Australia’s need to build workforce capacity

Australia has a current $300 billion public infrastructure investment backlog

Infrastructure Australia and Access Economics confirm Australia’s current public infrastructure investment backlog is $300 billion with a further $486 billion worth of infrastructure investment committed to the planning stage. Concern is increasing amongst industry leaders that many start-ups will be delayed due to lack of skilled workers.

Australia overcame this constraint previously (1949 – 1974) by importing migrant workers to build the then world renowned Snowy Mountains Project. Many of these iconic workers and descendants are now valued Australian citizens.

In a similar way, Hong Kong delivered the world’s largest infrastructure investment project, valued around $30billion by importing up to 30,000 temporary migrant workers during the years 1992 – 1997. Auslink contributed to this success through assisting Airport Contractors to deploy skilled workforces and working with the Hong Kong Immigration Department to further develop government importation of labour policy.

Unprecedented mining and rural development opportunity

The current skills shortage constrains economic and social development across all Australia.
The Australia’s government announced in April, 2011 that Australia faces a deficit of 1.4 million skilled people over the next 10 years.

According to the Civil Contractors Federation (CCF), the booming mining industry is luring skilled workers away from building infrastructure and threatens a shortfall of many thousands by 2012. In addition, workers above 45 years of age are quitting the industry “in droves”. Skills shortages are evident for many areas of activity across the industry, including plant operations, bridge construction, road construction and maintenance, pipe-laying, and leadership and supervisory roles”.

In addition, Australia needs an estimated 42,000 skilled agriculture and natural resource management people to implement the government’s “Caring for our country” initiative.

Currently, this programme is in jeopardy as Australia does not have sufficient agricultural and natural resources development people. In addition, an estimated 25% of Australia’s workforce needs to be replaced due to ageing within the next 10 years. Twice the number of people aged 55 years or older work in agriculture than in any other Australian industry.

There seems little doubt that the surge in major infrastructure development within the resources sector will continue to lure skilled workers away from non-resources development industries. This reality will place increasing pressure on wage increases unless Australia’s skilled labour market is significantly supplemented to meet required demand.

Whilst Australia’s Vocational Education and Training (VET) program is doing what is possible to train Australian workers, the current and projected deficit in required skills can only to be filled with migrants particularly those willing to live and work in regional and rural Australia.
On its own, Australia’s low population fertility dictates increasing need for skilled migrants to fill the gap and settle in regional and rural Australia.

Energy provisioning, agriculture and fossil fuel substitution

As fossil fuel prices continue to rise and consumers become more aware of the true reasons for climate change, agriculture and associated carbon dioxide and greenhouse gas mitigation strategies are set to take a more prominent role in energy provisioning. This in turn will create new regional and rural industry and a whole new opportunity for agriculture and renewable energy development skill-sets for both Australian and migrants.

Bridging skills for overseas workers

Like most people during their career, many migrants need to broaden and enhance occupational skills. The Australian workplace provides an opportune environment for migrants to deepen their skills and have these skills recognised as equivalent to Australian standard. Deploying migrant workers with a willingness to continue their career development within Australian makes good sense for both Australia and home-country.

Employers – Register your business with Auslink to find skilled overseas workers
Skilled overseas Workers – Register yourself with Auslink to find employment in regional Australia