saying we are doing a review doesn’t cut it.”
Mr Andrew Kennedy of Kennedy Builders Mulwala 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.”
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, close to 700 of which are in NSW, and boasts a consistent apprenticeship completion rate exceeding 90%, compared to the national average of 55% (54.7% in NSW).
CEO of NECA, Oliver Judd said: “It’s critical that if we are to have any chance of meeting housing and renewable energy targets that TAFE works together with industry-led training providers to ensure we’ll have the skilled labour required to do so.
“We need better collaboration on training methods, staff recruitment and retention strategies, student support services and the allocation of funding to ensure we set the industry up for success.
“We would welcome the opportunity to work with government, industry and the wider sector in making the changes required to ensure quality training is delivered to the state’s apprentices.”