Indigenous Employment in the Australian Rail · PDF fileBHP Aboriginal Apprenticeship Program ... The Australasian Railway ... Indigenous Employment Strategy for the Australian

Indigenous Employment in the Australian Rail Industry

Table of Contents

Introduction _________________________________________________________________ 1

Employment in the Rail Industry ______________________________________________________ 1

Rail Skills and Careers Council ________________________________________________________ 1

Indigenous Employment Strategy _____________________________________________________ 2

Section 1. Options for Increasing Indigenous Employment in Rail ______________________ 3

Option 1 Development of Reconciliation Action Plans _____________________________________ 4

BHP Billiton’s Reconciliation Action Plan ________________________________________________________ 4

Option 2 Engagement of Indigenous Coordinator/Advisor _________________________________ 6

Transfield Services Indigenous Advisory Board ___________________________________________________ 6

SKM Indigenous Employment Coordination _____________________________________________________ 7

Option 3 Employment of Indigenous Apprentices and Trainees _____________________________ 8

BHP Aboriginal Apprenticeship Program ________________________________________________________ 8

Vocational Training and Employment Centre (VTEC) ______________________________________________ 9

Aboriginal School Based Traineeship (ASBT) _____________________________________________________ 9

Option 4 Pre-employment programs _________________________________________________ 10

RailCorp Pre-employment Program___________________________________________________________ 10

Ashburton Work Start Program ______________________________________________________________ 10

Option 5 Development of cross cultural awareness package_______________________________ 11

BHP Billiton Cultural Awareness Workshops ____________________________________________________ 11

Option 6 Employment of Indigenous University students as cadets _________________________ 12

Rio Tinto NICP ____________________________________________________________________________ 12

Sinclair Knight Mertz ICP ___________________________________________________________________ 12

Arup ___________________________________________________________________________________ 13

Option 7 Corporate Leaders for Indigenous Employment _________________________________ 14

Option 8 Extend Indigenous Employment Strategies to rail divisions ________________________ 15

John Holland Group _______________________________________________________________________ 15

Leighton Contractors ______________________________________________________________________ 15

Transfield Services ________________________________________________________________________ 15

Laing O'Rourke plc ________________________________________________________________________ 16

Downer EDI ______________________________________________________________________________ 16

Section 2. Key Success Factors for Indigenous Employment in Rail ____________________ 17

Focus Area 1: Organisational Commitment __________________________________________ 18

Case Study: Transfield Services ______________________________________________________________ 18

Case Study: BHP Billiton ____________________________________________________________________ 19

Case Study: RailCorp ______________________________________________________________________ 20

Focus Area 2: Partnerships _______________________________________________________ 21

Case Study: Alice Springs to Darwin Rail Project _________________________________________________ 21

Case Study: Public Transport Authority of WA __________________________________________________ 22

Case Study: Indigenous Owned Contracting Businesses __________________________________________ 22

Focus Area 3: Recruitment Strategies _______________________________________________ 23

Case Study: Indigenous Employment Coordination ______________________________________________ 24

Case Study: Promotional Material ____________________________________________________________ 24

Case Study: Employee and Contractor Induction Programs ________________________________________ 24

Focus Area 4: Retention Strategies _________________________________________________ 26

Case Study: Employee Networks _____________________________________________________________ 26

Case Study: Sub-contracting Security Services __________________________________________________ 27

Case Study: Overcoming Racism with Cultural Awareness Workshops _______________________________ 27

Focus Area 5: Education & Training ________________________________________________ 29

Secondary School Programs_________________________________________________________________ 29

Apprenticeships and Traineeships ____________________________________________________________ 30

Tertiary Programs _________________________________________________________________________ 30

Work-Ready Programs _____________________________________________________________________ 31

Government Financial Assistance ____________________________________________________ 33

Wage Assistance __________________________________________________________________________ 33

STEP Program ____________________________________________________________________________ 33

National Indigenous Cadetship Program _______________________________________________________ 34

Corporate Leader for Indigenous Employment __________________________________________________ 35

Conclusion __________________________________________________________________ 36

Useful Publications ___________________________________________________________ 37

Catherine Maughan Indigenous Employment Strategy Page 1

Introduction The Australasian Railway Association (ARA) is the peak body representing the interests of all rail

operators, both private and government, track owners and managers, manufacturers of rolling

stock and components, and other aspects of the rail industry in Australia and New Zealand. The

ARA represents more than 150 member organisations. The fundamental purpose of ARA is to

create an environment that will permit the Australian rail industry to prosper. One of the key

issues identified by ARA that inhibits this outcome is rail skill shortages.

Employment in the Rail Industry

More than 40 000 people are employed in rail throughout urban and regional Australia in

diverse operations and professional occupations. Many more people work in support industries

providing goods and services to the industry.

Although the turnover of employees in rail is generally low, employees in the rail industry are

older than the average workforce and during the next five to ten years there will be more

workers retiring than new entrants. Many of those leaving the industry have knowledge and

skills not easily replicated or purchased in the market. In addition, turnover of new recruits is

up to five times higher than for any other group of workers in the industry.

The rail industry and the general working environment are in a state of transition. The

workforce that has dominated the past decades is now nearing retirement. The work

preferences and expectations of new entrants to the workforce are distinct and conflict, in

some aspects, with the preferences of the existing workforce.

Rail Skills and Careers Council

The ARA established the Rail Skills and Careers Council (RSCC) which focuses on the human

resources of rail, overseeing the efficient development of projects such as the Attraction and

Retention Research Project, the Graduate Program and the School Based TAFE and Employment

program.

The ARA, through the RSCC, is taking a strategic approach to lessen the risk of the rail industry

not having a skilled workforce in the future by advancing industry-wide focused programs

relating to:

Attractive image – that will engage stakeholders, customers and workers of the future

Skilling rail strategy – establishes clear guidance about training requirements and workforce planning

Workplace relations –that ensures valuable employees remain in the rail industry

Data collection – for monitoring the impacts of change initiatives and predicting future issues.


The Workforce Development Strategy being developed by ARA focuses on the implementation

of a strategic project approach to employing the following target groups of employees:

Women returning to the workforce

People with disabilities

Mature job seekers

Indigenous Australians.

Indigenous Employment Strategy

The Australasian Railways Association (ARA) has received Australian Government funding for an

Indigenous Employment Strategy for the Australian rail industry. The purpose of the project is

to allow ARA to develop strategies which when implemented will lead to alternative forms of

labour supply for the Australian rail industry.

The options and case studies outlined in this document are a result of research conducted of

ARA Member Companies involved in Indigenous employment initiatives. Information was

collected using the following primary and secondary research methods:

Company websites

Annual reports and other company publications (such as media releases)

Journal articles and research reports

Face-to-face and telephone interviews.

Information was collected from the following ARA member companies:

Ansaldo STS

Arup

BHP Billiton

Centre for Excellence in Rail Training (CERT)

Downer EDI

Fortescue Metals Group

John Holland Group

Laing O’Rourke

Public Transport Authority of WA

Queensland Rail

RailCorp

Rio Tinto/Pilbara Iron

Sinclair Knight Merz

Skilled Services

Transfield Services This report has two sections. Section 1 outlines the numerous options rail organisations can explore for increasing Indigenous employment in their organisation. The case studies in Section 2 document give practical examples of the way in which organisations involved in the transport and resources sectors are increasing Indigenous employment across their operations.


Section 1. Options for Increasing Indigenous Employment in Rail There are many ways in which organisations can increase the number of Indigenous Australians

employed in their businesses. Which option is most appropriate will depend on a number of

business factors including current level of engagement with Indigenous communities and the

capacity to initiate new recruitment and retention strategies.

Some organisations consulted indicated that they do not have any Indigenous employees and

that they were not sure where to start the process. For these companies gaining the support of

the executive leadership team is critical so Option 1 would be the most appropriate option.

There are several large multi-divisional companies who have already committed financial and

human resources (such as an Indigenous coordinator/advisor) to increasing Indigenous

employment throughout the business. Within these companies there exists unique

opportunities for the rail divisions to employ Indigenous Australians within the rail industry

(Option 8). In consultation with the Indigenous coordinator/advisor, heads of the rail divisions

could determine where their greatest employment needs are and the most appropriate option,

for example in the trades area (Option 3) or professional engineers (Option 6).

The options for organisations to increase Indigenous employment include:

Development of Reconciliation Action Plans

Engagement of Indigenous Coordinator/Advisor

Employment of Indigenous apprentices and trainees

Pre-employment programs

Development of cross cultural awareness package

Employment of Indigenous university students as cadets

Corporate leaders for Indigenous employment

Extend Indigenous Employment Strategies to rail divisions


Option 1 Development of Reconciliation Action Plans

A Reconciliation Action Plan (RAP) is a tool to help organisations build positive relationships

between Indigenous and non-Indigenous people. It gives businesses a format for exploring how

reconciliation can advance their business objectives through identifying clear actions and

realistic targets. While each organisation shapes their own RAP, all plans include a creative

blend of relationships, respect and opportunities.

Through implementing a RAP, businesses may derive economic and social benefits such as:

Attracting and keeping loyal staff and customers who value your contribution to nation-building

A larger labour market from increasing numbers of educated and skilled Indigenous Australians being ‘job ready’ - 60% of Indigenous Australians are under 25 years old

New industries, services, products and ways of doing business emerging from joint ventures with Indigenous organisations.

In addition, companies who tender for large rail projects are increasingly being asked to

demonstrate their commitment to employing Indigenous Australians.1 Developing a

Reconciliation Action Plan is one way an organisation can demonstrate their commitment.

The RAP program was launched by Reconciliation Australia in July 2006. As the national

organisation facilitating and coordinating the program, Reconciliation Australia invites all

organisations interested in developing a RAP to work collaboratively with them to ensure their

RAP meets specific criteria for registration on the Reconciliation Australia website. A number of

private companies and Government departments have developed RAPs and lodged them with

Reconciliation Australia www.reconciliation.org.au. The Public Transport Authority of WA is

currently in the process of developing a RAP as a first step in increasing the current Indigenous

employment rate of less than 1% to 2.5%.2

BHP Billiton’s Reconciliation Action Plan

Through a RAP, BHP Billiton has described their approach to reconciliation as:

We work on the traditional lands of Indigenous peoples, which means it is our responsibility and

obligation to ensure their rights are respected. Our engagement with traditional owners and other

Indigenous people has evolved over our long history of operational experience, and through the

lessons learned along the way.

We recognise that we will only be successful when those that we touch benefit by their association

with us. We aim to build solid relationships with Indigenous people to ensure they understand our

business, and how they can contribute to, and benefit from it.

1 Anne Donnelly, Senior HR Advisor, Ansaldo STS Australia, personal communication 18 March 2008 2 Robin Austen, Access & Equity Officer, PTAWA, personal communication 19 March 2008

http://www.reconciliation.org.au/


Building relationships and partnerships is really at the heart of our business. There is very little we

can do on our own – our ability to work cooperatively with others, from business partners and

suppliers through to governments and host communities, impacts both directly or indirectly on our

business.3

Through ongoing consultation and involvement of local Indigenous communities, organisations

and key Indigenous people, each of BHP Billiton’s businesses have developed programs to meet

the needs of both the business and Indigenous people. Together, these programs form the

Reconciliation Action Plan. In the 2007 Reconciliation Action Plan each business unit has set

medium to long term employment targets for both their operations and their contractors based

on a number of criteria including:

... how many Indigenous people versus others are living in the local and regional area,

the level of unemployment, employment requirements by other employers in the region

including community based organisations, government agencies and private sector

organisations, and the potential number of Indigenous people that are either work ready

or can receive training to make them work ready and how long this may take.4

The setting of targets is an important step in realising BHP Billiton’s vision to “help secure a

better future for Indigenous people so that they are able to fully participate in and equally

enjoy the benefits provided to other Australians.”

In 2000/01 BHP WA Iron Ore (Pilbara region) set a target of 12% Indigenous employment by

2010. A target of 12% was set because Indigenous people make up 12% of the Pilbara

population.5 In just six years the Indigenous employment rate has increased from about 3% to

more than 8% (at June 2007). Nickel West and Olympic Dam have similar targets and

timeframes based on local demographics and other factors.

BHP Billiton business Indigenous employment targets

Business Target Timeline

WA Iron Ore 12% 2010

Nickel West 10% 2017

Olympic Dam SA 15 people

30 people

end 2007

June 2008

3 www.bhpbilliton.com/bb/sustainableDevelopment/socialResponsibility/communityProjects/reconciliationAustralia.jsp

4 BHP Billiton 2007 Reconciliation Action Plan www.bhpbilliton.com/bbContentRepository/reconciliationaustraliaplan.pdf

5 BHP Billiton Aboriginal Employment initiatives www.bhpbilliton.com

http://www.bhpbilliton.com/bb/sustainableDevelopment/socialResponsibility/communityProjects/reconciliationAustralia.jsp


Option 2 Engagement of Indigenous Coordinator/Advisor

After an organisation has made a commitment to employ Indigenous Australians it needs to put

in place processes and people who will develop, implement and oversee the Indigenous

employment strategies. Depending on the size and current capabilities, organisations may

directly employ an Indigenous coordinator or engage the services of consulting firms that

provide Indigenous employment advice.

Organisations can apply for Australian Government funding to assist with the cost of employing

an Indigenous Coordinator. The Structured Training and Employment Projects (STEP) Program

provides flexible funding for packages of tailored assistance, including structured and

accredited training, to help employers give long term jobs to Indigenous Australians.

ARA member organisations Transfield Services and John Holland Group have both used STEP

funding to employ an Indigenous Coordinator to develop and ensure the success of their

company’s Indigenous employment strategies.6

Transfield Services Indigenous Advisory Board

During the past two years, Transfield Services has taken a number of steps to engage with

Indigenous communities and Indigenous people including:

Developing and implementing a company-wide Indigenous Relations Policy

Becoming a signatory to the Corporate Leaders for Indigenous Employment Program

Establishing the Transfield Services Indigenous Advisory Board

Appointing an Indigenous Advisor who also chairs the Indigenous Advisory Board.

In early 2006, Transfield Services released its Indigenous Relations Strategy. This 12-month

plan provided the tools and guidance to establish a foundation on which they could build a

comprehensive Indigenous Participation Strategy. During 2007, Transfield Services launched

the Transfield Services Indigenous Participation Strategy for 2007 to 2009. This strategy aims to

boost employment, education and training opportunities for Indigenous Australians and raise

awareness of Indigenous culture throughout the Company.

The Transfield Services Indigenous Advisory Board is made up of five esteemed members of

Australia’s Indigenous community, each with experience in a particular area: government,

Indigenous culture, training, small business and sport. The Indigenous Advisory Board advises

Transfield Services on Indigenous relations and engagement, provides guidance and direction

around implementing policies and practices, and challenges the organisation to seek continual

improvements in this area.

6 DEEWR website: www.workplace.gov.au/workplace/Programmes/IndigenousProgs/


Mr Eddie Fry as the appointed Indigenous Advisor also Chairs the Indigenous Advisory Board.

His role is to ensure that all parts of the business receive guidance on the best way to

incorporate Indigenous engagement into our day-to-day operations. Mr Fry is an Indigenous

leader who has worked with the Australian Government and private enterprises, including

Newmont Australia. In 2002, he began his own business, Gimbulki Services, which provides

advisory and consulting services on land management issues to many large Australian Stock

Exchange (ASX) listed companies and the mining industry.7

SKM Indigenous Employment Coordination

Sinclair Knight Merz (SKM) offers Indigenous Employment Coordination on major infrastructure

projects to clients in the minerals, petroleum, heavy industries, water, rail and road sectors.

Indigenous Employment Coordination includes providing Indigenous training and employment

guidance and advice on:

Indigenous cadetship, traineeship and apprenticeship policies and strategies

Indigenous employment policies and strategies

Utilising local/and or regional Indigenous businesses

Identifying positions that may be filled by Indigenous employees

Mentoring programs for Indigenous employees

Cultural awareness training for office and site personnel

Application and engagement of government Indigenous programs.8

The SKM IEC is led by Mr Jack Pearson. Mr Pearson joined SKM in early 2005 after many years

as a Government advisor on Indigenous affairs. SKM is currently providing Indigenous

employment services to a number of large organisations in the resources and transport sectors

including at least two ARA member organisations.9

7 Transfield Services Indigenous Participation Strategy 2007 -2009

8 SKM website www.skmconsulting.com/Markets/Indigenous_Services/Employment/employment.htm 9 Jack Pearson, Practice Leader Indigenous Engagement, SKM, personal communication 02 April 2008

http://www.skmconsulting.com/Markets/Indigenous_Services/ICP.htm


Option 3 Employment of Indigenous Apprentices and Trainees

Perhaps the greatest obstacle to increasing Indigenous workforce participation rates, especially

in regional and remote areas, is poor education levels. This disadvantage is being overcome at

many levels (schools, TAFEs, universities, workplace) through employers strategically partnering

with Indigenous organisations, governments and education and training providers. Many

organisations are employing Indigenous Australians in entry level positions as apprentices and

trainees including school based trainees.

Organisations can apply for STEP funding to assist with the cost of employing Indigenous

apprentices and trainees. Funding for participant based projects is generally calculated on an

annual, per participant basis and can range from $2 200 and up to $11 000 for some community

organisations. Funding is generally provided for one year or for two years in respect of

traineeships and apprenticeships.

ARA member that have used STEP funding to employ Indigenous trainees/apprentices include:

Queensland Rail (QR) – employ eight apprentices and two trainees within a variety of

QR business units

Rio Tinto Services – create 80 apprenticeships and traineeships with the company, its

subsidiaries and sub contractors in various sites across Queensland and NSW. Employ

60 trainees/apprentices at Comalco Aluminium Ltd’s Weipa operations

John Holland Group – employ 100 Indigenous Australians in the roles of apprentices,

trainees and other general roles across Australia.10

BHP Aboriginal Apprenticeship Program

In 2000, BHP introduced a pre-apprenticeship program because Indigenous people appeared not to be applying for apprenticeships and traineeships. The Company assumed that local Indigenous people were either not interested in applying for positions or thought they would not be able to pass the initial selection process. However, that assumption was challenged in the first year of the program as a number of local Indigenous applicants were successful in gaining apprenticeships in their own right, without needing to do the pre-apprenticeship program

For applicants who miss out on gaining an apprenticeship, the one-year program helps them develop their ability to succeed in the following year’s intake. As a consequence, Indigenous apprentice and trainee numbers rose from about two in 2000 to 55 in 2004. Aboriginal people are undertaking apprenticeships at BHP in engineering, mechanical and electrical trades and traineeships in clerical and mine production roles.11

10 DEEWR website: www.workplace.gov.au/workplace/Programmes/IndigenousProgs/ 11 BHP Billiton (2004) HSEC Report http://sustainability.bhpbilliton.com/2004/repository/caseStudies/socioEconomic33.asp


Vocational Training and Employment Centre (VTEC)

Jointly funded by Fortescue Metals Group (FMG) and the Australian Government, VTEC

provides training and education for Aboriginal participants, as well as a guaranteed offer of

employment for successful trainees. VTEC boasts a retention rate of at least 60%. In 2007, the

Centre for Excellence in Rail Training (CERT)12 provided training in tracklaying for 25 Aboriginal

people at VTEC. The 20 graduates were subsequently employed by project partner Laing

O’Rourke to lay FMG’s new railway line in the Pilbara region.

VTEC manager Damien Ardagh said employers valued the program for taking the legwork out of

the training process and for providing a ready talent pool of workers, while trainees and their

families had expressed appreciation that others were taking the time to try and understand

where they were coming from and treating them as individuals rather than as statistics. “These

people are important,” he said. “They’re not just here to make up the numbers and they’re not

just about employment targets.”13

Aboriginal School Based Traineeship (ASBT)

Under the Aboriginal School Based Traineeship (ASBT) senior secondary students can start a

traineeship whilst also completing Year 11 and 12. The Aboriginal Employment Strategy (AES)

run a school based traineeship program for Aboriginal students in regional NSW and WA. AES

report a 90% success rate for completion of the traineeship due to the mentoring support they

provide to both the trainee and the host employer. The program fulfils a business need by

providing the host employer with a source of young and enthusiastic employees. On leaving

school many of the trainees go on to full-time employment with the same employer.14

The Public Transport Authority of WA is developing partnerships with schools with significant

numbers of Indigenous students. In particular, PTAWA is developing partnerships with

Sevenoaks Senior College in Perth. Sevenoaks caters for senior secondary students and in 2007

the College had 54 Indigenous students representing 13% of the student population.15

Seven Oaks College runs ASBTs with on-going support for the student and the employer

provided by college staff (Aboriginal Liaison Officers and Aboriginal Islander Education Officers).

PTAWA intends offering work placements for ASBT students in Semester 2, 2008. PTAWA view

this as an important way in growing relationships with Aboriginal students, their families and

communities. PTAWA is also investigating the Adopt-A-School program and running tours of

their facilities for Year 11 and 12 students.16

12 Stuart Pottinger, RTO Manager CERT, personal communication 08 April 08 13 Damien Ardagh, VTEC Training Manager quoted in SBS Living Black 15 September 2007 14 AES School Based Traineeships www.aboriginalemploymentstrategy.com.au/Page.aspx?category=1&element=23 15 Sevenoaks Senior College, Schools On-Line, Education Department of WA 16 Robin Austen, Access & Equity Officer, PTAWA, personal communication 19 March 08


Option 4 Pre-employment programs

Sometimes there is a need for pre-employment programs that will lead to employment

opportunities through traineeships, apprenticeships and other roles for successful candidates.

Through strategic partnerships with training organisations, recruitment agencies and labour

hire companies, rail companies are working to expand the pool of potential applicants for

positions.

RailCorp Pre-employment Program

In partnership with TAFE, RailCorp is currently piloting a pre-employment program for

Indigenous Australians. Recognising that many Aboriginal and Torres Strait Islander people

experience educational, economic and social disadvantages, this program helps participants to

gain the knowledge, skills and confidence they need to compete for customer service assistant

positions through the usual recruitment process. Job offers to successful candidates of this

program will be made in 2007-08.17

Ashburton Work Start Program

This initiative is a result of a partnership based in Tom Price and Paraburdoo between SKILLED,

Rio Tinto Iron Ore, Shire of Ashburton, Job Futures/North West Jobs, Pilbara Gascoyne

Population Health, Pilbara TAFE and Ashburton Aboriginal Corporation. Launched in

September 2006 the program is designed to provide the local Indigenous communities with

training and skills to secure full time employment specifically within the mining industry.

Currently there are 12 people in the program which offers educational support such as reading

and writing, as well as a 12-week job ready course that assists with submitting resumes and

attending job interviews. Those who complete the course are employed by SKILLED as Haulpak

operators and stores people for Pilbara Iron, the Shire of Ashburton or found suitable local

work. 18

17 RailCorp Annual Report 2006/07 18 SKILLED’s Pilbara partnership wins state award December 2007


Option 5 Development of cross cultural awareness package

One of the reasons Indigenous people leave organisations is because of racism and prejudice in

the workplace. Because recruitment is costly in terms of time and money, organisations will

want to ensure that staff turnover is kept to a minimum. Many organisations have found that

cultural awareness workshops and training greatly assist in improving understanding and

relationships with Indigenous communities and employees. Addressing racism and prejudice in

the workplace contributes to a more supportive work environment, encouraging more

Indigenous employees to stay.19

Organisations can apply for STEP funding to assist with the cost of developing cross-cultural

training packages. STEP funding can also be used to fund part of the delivery. The ARA could

potentially apply for funding to develop a cultural awareness framework for the rail industry.

BHP Billiton Cultural Awareness Workshops

Promoting cultural awareness amongst employees, contractors and other key stakeholders is a

key focus area for BHP Billiton. The cultural awareness training that BHP undertake also has an

important role to play in increasing the general awareness of their employees, contractors and

others of the significance of cultural heritage and the need for its proper management.

Each BHP Billiton business develops workshops that are tailored to meet the specific needs of

sites and individuals.

General cultural awareness workshops. Since 2000 more than 2,700 employees,

contractors and invited community representatives have attended the 1-day cultural

awareness workshop in the Pilbara. These workshops are delivered under contract by

Wangka Maya Pilbara Aboriginal Language Centre, in conjunction with relevant

Indigenous custodians.

Indigenous employee workshops. The 2-day workshops are attended by Indigenous

employees and supervisors of Indigenous employees. Presenters are Indigenous people

(consultants) and the focus is on employee and employer obligations, standards and

commitments, financial planning, cultural obligations, differing values and priorities.

Some time is spent on country with traditional Indigenous people.

Community awareness sessions - Provides community members with an overview of

the importance of the relationship with the Aboriginal community and the obligations

and legal responsibilities of the individual community members. These sessions are

designed for partners of BHP staff and contractors.

19

CSRM Indigenous employment in the Australian minerals industry


Option 6 Employment of Indigenous University students as cadets

The National Indigenous Cadetship Project (NICP) is an Australian Government program that

aims to improve the professional employment prospects of Indigenous Australians studying a

Diploma or Bachelor degree. In 2006/07, 234 cadets commenced under the project, bringing

the total number of commencements since 1999 to more than 1,290.20

The Government provides employers with payments to cover administrative costs as well as an

allowance to be paid to the cadet while they are studying. Companies recruit cadets from a

discipline that will benefit them. The employer then provides the cadet with a 12-week paid

work placement for each full year of the cadetship, ensuring that the work duties complement

the cadet’s course of study.

Employers have found the project very useful in exposing their company to prospective

employees. Once students complete their university degree they often gain employment with

the employer who gave them the cadetship. Many ARA member companies have signed up

with the NICP including Arup, Baulderstone Hornibrook, BHP Billiton, Fortescue Metals Group,

Leighton Contractors, Parsons Brinckerhoff, Rio Tinto, Sinclair Knight Merz and Thiess.

Rio Tinto NICP

Signing up in 1999, Rio Tinto was one of the first private sector organisations to support the

NICP. Rio Tinto provides opportunities for university students studying many disciplines

including:

Engineering (eg civil, mining, chemical, mechanical, electrical)

Science (eg. metallurgy, chemistry, geology, archaeology, environmental)

Other degrees (eg. anthropology, human resources, IT, accounting, business)

Since 1999, 11 Rio Tinto cadets have graduated and gained employment including six who have

taken up graduate roles with Rio Tinto. Seven cadets are currently undertaking cadetships with

Rio Tinto. In addition, Rio Tinto Iron Ore provides scholarships for Aboriginal students in the

Pilbara to study at the university of their choice. The scholarships cover all major expenses

associated with tertiary study.21

Sinclair Knight Mertz ICP

The Indigenous Cadetship Program (ICP) is a signature project for SKM. Currently SKM supports

15 cadets in their Sydney, Melbourne, Perth, Brisbane and Adelaide offices. Five of the current

cadets are studying an engineering discipline; the other 10 cadets are studying law, commerce,

architecture, town planning and human resources.

20 Department of Employment & Workplace Relations Annual report 2006-07 21 www.riotinto.com/careers/221_australian_national_indigenous_cadetship_project.asp


In addition to the paid work placement, SKM offer their cadets training, workplace rotations,

mentoring and an annual ICP Conference when all cadets come together. For the 12-week

work placements, cadets work within relevant areas of SKM and also with client companies.

Jack Pearson said ICP has been very successful because the cadets are fully supported by SKM

staff throughout their study. Jack also said the annual cadet conference was well received by

cadets and was important for peer support and networking. With the support of participating

organisations for work placements, SKM would like to build its cadet numbers up to 100.22

Arup

Joining the NICP program about 10 years ago, Arup has trained 10 Indigenous students studying

engineering. The cadets are placed in teams and mentored by a qualified engineer. The cadets

usually work on projects within their discipline of engineering but they are allowed to rotate

through different fields of work if they wish. Arup use the NICP program to link with Indigenous

Australians.23

22 Jack Pearson, Practice Leader Indigenous Engagement, SKM personal communication, 02 April 08 23 Engineers Australia (2007) Attracting more Indigenous Australians to engineering


Option 7 Corporate Leaders for Indigenous Employment

Many of Australia’s major companies have demonstrated their commitment to finding more

work and training opportunities for Indigenous people since signing the Corporate Leaders for

Indigenous Employment statement. The Corporate Leaders for Indigenous Employment Project

encourages private sector companies to generate job opportunities. It allows them to use

elements of the Australian Government’s Indigenous Employment Programme to develop and

tailor their Indigenous employment strategies to meet their business needs.

Benefits for companies include increasing access to a growing labour supply and helping to

build a reputation as a good corporate citizen. By joining the project, companies are able to

share ideas at networking forums and get access to targeted resources such as the best

Indigenous employment strategies and practices.

A flexible package of funding is available to all Corporate Leader organisations. The funding can

be tailored to your business needs and may assist you develop and implement a strategy that

could, for example, include assistance for pre-employment training, mentoring or cross-cultural

awareness training.

ARA member companies that have already signed up to be Corporate Leaders include

Baulderstone Hornibrook, BHP Billiton, John Holland Group, Laing O’Rourke, Leighton

Contractors, Rio Tinto, Thiess and Transfield Services.


Option 8 Extend Indigenous Employment Strategies to rail divisions

A number of large, multi-divisional companies (with rail divisions/capabilities) have already

demonstrated their commitment to increasing Indigenous employment across their business

operations. There exists a unique opportunity for senior rail staff in these companies to work

with their executive management team and the Indigenous coordinators/advisors to maximise

Indigenous employment opportunities in the rail industry.

John Holland Group is a large contracting Australian business with more than $4.3 billion

worth of work in hand and employing more than 4 500 staff. JHG has capabilities in the areas

of civil and engineering construction, maintenance and management. The company is a

signatory to the Corporate Leaders for Indigenous Employment. JHG received STEP funding to

employ an Indigenous Employment Coordinator to develop an Indigenous Recruitment and

Employment Strategy and the employment of 100 Indigenous Australians as apprentices,

trainees and other general roles across Australia.

John Holland Rail engages in the design, construction and maintenance of the complete range

of railway and tramway infrastructure including formation, track alignment, yard layouts, track

structure and bridges. Although there are no specific programs or targets within the rail

division, a limited number of people working in the rail division are believed to be Indigenous

Australians.24 There are numerous employment opportunities for Indigenous Australians in the

rail division including jobs in rural and regional areas.

Leighton Contractors is a diverse business operating in Australia and New Zealand employing

more than 6 000 people. Leighton Contractors’ rail projects range from the upgrade of existing

rail infrastructure to the development of new railway lines and stations. The varied size and

scope of Leighton’s rail projects requires specialised civil, structural, mechanical and electrical

works such as tunnelling, relocation and protection of services, track upgrades, signalling and

communications. Leighton Contractors is a signatory to the Corporate Leaders for Indigenous

Employment and a listed employer with the National Indigenous Cadetship Project.

Transfield Services is a multinational company employing 28 000 people globally (including

Australia) to provide operations, maintenance, asset management and project management

services across diverse industries including rail and public transport. Transfield Services

maintains rail track and associated infrastructure for rail asset owners across Australia including

Australian Rail Track Corporation, Genesee & Wyoming Australia and OneSteel, RailCorp and

Airtrain CityLink Limited. Transfield Services is a signatory to the Corporate Leaders for

Indigenous Employment and has accessed STEP funding to undertake a feasibility study to

24 Helen Tognolini, Administration Manager, John Holland Rail, personal communication 28 March 2008

http://www.johnholland.com.au/Documents.asp?ID=4864&Title=Construction

http://www.johnholland.com.au/Documents.asp?ID=4870&Title=Mining


identify current and future employment opportunities for Indigenous Australians across the

company’s operations.

Laing O'Rourke plc is a development and construction multi-national business with an

operating turnover in excess of A$7b and more than 25 000 employees worldwide. Laing

O'Rourke Australia started operations in 2004 across the property markets of NSW and

Queensland. With the purchase of Barclay Mowlem in 2006, Laing O'Rourke Australia and Asia

Hub multi-disciplined capability extends across the building, rail, civil, marine, power, and mine

infrastructure sectors. Laing O’Rourke Australia is a signatory of the Corporate Leaders for

Indigenous Employment.

Downer EDI provides engineering and infrastructure management services to the public and

private transport, energy, communications and resources sectors operating primarily in

Australia, New Zealand and Asia. Downer EDI Mining has been a signatory of the Corporate

Leaders for Indigenous Employment since 1999. In their Aboriginal and Torres Strait Islander

policy, Downer EDI Mining states it will “enhance its commitment to Indigenous people by

increasing awareness with the wide Downer EDI organisation of Indigenous culture and

values.”25

Downer EDI Rail employs approximately 1 400 employees throughout Australia in the design,

manufacture, refurbishment, overhaul and maintenance of diesel electric locomotives, electric

locomotives, electric and diesel multiple units, rail wagons, traction motors and rollingstock and

related services. There are employment opportunities for Indigenous Australians as cadets (eg.

engineering, project management, finance, IT, human resources) and apprentices (eg. electrical,

welding, boiler making).

25 Downer EDI Mining (2007) Aboriginal and Torres Strait Islander Policy


Section 2. Key Success Factors for Indigenous Employment in Rail There are many ways in which organisations can increase the number of Indigenous Australians

employed in their businesses. A key objective of the Indigenous Employment Strategy is to

identify and document the practices of organisations with significant rail interests that have

successfully recruited and retained Indigenous Australians in all levels throughout their

business. Throughout this document case studies of organisations involved in the transport and

resources sectors have been used to highlight initiatives they are using to increase Indigenous

employment across their operations.

The key success factors have been grouped into five focus areas:

1. Organisational commitment

2. Partnerships

3. Recruitment

4. Retention

5. Education and training

The final section contains a list of resources to assist organisations with developing and

implementing their own Indigenous employment strategies.


Focus Area 1: Organisational Commitment

When operations give the same commitment to Indigenous employment

initiatives as other business activities, good outcomes can be achieved in

relatively short time frames.26

Achieving sustainable improvements in Indigenous employment begins with commitment.

Companies with successful Indigenous employment strategies have an executive leadership

team that has publicly committed to improving Indigenous employment outcomes and backs

this commitment by providing adequate financial and human resources. Companies

communicate their commitment to staff, contractors, suppliers and shareholders through

statements, policies, strategies and reconciliation action plans.

Downer EDI Mining will enhance its commitment to Indigenous people by:

Sustaining and strengthening its relationships with the Indigenous community

Increasing and enhancing the existing Downer EDI workforce by embarking upon specific recruitment, educational and career development programs

Acknowledging and respecting Indigenous culture and values

Increasing awareness with the wider Downer organisation of Indigenous culture and values

Promoting new business ventures and supporting the existing activities with Indigenous people.27

Ultimately the strength of an organisation’s commitment is measured by the number of

Indigenous people employed within the organisation. Consequently successful organisations

have processes that allow staff data to be collected and reported on. These organisations also

determine Indigenous employment targets appropriate for their business and region.

Case Study: Transfield Services

During the past two years, Transfield Services has taken a number of steps to engage with

Indigenous communities and Indigenous people including:

Developing and implementing a company-wide Indigenous Relations Policy

Becoming a signatory to the Corporate Leaders for Indigenous Employment Program

Establishing the Transfield Services Indigenous Advisory Board

Appointing an Indigenous Advisor who also chairs the Indigenous Advisory Board.

In early 2006, Transfield Services released its Indigenous Relations Strategy. This 12-month

plan provided the tools and guidance to establish a foundation on which they could build a

comprehensive Indigenous Participation Strategy. During 2007, Transfield Services launched

the Transfield Services Indigenous Participation Strategy for 2007 to 2009. This strategy aims to

26

CSRM (2007) Indigenous employment in the Australian minerals industry 27

Downer EDI Mining (2007) Aboriginal and Torres Strait Islander Policy


boost employment, education and training opportunities for Indigenous Australians and raise

awareness of Indigenous culture throughout the Company.

The Indigenous Participation Strategy outlines how Transfield will undertake a feasibility study:

... to identify the issues involved in establishing a company-specific approach to

Indigenous employment and training. As part of this process, we will implement

improved measures to record the number of Indigenous employees we have across our

business and on each contract. We will use this information to develop target numbers

for Indigenous employees.28

Case Study: BHP Billiton

According to Reconciliation Australia, BHP Billiton is a national leader in reconciliation.29

Through ongoing consultation and involvement of local Indigenous communities, organisations

and key Indigenous people, each of BHP Billiton’s businesses have developed programs to meet

the needs of both the business and Indigenous people. Together, these programs form the

Reconciliation Action Plan.

In the 2007 Reconciliation Action Plan each business unit has set medium to long term

employment targets for both their operations and their contractors based on a number of

criteria including:

... how many Indigenous people versus others are living in the local and regional area,

the level of unemployment, employment requirements by other employers in the region

including community based organisations, government agencies and private sector

organisations, and the potential number of Indigenous people that are either work ready

or can receive training to make them work ready and how long this may take.30

The setting of targets is an important step in realising BHP Billiton’s vision to “help secure a

better future for Indigenous people so that they are able to fully participate in and equally

enjoy the benefits provided to other Australians.”

In 2000/01 BHP WA Iron Ore (Pilbara region) set a target of 12% Indigenous employment by

2010. A target of 12% was set because Indigenous people make up 12% of the Pilbara

population.31 In just six years the Indigenous employment rate has increased from about 3% to

more than 8% (at June 2007). Nickel west and Olympic Dam have similar targets and

timeframes based on local demographics and other factors.

28

Transfield Services Indigenous Participation Strategy 2007 -2009

www.transfieldservices.com/TS/LIVE/RESOURCES/DOCUMENTS/TransfieldServicesIndigenousParticipationStrategy2007-2009.pdf 29

Reconciliation Australia (2007) www.reconciliationaustralia.org 30

BHP Billiton 2007 Reconciliation Action Plan www.bhpbilliton.com/bbContentRepository/reconciliationaustraliaplan.pdf 31

BHP Billiton Aboriginal Employment initiatives www.bhpbilliton.com


BHP Billiton business Indigenous employment targets

Business Target Timeline

WA Iron Ore 12% 2010

Nickel West 10% 2017

Olympic Dam SA 15 people 30 people

end 2007 June 2008

Case Study: RailCorp

RailCorp collects Equal Employment Opportunity data through an annual survey and publishes

the results in annual reports. RailCorp has set a benchmark of 2% for employment of Aboriginal

and Torres Strait Islander people (the NSW Indigenous population is 2.1% of total population).32

At June 30 2006, RailCorp employed 308 Indigenous people representing 2.3% of RailCorp’s

workforce.

Trends in the representation of RailCorp’s EEO groups33

EEO Group Benchmark

or Target

2004/05 2005/06 2006/07

Women 50% 14.6% 17% 18%

Indigenous 2% 3% 2.3% 2.3%

NESB 20% 23.8% 26% 27%

Disability 12% 7.5% 7% 7%

32

ABS 2001 National Regional Profile: NSW 33

RailCorp Annual report 2006-2007 www.railcorp.info/__data/assets/pdf_file/0003/5493/RailCorp_Annual_Report_2006-2007.pdf


Focus Area 2: Partnerships

The other huge advantage of the partnerships approach for Indigenous

people is that it gives them a voice in planning for the future. Instead of

being the passive recipients of programs that others have deemed

beneficial to them, Indigenous people become partners in decision-

making processes that affect their future.34

Companies are finding that it is often more efficient and effective to meet Indigenous

employment targets in partnership with the Indigenous community and organisations. In

addition, some companies are contracting out part of their operations to commercially run

Indigenous-owned businesses.

Case Study: Alice Springs to Darwin Rail Project

The 1 420 km rail line from Alice Springs to Darwin was completed on September 17 2003.

Design and construction was completed by ADrail, a joint venture between Halliburton/Kellogg

Brown & Root, Barclay Mowlem, John Holland Group and McMahon Holdings. A Local Industry

and Aboriginal Participation Plan resulted in the training and employment of 275 Indigenous

workers (about 15% of the project’s workforce) on the Alice Springs to Darwin rail project.

John Holland Group Managing Director, Bill Wild said:

Indigenous employees worked on all areas of the railway, from civil plant operations, track

laying, bridge construction and administration to construction camp operations, sleeper

manufacturing, culvert construction and quarrying. Experience gained through both

employment and training on the project helped Indigenous Territorians obtain future

employment and broadened the skills base for Indigenous people generally in the area.35

Northern and Central Land Council, Centrecorp and the Northern Australian Aboriginal

Development Corporation implemented the employment and training strategies for the rail

project. Project Officers dedicated to maximising Indigenous participation in various

employment activities, such as site clearance, track-laying, sleeper production and construction

camp and catering services, were employed. To ensure that employment opportunities

continue, the Northern Land Council has now developed a database of Indigenous people

available to work in locations across the Top End.36

34 CSRM Indigenous employment in the Australian minerals industry 35 John Holland Group Media Release 7 July 2005 www.johnholland.com.au/Documents.asp?ID=295&Title=7%2F7%2F05+Indigenous+employment+to+be+boosted+by+John+Holland

36 Journal Article 2003 www.austlii.edu.au/au/journals/AILR/2003/1.html#Heading385

http://www.johnholland.com.au/Documents.asp?ID=295&Title=7%2F7%2F05+Indigenous+employment+to+be+boosted+by+John+Holland

http://www.austlii.edu.au/au/journals/AILR/2003/1.html#Heading385


Case Study: Public Transport Authority of WA

PTAWA is developing partnerships with schools with significant numbers of Indigenous

students. In particular, PTAWA is developing partnerships with Sevenoaks Senior College in

Perth. Sevenoaks caters for senior secondary students (Year 11 and 12) and in 2007 the College

had 54 Indigenous students representing 13% of the student population.37

Seven Oaks College runs Aboriginal School Based Traineeships (ASBT) with college staff

(Aboriginal Liaison Officers and Aboriginal Islander Education Officers) providing on-going

support for the student and the employer. PTAWA intends offering work placements for ASBT

students in Semester 2, 2008. PTAWA view this as an important way in growing relationships

with Aboriginal students, their families and communities. PTAWA is also investigating the

Adopt-A-School program and running tours of their facilities for Year 11 and 12 students.38

Case Study: Indigenous Owned Contracting Businesses

Established in 1995 by Aboriginal businessman Daniel Tucker, Carey Mining provides two main

services: a full range of mining services and it recruits, trains and supplies labour. In both

instances the company helps its clients build local stakeholder relationships. Carey Mining has

substantial contracts with major companies. For example Main Roads WA contracted Carey

Mining to train and employ Indigenous people to work on the metro rail project.39

Ngarda Civil & Mining provides earthmoving, civil engineering and contract mining services in

the North West of WA. Ngarda is dedicated to the employment, training and total integration

of Indigenous people in its operations. Ngarda employs 160 Indigenous people (total workforce

is 200). The company’s client list includes BHP Billiton Iron Ore, Boodarie Iron, Pilbara Iron,

Woodside, Newcrest and Aditja Birla. Last financial year Ngarda turned over just under $50M.

CDE Capital, an Indigenous civil and mining contractor, has more than 30 years experience

delivering construction projects throughout Australia. About 80% of CDE’s permanent

workforce is Indigenous. CDE Capital provides meaningful training and employment

opportunities for the local communities in which they work and on some projects have

recruited up to 50% of the workforce from the local Indigenous community.40

37 Sevenoaks Senior College, Schools On-Line, Education Department of WA 38 Robin Austen, Access & Equity Officer, PTAWA, personal communication 19 March 08 39

www.dia.wa.gov.au/Documents/ReportsPublications/OvercomingIndigenousDisadvantage/pg226-253PartBChapter8.pdf 40 CDE Capital www.cdec.com.au

http://www.dia.wa.gov.au/Documents/ReportsPublications/OvercomingIndigenousDisadvantage/pg226-253PartBChapter8.pdf


Focus Area 3: Recruitment Strategies

Modern Human Resource practice is based on systems, procedures and practices that treat all

people the same and produce standardised information. However, all people are not the same

and traditional recruitment practices are primarily geared towards non-Indigenous urban

dwellers. Consequently traditional HR systems and processes can create barriers and, often

inadvertently, discriminate against Indigenous people seeking to enter the mainstream

workforce.

Leading companies in the Australian minerals industry41 have been successful in recruiting

Indigenous workforce by adapting their recruiting programs. These adaptations include:

Focusing more on face-to-face rather than written communication with potential applicants

Using selection centre workshops to identify individual skills and abilities

Adopting flexible strategies to manage problems with drug and alcohol use

Providing cultural awareness training for all recruits, Indigenous and non-Indigenous, as part of the induction process.

The following table summarises the difference between the mainstream approach and good

practice Indigenous recruitment processes.

Step Mainstream Indigenous

Advertise/promote Advertise in mainstream newspapers Advertise internally Post ads on company websites and on-line recruitment sites Utilise large HR companies based in capital cities

Utilise Indigenous networks for advertising (incl Indigenous newspapers, organisations and employees) Work with local Indigenous organisations to identify potential applicants & organise community visits to talk about the company, the jobs and how to apply Post ads on notice boards in the community and Indigenous organisations Utilise companies that specialise in Indigenous employment

Applications/resumes Applicant submits in hard copy or electronically

Prepared in hard copy or electronically Provide assistance with completing forms/resumes Collect applications during community visits

Short-list Assess applications and resumes Telephone interviews, reference checks

Assess applications and resumes Reference checks, local knowledge

Selection Final short list drawn up Interview by HR officer and relevant manager/supervisor Psychometric test Medical, drug & alcohol tests Best candidate chosen

Selection centre workshops to determine short list Interview to also include Indigenous staff member or community representative Culturally appropriate psychometric tests Medical, drug & alcohol tests that includes appropriate feedback and follow up Use affirmative action policies to allow

41



Indigenous people who meet a range of acceptable levels for the role to be selected, rather than just the ‘best candidate’

Offer of employment Successful applicants informed in writing Unsuccessful applicants informed in writing

Successful applicants informed in writing Unsuccessful applicants are briefed and supported appropriately as required

Induction Induction covers policies & procedures, rights & responsibilities, reporting requirements, OHS etc

Induction program also includes cultural awareness and, where appropriate, Aboriginal heritage issues

Adapted from CSRM Indigenous employment in the Australian minerals industry (2007)

Case Study: Indigenous Employment Coordination42

Sinclair Knight Merz (SKM) offers Indigenous Employment Coordination on major infrastructure

projects to clients in the minerals, petroleum, heavy industries, water, rail and road sectors.

Indigenous Employment Coordination includes providing Indigenous training and employment

guidance and advice on:

Indigenous cadetship, traineeship and apprenticeship policies and strategies

Indigenous employment policies and strategies

Utilising local/and or regional Indigenous businesses

Identifying positions that may be filled by Indigenous employees

Mentoring programs for Indigenous employees

Cultural awareness training for office and site personnel

Application and engagement of government indigenous programs

Case Study: Promotional Material43

RailCorp are developing a range of booklets to showcase their staff and occupational groups.

The first booklet features Aboriginal and Torres Strait Islander employees and will be followed

by a series of others including both occupational groups and young people under 30.

Case Study: Employee and Contractor Induction Programs44

Cultural awareness is included in new employee induction programs at the majority of BHP

Billiton’s business operation sites. Often the programs are tailored to meet the specific needs

of sites and individuals.

42 SKM website www.skmconsulting.com/Markets/Indigenous_Services/Employment/employment.htm 43 RailCorp Annual report 2006/07 44 BHP Billiton 2007 Reconciliation Action Plan www.bhpbilliton.com/bbContentRepository/reconciliationaustraliaplan.pdf

http://www.skmconsulting.com/Markets/Indigenous_Services/ICP.htm


Employee orientation. For all new employees. Aboriginal Affairs Department and Human

Resources staff presentation on employment, contracting and education strategy, as well as

cultural heritage compliance, commitments and protocols

Aboriginal heritage induction. For all new employees and contractors. The objective is to

promote traditional rights of Indigenous people and valuing cultural heritage through

protection and management of heritage sites.

Indigenous employee workshops. The 2-day workshops are attended by Indigenous

employees and supervisors of Indigenous employees. Presenters are Indigenous people

(consultants) and the focus is on employee and employer obligations, standards and

commitments, financial planning, cultural obligations, differing values and priorities


Focus Area 4: Retention Strategies

Our statistics show us that our employee retention, Aboriginal

employee retention, is better than non-Aboriginal retention. People

said to us, “You can’t rely on Aboriginals, they go walk about”. But

that’s not what the statistics show. The statistics show that they stay

longer than other employees do. Incidentally, turnover is normal. We

have greater than 15% turnover on all our mines in northern

Australia. It is normal for people to leave a job and go and work

somewhere else.45

The factors influencing Indigenous and non-Indigenous turnover rates include economic

conditions, job characteristics, personal factors and social and cultural factors. For Indigenous

employees, personal, social and cultural factors have a greater impact than economic factors or

job characteristics. Within the minerals industry, successful retention strategies implemented

to reduce staff turnover, especially in the first 12 months, include:

Provision of ongoing mentoring and support networks

More flexible work rosters

Provision of career development opportunities

Provision of family support

Addressing racism and prejudice in the workplace.46

Support programs are especially important for Indigenous people who have a lack of prior

experience in the mainstream workforce. Developing the necessary knowledge, skill,

experience, confidence and self esteem in Indigenous people to want to participate in the

mainstream workforce has been achieved with work readiness programs and mentoring.

Career development opportunities and addressing racism in the workplace contribute to a

more supportive work environment, encouraging more Indigenous employees to stay.

Successful retention initiatives are generally implemented in partnership with Indigenous

organisations.

Case Study: Employee Networks

From 1999 RailCorp had an Aboriginal Torres Strait Islander Network Committee (ATSINC)

which provided a support network for Indigenous employees. The Committee met monthly to

45 Bruce Harvey (c2005), Rio Tinto Chief Advisor, Aboriginal and Community Relations cited in the ‘The Corporate Citizen’ Vol 5 (2) 46



work on Indigenous employment and workplace issues, as well as particular projects such as

the annual conference for Indigenous employees and NAIDOC events.47

In 2006/07 RailCorp established five Diversity Networks including one for Aboriginal and Torres

Strait Islander people. The ATSI Diversity Network continued to provide ongoing support for

Indigenous staff including an annual ATSI Employee Conference. Representatives from each

Diversity Network and the operational groups form the ‘Equity and Diversity Steering

Committee’. The Steering Committee advises the CEO on potential barriers to equity and

strategies to overcome these barriers.48

Case Study: Sub-contracting Security Services

Indigenous people are a major client group for the Public Transport Authority WA as they are

regular users of passenger trains throughout WA, especially in non-peak periods. PTAWA has

engaged Chubb Protective Services to provide six Aboriginal Liaison Officers who work full-time

on the urban railway lines in Perth. The ‘arms-length’ relationship of the ALOs can assist in

alleviating potential problems with clients as the staff are not direct employees of PTA.

However, as employees of Chubb the ALOs are not included in PTA’s Indigenous participation

rate.49

Case Study: Overcoming Racism with Cultural Awareness Workshops

Promoting cultural awareness amongst employees, contractors and other key stakeholders is a

key focus area for BHP Billiton. Cultural awareness workshops and training provides the basis

for improving understanding and relationships with Indigenous communities along with helping

to facilitate better outcomes for Indigenous training, employment and business development.

The cultural awareness training that BHP undertake also has an important role to play in

increasing the general awareness of their employees, contractors and others of the significance

of cultural heritage and the need for its proper management.

BHP Billiton WA Iron Ore – since 2000 more than 2,700 employees, contractors and invited

community representatives have attended the 1-day cultural awareness workshop. These

workshops are delivered under contract by Wangka Maya Pilbara Aboriginal Language Centre,

in conjunction with relevant Indigenous custodians.

Nickel West – all employees and long-term contractors attend a half-day cross cultural training

awareness course facilitated by traditional Indigenous people from the region. In addition

Nickel West also conduct a course for staff at Manager level and above and employees who’s

47 NSW Public Sector Making it our business. Improving Aboriginal employment in the NSW public sector and RailCorp Annual report 2004/05 48 RailCorp Annual report 2006/07 49 Robin Austen, Access & Equity Officer, PTAWA, personal communication, 19 March 08


roles are identified as being critical to the Indigenous Participation Strategy and who largely

interact with the Indigenous community. The 2-day course incorporates a day on country with

traditional Indigenous people building on the foundations of the one-day session.

Groote Island Manganese Company (GEMCO) – cultural awareness training in partnership with

Anindilyakwa Land Council for employees, contractors, service providers and partners. Specific

Courses include 1-day course for staff, 2-day course for staff at the level of Supervisor and

above and 1-day Reverse cross-cultural course for Indigenous employees.

GEMCO also run a number of other awareness programs including:

Team Building Leadership Camp - All Aboriginal employees and direct supervisors and some of the management team go on country for a 2-day team building and leadership program.

Community Awareness Sessions - Provides community members with an overview of the importance of the relationship with the Aboriginal community and the obligations and legal responsibilities of the individual community members. These sessions are designed for partners of GEMCO and contractors who live in Alyangula.

Management Awareness – all staff at supervisor level and above attend a 2-day corporate ‘cultural survey’ that incorporates Indigenous elements. Takes place on country.


Focus Area 5: Education & Training

I've heard once before nobody up here is willing to work. I mean,

that's not true. A lot of other companies, if they really worked hard

instead of spending all their money training up people in the

Philippines, put a little bit more energy into what we've got around

us, Australia would be a different place.50

With record unemployment and a national skills shortage, organisations are taking a greater

and more active role in skilling their workforce by:

Up-skilling and retaining current employees, and

Improving the pool of potential employees.

Perhaps the greatest obstacle to increasing the Indigenous workforce participation rates,

especially in regional and remote areas, is poor education levels. However, this disadvantage is

being overcome at many levels (schools, TAFEs, universities, workplace) through strategic

partnering with Indigenous organisations, governments and education and training providers.

Secondary School Programs

Gumala Mirnuwarni A programme providing intensive educational support and mentoring for

Indigenous secondary school students based in Karratha and Roebourne. Delivered as a

partnership between government education departments, Rio Tinto Iron Ore and Woodside.51

Aboriginal School Based Traineeships ASBTs provide the opportunity for senior secondary

students to start a traineeship whilst also completing Year 11 and 12. The Aboriginal

Employment Strategy (AES) run a school based traineeship program for Aboriginal students in

regional NSW and WA. AES report a 90% success rate for completion of the traineeship due to

the mentoring support they provide to both the trainee and the host employer.

The program fulfils a business need by providing the host employer with a source of young and

enthusiastic employees. On leaving school many of the trainees go on to full-time employment

with the same employer.52 Rio Tinto and BHP also employ school based trainees.

Indigenous Australian Engineering Summer School Established by Engineering Aid (a non-profit

organisation), IAESS is an annual 5-day live-in Summer School that gives 20 Indigenous Year 11

and 12 students a taste of engineering as a university course and career. Since this program

began in 1998, at least 23 students from the program have gone on to study engineering at

university. IAESS is fully sponsored by a range of government departments, private donors and

50 Damien Ardagh, VTEC Training Manager, Fortescue Metals quoted in SBS Living Black 15 September 2007 51 www.riotintoironore.com/ENG/careers/183_indigenous_employment.asp 52 AES School Based Traineeships www.aboriginalemploymentstrategy.com.au/Page.aspx?category=1&element=23


private companies. ARA member companies who have supported the IAESS include Arup, Rio

Tinto, Sinclair Knight Merz, Parsons Brinckerhoff and Transfield Services.53

Apprenticeships and Traineeships

Investment in Aboriginal Relationships Program In 2000, BHP introduced a pre-apprenticeship

program because Indigenous people appeared not to be applying for apprenticeships and

traineeships. The Company assumed that local Indigenous people were either not interested in

applying for positions or thought they would not be able to pass the initial selection process.

However, that assumption was challenged in the first year of the program as a number of local

Indigenous applicants were successful in gaining apprenticeships in their own right, without

needing to do the pre-apprenticeship program

For applicants who miss out on gaining an apprenticeship, the one-year program helps them

develop their ability to succeed in the following year’s intake. As a consequence, Indigenous

apprentice and trainee numbers rose from about 2 in 2000 to 55 in 2004. Aboriginal people are

undertaking apprenticeships at BHP in engineering, mechanical and electrical trades and

traineeships in clerical and mine production roles.54

Tertiary Programs

National Indigenous Cadetship Project The NICP is an Australian Government program that

aims to improve the professional employment prospects of Indigenous Australians studying a

Diploma or Bachelor degree. In 2006/07, 234 cadets commenced under the project, bringing

the total number of commencements since 1999 to more than 1,290.55

Rio Tinto NICP Signing up in 1999, Rio Tinto was one of the first private sector organisations to

support the NICP. Rio Tinto provides opportunities for university students studying many

disciplines including:

Engineering (eg civil, mining, chemical, mechanical, electrical)

Science (eg. metallurgy, chemistry, geology, archaeology, environmental)

Other degrees (eg. anthropology, human resources, IT, accounting, business)

Since 1999, 11 Rio Tinto cadets have graduated and gained employment including six who have

taken up graduate roles with Rio Tinto. Seven cadets are currently undertaking cadetships with

Rio Tinto. In addition, Rio Tinto Iron Ore provides scholarships for Aboriginal students in the

Pilbara to study at the university of their choice. The scholarships cover all major expenses

associated with tertiary study.56

Sinclair Knight Mertz NICP The Indigenous Cadetship Program (ICP) is a signature project for

SKM. Currently SKM supports 15 cadets in their Sydney, Melbourne, Perth, Brisbane and

53AIESS www.newcastle.edu.au/faculty/engineering/events/indigenous-summer-school/ 54 BHP Billiton (2004) HSEC Report http://sustainability.bhpbilliton.com/2004/repository/caseStudies/socioEconomic33.asp 55 Department of Employment & Workplace Relations Annual report 2006-07 56 www.riotinto.com/careers/221_australian_national_indigenous_cadetship_project.asp


Adelaide offices. Five of the current cadets are studying an engineering discipline; the other 10

cadets are studying law, commerce, architecture, town planning and human resources.

In addition to the paid work placement, SKM offer their cadets training, workplace rotations,

mentoring and an annual ICP Conference when all cadets come together. For the 12-week

work placements, cadets work within relevant areas of SKM and also with client companies.

Jack Pearson said ICP has been very successful because the cadets are fully supported by SKM

staff throughout their study. Jack also said the annual cadet conference was well received by

cadets and was important for peer support and networking. With the support of participating

organisations for work placements, SKM would like to build its cadet numbers up to 100.57

Arup Joining the NICP program about 10 years ago, Arup has trained 10 Indigenous students

studying engineering. The cadets are placed in teams and mentored by a qualified engineer.

The cadets usually work on projects within their discipline of engineering but they are allowed

to rotate through different fields of work if they wish. Arup use the NICP program to link with

Indigenous Australians.58

Work-Ready Programs

RailCorp Pre-employment Program In partnership with TAFE, RailCorp is currently piloting a

pre-employment program for Indigenous Australians. Recognising that many Aboriginal and

Torres Strait Islander people experience educational, economic and social disadvantages, this

program helps participants to gain the knowledge, skills and confidence they need to compete

for customer service assistant positions through the usual recruitment process. Job offers to

successful candidates of this program will be made in 2007-08.59

Ashburton Work Start Program This initiative is a result of a partnership based in Tom Price

and Paraburdoo between SKILLED, Rio Tinto Iron Ore, Shire of Ashburton, Job Futures/North

West Jobs, Pilbara Gascoyne Population Health, Pilbara TAFE and Ashburton Aboriginal

Corporation. Launched in September 2006 the program is designed to provide the local

Indigenous communities with training and skills to secure full time employment specifically

within the mining industry.

Currently there are 12 people in the program which offers educational support such as reading

and writing, as well as a 12-week job ready course that assists with submitting resumes and

attending job interviews. Those who complete the course are employed by SKILLED as Haulpak

operators and stores people for Pilbara Iron, the Shire of Ashburton or found suitable local

work. 60

57 Jack Pearson, Practice Leader Indigenous Engagement, SKM personal communication, 02 April 08 58 Engineers Australia (2007) Attracting more Indigenous Australians to engineering 59 RailCorp Annual Report 2006/07 60 SKILLED’s Pilbara partnership wins state award December 2007


Vocational Training and Employment Centre Jointly funded by Fortescue Metals Group (FMG)

and the Australian Government, VTEC provides training and education for Aboriginal

participants, as well as a guaranteed offer of employment for successful trainees. VTEC boasts

a retention rate of at least 60%.

In 2007, the Centre for Excellence in Rail Training (CERT)61 provided training in tracklaying for 25

Aboriginal people at VTEC. The 20 graduates were subsequently employed by project partner

Laing O’Rourke to lay FMG’s new railway line in the Pilbara region.

VTEC manager Damien Ardagh said employers valued the program for taking the legwork out of

the training process and for providing a ready talent pool of workers, while trainees and their

families had expressed appreciation that others were taking the time to try and understand

where they were coming from and treating them as individuals rather than as statistics. “These

people are important,” he said. “They’re not just here to make up the numbers and they’re not

just about employment targets.”62

61 Stuart Pottinger, RTO Manager CERT, personal communication 08 April 08 62 Damien Ardagh, VTEC Training Manager quoted in SBS Living Black 15 September 2007


Government Financial Assistance

The Australian Government’s Indigenous Employment Policy63 provides flexible packages of

assistance including:

Wage Assistance.

Structured Training and Employment Projects (STEP).

National Indigenous Cadetship Project (NICP).

Corporate Leaders for Indigenous Employment Project.

Wage Assistance

Wage Assistance is a payment given to employers as an incentive to employ Indigenous

Australians on an on-going basis. Wage Assistance is used mainly by small private sector

businesses and is available for apprentices and trainees as well as other employees. It is also

available to public and community sector employers.

Wage Assistance offers salary subsidies to employers of up to:

$4,400 for full-time work or

$2,200 for ongoing part-time work of at least 15 hours per week.

STEP Program

The Structured Training and Employment Projects (STEP) Program provides flexible funding for

packages of tailored assistance to help employers give long term jobs to Indigenous Australians.

The level of funding depends on the type of organisation and services needed to ensure

ongoing employment. It takes into account the job readiness of the applicant, the type of

training received and training to be given, the duration of the job and where it is located.

STEP funding can cover the following:

training, including apprenticeships and traineeships, on the job training, school based apprenticeships and cross-cultural awareness training

development of an Indigenous employment strategy mentoring help with employment costs.

Numerous businesses have accessed STEP funding for different projects including the following

ARA member organisations:

RailCorp - train and offer ongoing employment to 15 Indigenous Australians as customer

service attendants and presentation service attendants in Sydney.

Queensland Rail (QR) - initiate the QR Indigenous Employment Strategy by recruiting eight

Indigenous Australians as apprentices and two Indigenous Australians as trainees within a

variety of QR business units.

63

www.workplace.gov.au/workplace/Programmes/IndigenousProgs/

http://www.workplace.gov.au/workplace/Programmes/IndigenousProgs/IndigenousEmploymentPolicyIEP.htm

http://www.workplace.gov.au/workplace/Programmes/IndigenousProgs/wageassistance/

http://www.workplace.gov.au/workplace/Programmes/IndigenousProgs/STEP/STEPforemployers.htm

http://www.workplace.gov.au/workplace/Individual/IndigenousAustralians/NationalIndigenousCadetshipProjectNICPforemployers.htm

http://www.workplace.gov.au/workplace/Programmes/IndigenousProgs/Corporate+Leaders+for+Indigenous+Employment/CorporateLeadersforIndigenousEmploymentProject.htm

http://www.workplace.gov.au/workplace/Programmes/IndigenousProgs/


Transfield Services - undertake a feasibility study to identify current and future employment

opportunities for Indigenous Australians across the company’s operations.

Rio Tinto Services - provide pre-employment training, apprenticeships and traineeships with

the company, its subsidiaries and sub contractors for 80 Indigenous Australians in various sites

across Queensland and NSW. Rio Tinto Services Ltd will employ and train 60 Indigenous

Australians as trainees/apprentices at Comalco Aluminium Ltd’s Weipa operations.

John Holland Group - employ 100 Indigenous Australians in the roles of apprenticeships,

traineeships and other general roles across Australia. The company will also employ an

Indigenous Employment Coordinator to develop and ensure the success of the company’s

Indigenous Recruitment and Employment Strategy.

BHP Billiton Iron Ore - provide employment for 50 Indigenous Australians recruited at its

mining operations in the Pilbara region of WA.

Pilbara Iron Company (Services) - provide training and employment for 61 Pilbara based

Indigenous Australians with the aim of increasing the rate of employment of Indigenous

personnel to 15%.

Fortescue Metals Group - provide employment for 80 full-time and 40 part-time Indigenous

Australians at its mining operations in the Pilbara.

National Indigenous Cadetship Program

The National Indigenous Cadetship Project (NICP) aims to improve the professional

employment prospects of Indigenous Australians studying a Diploma or Bachelor degree. The

Government provides employers with payments to cover administrative costs as well as an

allowance to be paid to the cadet while they are studying.

Companies recruit cadets from a discipline that will benefit them. The employer then provides

the cadet with a 12-week paid work placement for each full year of the cadetship, ensuring that

the work duties complement the cadet’s course of study.

Employers have found the project very useful in exposing their company to prospective

employees. Once students complete their university degree they often gain employment with

the employer who gave them the cadetship.

Many ARA member companies have signed up with the NICP including Arup, Baulderstone

Hornibrook, BHP Billiton, Fortescue Metals Group, Leighton Contractors, Parsons Brinckerhoff,

Rio Tinto, Sinclair Knight Merz and Thiess.


Corporate Leader for Indigenous Employment

The Corporate Leaders for Indigenous Employment Project encourages private sector

companies to generate job opportunities for Indigenous Australians. It allows them to use

elements of the Australian Government’s Indigenous Employment Programme to develop and

tailor their Indigenous employment strategies to meet their business needs.

Companies become part of a team of innovative private sector organisations who have access

to the best Indigenous employment strategies and practices. Other benefits include:

expanding your talent pool by tapping into a growing Indigenous workforce

enhancing your reputation as a good corporate citizen

developing a workforce which better reflects your customer base

accessing to networking forums and targeted resources

opportunities for public recognition in the annual Corporate Leaders for Indigenous Employment Awards.

A flexible package of funding is available to all Corporate Leader organisations. The funding can

be tailored to your business needs and may assist you develop and implement a strategy that

could, for example, include assistance for pre-employment training, mentoring or cross-cultural

awareness training.

ARA member companies that have already signed up to be Corporate Leaders include

Baulderstone Hornibrook, BHP Billiton, John Holland Group, Laing O’Rourke, Leighton

Contractors, Rio Tinto, Thiess and Transfield Services.


Conclusion

The Australasian Railway Association (ARA) is the peak body representing the interests of more

than 150 organisations involved in rail in Australia and New Zealand. The ARA has developed

an Indigenous Employment Strategy for the Australian rail industry which when implemented

will lead to alternative forms of labour supply for the Australian rail industry.

More than 40 000 people are employed in rail throughout urban and regional Australia in

diverse operations and professional occupations. Many more people work in support industries

providing goods and services to the industry. The rail industry and the general working

environment are in a state of transition. The workforce that has dominated the past decades is

now nearing retirement. The work preferences and expectations of new entrants to the

workforce are distinct and conflict, in some aspects, with the preferences of the existing

workforce.

Depending on a number of business factors including current level of engagement with

Indigenous communities and the capacity to initiate new recruitment and retention strategies,

the options for organisations to increase Indigenous employment include:

Development of Reconciliation Action Plans

Engagement of Indigenous Coordinator/Advisor

Employment of Indigenous apprentices and trainees

Pre-employment programs

Development of cross cultural awareness package

Employment of Indigenous university students as cadets

Corporate leaders for Indigenous employment

Extend Indigenous Employment Strategies to rail divisions

Organisations involved in the transport and resources sectors have successfully recruited and

retained Indigenous Australians in all levels throughout their business. The key success factors

of these organisations have been grouped into five focus areas:

1. Organisational commitment

2. Partnerships

3. Recruitment

4. Retention

5. Education and training

A commitment by member organisations to increase Indigenous employment could result in

more than 1 000 Indigenous Australians employed within all facets of the Australia rail industry.


Useful Publications

Chamber of Minerals & Energy WA (c2007) Indigenous participation in Western Australia’s

resources sector. CME: Perth. www.cmewa.com.au

This publication highlights some partnerships between the resources sector and Indigenous

communities in WA. Contributing companies including BHP, Rio Tinto, Downer EDI and

Newmont, describe how they have achieved success in Indigenous employment, business

development, education and training, cultural awareness training and community projects.

The Centre for Social Responsibility in Mining (c2007) Indigenous employment in the Australian

minerals industry. University of QLD, CSRM : Brisbane. www.csrm.uq.edu.au

A key finding of this study is that when operations give the same commitment to Indigenous

employment initiatives as other business activities, good outcomes are achieved in relatively

short time frames. This paper explains the factors that lead to lower workforce participation of

Indigenous people and implications for employers (the Indigenous diversity challenge). This

paper is full of good practice examples including organisational commitment, culturally

appropriate recruitment and retention strategies and contractor issues.

BHP Billiton Iron Ore (n.d.) Indigenous contracting guidelines. Building sustainable Indigenous

economic development. www.bhpbilliton.com

These guidelines provide a framework to assist Indigenous Contracting Businesses understand

BHP Billiton Iron Ore’s approach to identifying and assessing business opportunities that are

available to them. Iron Ore’s desire is that its Indigenous contracting opportunities will enable

Indigenous Contracting Businesses to grow and become autonomous, profitable businesses

that can sustain their commercial operations by servicing a range of customers.

Department of Industry, Tourism and Resources (2007) Working with Indigenous communities.

Leading practice sustainable development program for the mining industry. www.ret.gov.au

This handbook provides guidance for resource developers on how to work effectively with

Indigenous communities. This handbook provides case studies to illustrate how companies

have engaged successfully with Indigenous communities in a range of contexts.

http://www.cmewa.com.au/

http://www.csrm.uq.edu.au/

http://www.bhpbilliton.com/bbContentRepository/indigenouscontractingguidelines.pdf

http://www.ret.gov.au/Documents/WWICPublishedFinal20071030103510.pdf