NT Employment Strategy Discussion Starter 2012-2015

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    NORTHERN TERRITORYEMPLOYMENT STRATEGY

    DISCUSSION STARTER

    2012 - 2015January 2012

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    A Message from the Minister for Business and Employment ............................................ 3Employment in the Territory: ................................................................................................ 4opportunities and challenges ahead.................................................................................... 41. Workforce planning and development ..................................................................... 52. Skilling the workforce ................................................................................................ 63. Indigenous employment participation ...................................................................... 74. Migration ..................................................................................................................... 85. Business and industry support ................................................................................. 9Other challenges .................................................................................................................. 10Where to next? ..................................................................................................................... 10Your contribution ................................................................................................................. 11

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    A Message from the Minister for Business and Employment

    The Territory, like other parts of Australia, faces significant challenges in building and sustaining

    a highly skilled and dynamic workforce to take advantage of economic opportunities.

    The Territorys Jobs NT Employment Strategy 2010-2012 to grow a skilled workforce set four

    key targets across skilling the workforce; and workforce planning and business development. I

    am pleased to report these targets have either been met or considerable progress has been

    made, with:

    more than 24 000 Territorians in training

    more than 3000 Indigenous Territorians commencing employment in the past three years

    and labour force participation rates that continue to exceed national participation rates.

    The Territory Government is now developing the next Employment Strategy to build on this

    work, with a focus on maximising jobs and supporting businesses to grow through the

    opportunities presented by a range of major projects.

    The role of industry and community stakeholders is important in setting the next framework

    develop a skilled workforce and working alongside Government to implement it. This Discussion

    Starter seeks to invite innovative new approaches, as well as confirm existing strategies. The

    key themes identified in this Discussion Starter have been informed through industry

    committees, including the training Peak Industry Advisory Group and Gearing up Local Business

    for Major Projects Taskforce, and through consultations with business and industry on the

    development of the Regional Migration Agreement.

    I invite you to participate by providing comment through stakeholder consultation starting

    January 2012.

    Delia Lawrie MLAMinister for Business and Employment

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    Employment in the Territory:

    opportunities and challenges ahead

    The Territory has experienced considerable growth in the jobs market with approximately 3000new jobs created across the Territory over the past two years.1 Unemployment over this time

    has been at record low levels and consistently lower than other jurisdictions. These factors are

    expected to continue into the foreseeable future with Deloitte Access Economics predicting the

    Territory will experience the third strongest economic growth in the nation and strong

    employment growth rates, on average, over the next five years.

    A range of major resource projects, both on and off-shore, are set to see the Territory emerge

    as a resource development and export location, creating more demand for skilled and semi-

    skilled workers and new business opportunities.

    In the period to 2015-16 it is anticipated in the NT:

    the demand for workers generally is to increase by 20 000 people2

    the demand for construction workers (predominantly trades) will increase by 5500 largely

    due to major projects3

    there is expected to be significant competition for workers nationally due to the numerous

    major resource projects underway or planned to commence

    the working age population (aged 15+ years) is projected to grow by approximately 13 000

    persons.4

    To build on workforce development to date, research suggests that the Territory could focus on

    the following areas to meet these challenges:

    sector specific workforce development strategies

    continued support for small to medium enterprises (SMEs) and industry

    increasing responsiveness of the training system

    increasing Indigenous participation in the workforce

    strengthening skilled migration services.

    1 Labour Force Survey, Australian Bureau of Statistics, November 20112 Centre of Policy Studies at Monash University, Monash Employment Forecasts, June 2011 (2010/11-2015/16)3 The Pit Crew Report, Pit Crew Consulting Services Pty LTD, Northern Territory, May 20114 NT Population Projections 2011 (2011-2016) NT Treasury

    Discussion:

    Are there other key areas the Territory should focus on and why?

    Are there other strategies that would provide a better result in growing the

    workforce? If so, what do you suggest?

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    1. Workforce planning anddevelopment

    Contemporary practice indicates that government has a

    significant role to play in facilitating industry and business

    workforce planning and development approaches. Toprogress workforce planning, government has been

    working with industry to develop industry specific

    strategies to build capacity, to identify and support

    workforce and labour supply issues and assist in

    developing the workforce to meet labour needs.

    As a result of upcoming major projects, the government

    has completed a workforce impact analysis which has

    directed the focus of industry workforce plans. To date,

    industry workforce plans have commenced for:

    transport and logistics

    construction

    oil and gas (post construction).

    There has also been a focus on emerging sectors, suchas early childhood and tourism.

    The workforce strategies for each of the sectors are atvarious levels of development and implementation.

    To support SMEs, a workforce planning component hasbeen included in the suite of business support programs

    offered through Governments Territory BusinessSolutions Program.

    Research and consultation with Territory industries hasidentified the following industry workforces as a priority foraction:

    community services

    manufacturing

    vocational education training (VET) workforce.

    Research has identified that nationally there is a move

    towards regional workforce planning. This approachfocuses on the significant impact regional communities,

    and the diverse range of industries and population have

    on the economy, while recognising the unique challenges

    regions face.

    Discussion:

    How best can the NTGovernment support industry tomanage and plan its current andfuture workforce needs?

    How can industry ownership forthe implementation of workforceaction plans be encouraged?

    What is the best way to engageSMEs in workforce planning and

    development?

    What strategies could be usedto assist SMEs that have lesscapacity and fewer resources toundertake workforcedevelopment and planning?

    Are the proposed sectors forfuture work appropriate or arethere other industry sectorsgovernment should consider asa priority? If so, what are theyand why?

    What role should NTGovernment play in supportingthe development of regionalplans? And how local ownershipcan be fostered?

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    2. Skilling the workforce

    TheTerritory Government is committed to developingskills for Territorians and providing training to meetworkforce and employer needs. In 2010, VET student

    numbers were at record levels, with over 24 000 studentsparticipating in a broad variety of courses. Currently thereare more than 4900 apprentice/trainees in training.

    The NT Government currently has the followingprograms/initiatives to support:

    students preparing for the world of work

    Vocational education training in schools (VETiS) isdelivered through the VET in the Middle Program inmiddle schools and the Get Vet Get A Futureprogram in senior schools. Workplace literacy and

    numeracy and work transition programs are alsodelivered in secondary schools. Senior secondarystudents can commence a school-basedapprenticeship or traineeship part-time whileundertaking their school studies.

    the uptake of apprenticeships and traineeships

    Employer incentives are available for eligibleemployers to assist in supporting apprentices andtrainees. The Workwear/Workgear Bonus for eligibleapprentices/trainees to assist in buying essentialwork wear, safety gear and other work related

    necessities. Pre-employment programs to assistpeople develop skills to enable them to obtain anapprenticeship/traineeship funding for off-the-jobtraining, travel and accommodation subsidies forthose who have to travel for off-the-job training.

    upskilling/reskilling of existing workers

    Territorians have access to training through publicproviders for entry level qualifications and reskilling.Industry can access the Buildskills Program to upskillor reskill existing workers.

    disadvantaged groups

    Equity Training Grants Program provides funding fordelivery of training and employment programs fordisadvantaged groups to improve their training andemployment outcomes. Often this is delivered withfoundation and employability skills programs toimprove training outcomes.

    Discussion:

    Are the qualifications beingachieved under VETiS,apprentice/traineeships andgeneral entry level trainingmeeting employer needs?

    Are skill sets more appropriatethan qualifications? If so, inwhich industries?

    Do apprenticeship programs

    provide a useful pathway forindustry and employers?

    Would advanced entry adultapprenticeship programs suchas the National ApprenticeshipProgram* meet industry needs?

    What can be done to increaseapprentice/trainee completions?

    Is it a priority for employers inthe NT to require their workersto have higher levelqualifications? If so, what level?

    Is government funding beingtargeted at the training neededby industry?

    Should industry have more input

    into what training thegovernment funds? If so, how?

    * www.nationalapprenticeships.com.au

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    3. Indigenous employmentparticipation

    Indigenous Territorians are working successfully in a wide

    range of professional and wage jobs, and higher numbersare participating in training that links to employment eachyear. But there is still more to be done. In 2010,Indigenous labour force participation rates were 43.6%compared to 80% for non-Indigenous Territorians.5

    The NT Government has supported a number of activitiesto increase Indigenous participation in the workforce, theyinclude:

    The Indigenous Responsive Program, which fundstraining to develop the skills of Territorians living inremote and regional areas of the NT and increase

    Indigenous employment opportunities. The NT Government is also working with industry to

    stimulate Indigenous employment through workforceplanning and development strategies. Examplesinclude the pre-employment program with theMinerals Council Australia NT, Indigenous workersin health and community services sectors, shiresworkforce planning and for the hospitality and earlychild care sectors.

    While Indigenous engagement in the workforce isincreasing, Indigenous workers have not yet achieved

    proportionally equivalent employment participation ratesrelative to the wider NT population. Research suggeststhe following initiatives may support increasedengagement of Indigenous people in employment:

    establishing partnerships with specific industrysectors to develop workforce plans and commitmentsto jobs

    more hands-on business support to assist businessnavigate through available Indigenous employmentservices and to support business and workersthrough the early stages of employment

    in conjunction with employers, develop mobility andlabour hire approaches to link Indigenous workers tojobs.

    5Labour Force Characteristics of Aboriginal and Torres Strait Islander Australians, Estimates from the Labour Force Survey,Australian Bureau of Statistics 2010

    Discussion:

    Can the suggested initiativesimprove employment outcomesfor Indigenous Territorians?

    What other initiatives wouldsupport business to improveemployment outcomes forIndigenous Territorians?

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    4. Migration

    An outcome of a strong performing labour market andgrowth in major projects is skill and labour shortages suchas that being experienced in the NT and in some

    occupations across Australia. The Territory Governmentsprimary focus will continue to be training and upskillinglocals. However, this gap cannot be addressed entirely bytraining locals. In the 2010-11 financial year 1,877 visanominations and sponsorships were certified. Theworkforce will need to be supplemented through migrationprograms both interstate and international.

    The services provided to employers and business and theactivities undertaken by the NT Government in skilledmigration are diverse and wide ranging. They include:

    The development of State Migration Plan, Regional

    Migration Agreements, Enterprise Migration

    Agreements, actively engaging with Australian

    Government to profile NT employers to adequately

    reflect their needs.

    The certification of NT nominations under the

    Regional Sponsored Migration Scheme (RSMS) and

    nominations for applicants under state specific

    migration programs.

    Workforce attraction and promotion activities bothwithin Australia and overseas for example, UK,

    Ireland, and South Africa. Promotion activities include

    targeted media campaigns designed to promote the

    Territory as a place to work and live.

    Increasing the number of international students

    studying at Charles Darwin University. International

    students are a potential labour supply for business

    and industry, with studying students able to work 20

    hours a week.

    Discussion:

    Do the migration

    programs/services delivered bythe NT Government meet theneeds of employers?

    Are there other programs orservices that the NTGovernment could deliver in thisarea that would assistbusiness/employers?

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    Discussion:

    Are the current programssupporting business andemployers?

    Is there more governmentcan do to support businessand industry to prepare formajor projects? If so, whatdoes that support look like?

    5. Business and industry support

    It is important that the Territory Government facilitatesan attractive investment and business environment.

    Territory businesses and industry are the key tosuccessful employment of Territorians.

    The Territory Government offer a number ofprograms/Initiatives that support business andindustry growth:

    Business support programs

    Territory Business Growth and ecoBiz NTprograms provide businesses with assistance toenhance business performance, profitability,employment levels, market penetration andresource-efficient practices that are good for theenvironment.

    Workshops

    October Business Month and Business Upskillsevents/workshops provide businesses withopportunities for professional development, newbusiness management ideas and practical hands-on assistance to develop and strengthen theirbusiness.

    Gearing Up Local Business for Major Projects

    In partnership with industry, monthly specificworkshops and seminars were held over 2011,designed to assist Territory businesses to buildcapability in preparation for upcoming majorprojects. This covered topics such as jointventuring and consortium tendering, workforcedevelopment and understanding the IndustryCapability Network.

    Territory Worker Database

    A tool that facilitates linkages between NT

    employers and interstate workers who haveexpressed an interest in working in the NT.

    Potential employees can lodge summaryinformation about their skills, qualifications andexperience that can be accessed by NT employers.

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    Other challenges

    Housing

    The Territory Government recognises the importance ofaffordable and quality housing in attracting and retainingskilled workers in the Territory. Housing the Territory,Remote Housing NT, Land to Grow, Build Bonus andHome Start NT are NT Government strategies to addresshousing affordability issues.

    More information on these initiatives is available atwww.housingnt.nt.gov.au

    Where to next?

    The effectiveness of the employment strategy will bedetermined largely by the extent to which Territorybusiness, industry, unions, community, employers andemployees are involved with its development andimplementation.

    Consultation with stakeholders will commence in January2012. These comments will inform a draft EmploymentStrategy that will be released for further comment inearly 2012.

    Discussion:

    Are there other challengesimpacting on business/industryin growing their business andrelevant workforce thatgovernment should know about?

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    Your contribution

    Your response to this Discussion Starter will help to builda strategy that can improve employment and businessopportunities and outcomes for Territorians. Written and

    verbal feedback is welcome. Consultation forums will beadvertised.

    To find out more contactRob Floreani on 8999 7758.

    To respond in writing via [email protected]

    To respond in writing via mailSenior Project Officer, Employment and Training DivisionDepartment of Business and EmploymentGPO Box 3200DARWIN NT 0801

    Written responses are due by:COB Friday 24 February 2012.

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    Disclaimer: any representation, statement, opinion or advice, expressed or implied, in this publication is made in good faith. It ismade on the basis that the Department of Business and Employment Northern Territory is not liable (whether by reason ofnegligence, lack of care or otherwise) to any person to any damage or loss whatsoever, which has occurred or may occur in relationto that person taking action in respect of any representation, statement.