Slide 1 The challenges and opportunities for your clients in the labour market – Western NSW

Notes

23 June 2015

Presenter: Ivan Neville

Branch Manager

Labour Market Research and Analysis Branch

Slide 2 Map of Western NSW region

Notes

Map of the Western NSW region.

Far West and Orana SA4: Dubbo, Wellington

Central West SA4: Parkes, Forbes, Cowra, Orange, Baturst

Slide 3 City Profiles

Regions

Adult

Population

(2013)

Adult

Population

Growth

(2008 – 2013)

Median Age

% on Disability

Support

Payments

Bathurst Regional LGA 32,780 8% 36 6%

Cowra LGA 10,270 3% 45 11%

Dubbo LGA 31,930 6% 36 6%

Forbes LGA 7,690 3% 41 8%

Orange LGA 31,990 9% 36 7%

Parkes LGA 11,780 3% 39 9%

Wellington LGA 7,130 5% 41 10%

NSW 6,011,470 7% 38 5%

Notes

Source: ABS, Estimated Residential Population, 2013; ABS, Census of Population and Housing, 2011, Department of Employment administrative data, March 2014

A profile of the various Local Government Areas (LGAs) in the region compared with NSW.

Slide 4 High unemployment rates in many centres…

Notes

Source: Department of Employment, Small Area Labour Markets, March 2014

The Cowra and Parkes and Wellington Local Government Areas have the highest rates of unemployment (10.0 per cent, 8.9 per cent and 10.0 per cent respectively), while Dubbo has the lowest at 4.0 per cent.

Slide 5 …and there are fewer vacancies

Notes

Source: Department of Employment, Regional Internet Vacancy Index, April 2015

Vacancies in Bathurst and Central West NSW had declined by 32 per cent from September 2010 until April 2015 with 560 vacancies. Dubbo and Western NSW vacancies during the same period of time declined by 54 per cent and with 220 vacancies for April 2015.

Slide 6 Labour Market Outcomes for Persons (aged 15-64) with a Disability, 2012

Unemployment rate Participation rate

Psychological disability 20.4% 29.1%

Physical disability 8.2% 47.4%

Total with disability 9.4% 52.8%

No disability 4.9% 82.5%

Notes

Source: ABS, Disability and Labour Force Participation, 2012

This slide shows the effect of having a disability on labour market outcomes.

Slide 7 …and if you have a psychiatric disability you are less likely to remain employed long-term, NSW, DES Caseload Jobseekers, March 2010 – March 2015

Notes

Source: Department of Social Services, DES Caseload data, NSW, March 2010- March 2015

According to Disability Employment Services data, in NSW, from March 2010 to March 2015 there were 88,320 job placements of people with a disability, of which 56 per cent achieved a 26 week outcome. Some 33,130 of these placements where of people with a physical disability of which 61 per cent achieved a 26 week outcome and 30,770 were placements of people with a psychiatric disability, 51 per cent of whom achieved a 26 week outcome.

Slide 8 …leading to high reliance on income support across the region

Notes

Source: Department of Employment, administrative data, March 2015; ABS Estimated Resident Population, 2013

Income support reliance across the region was higher than NSW overall, with the Wellington LGA reaching 29 per cent of the population who are in receipt of income support payments and Cowra LGA 27 per cent, compared to NSW at 16 per cent.

Slide 9 …including many 45 to 64 year olds on disability payments

Notes

Source: Department of Employment, administrative data, March 2015; ABS Estimated Resident Population, 2013

Across the centres in the region there is a larger proportion of 45 to 64 year olds in receipt of the disability support pension compared to NSW.

Slide 10 …and if unemployed it can take a long time to get another job May 2015

Notes

Source: ABS, Labour Force Survey, May 2015, 12 month averages of original data

Long-term unemployed are those who have been unemployed for 52 weeks or more.

The average duration of unemployment in the Central West and Far West and Orana SA4s (81 weeks) was much higher than New South Wales (50 weeks).

Slide 11 …and your younger clients are also competing with young unemployed job seekers – 15-24 year olds

Youth unemployed Unemployment rate

Central West and Far West and Orana 4,100 15.1%

NSW 80,200 12.6%

Notes

Source: ABS, Labour Force Survey, May 2015, 12 month averages of original data

The youth unemployment rate for the Central West and Far West and Orana SA4s was 15.1 per cent, higher compared to NSW which was 12.6 per cent.

Slide 12 High levels of disengagement among young adult females – 20-24 year olds

Notes

Source: ABS, Census of Population and Housing, 2011

According to the 2011 Census, Wellington, Parkes, Cowra and Forbes had higher proportions of 20 to 24 year olds who were not studying and not in the labour force compared to NSW.

Slide 13 Lower educational attainment – Persons aged 25-34 years

Notes

Source: ABS, Census of Population and Housing, 2011

At the time of the 2011 Census, the proportion of 25 to 34 year olds across the region who had completed Year 12 or equivalent was lower than NSW.

Job seekers who have not completed Year 12 and have limited experience in the workforce are likely to lack many basic employability skills that employers value and look for in applicants, particularly for lower skilled vacancies and entry level positions such as apprenticeships and traineeships.

Slide 14 The right training is vital – Central West and Dubbo, persons aged 25-34 years

Notes

Source: ABS, Census of Population and Housing, 2011

There is a strong relationship between educational attainment and employment outcomes. For those aged 25 to 34 years in the Central West and Dubbo region, there were high unemployment rates for those who had completed Certificate I & II but had not completed Year 12 (12.3 per cent) and those who had not completed Year 12 or a post school qualification (14.8 per cent).

Unemployment rates are considerably lower for those who have completed a tertiary education at the Bachelor Degree, Advanced Diploma and Diploma Level. It should also be noted that employment outcomes are better for those who have attained Certificate Levels III or IV. This emphasises the importance of post school education in gaining employment.

Slide 15 Where are the opportunities?

Notes

Slide 16 Where are people employed?

Notes

Source: ABS, Labour Force Survey, May Quarter 2015

Majority of people in the Central West and the Far West and Orana regions are employed in the Agriculture, Forestry and Fishing and Health Care and Social Assistance industries (both 13 per cent) and the Education and Training industry (11 per cent).

Slide 17 Many major industries declining – Central West and Far West and Orana (2014-2015)

Notes

Source: ABS, Labour Force Survey, May Quarter 2015

The Transport, Postal and Warehousing, Education and Training and Health Care and Social Assistance industries recorded the largest increase of employed persons while the Accommodation and Food Services, Mining and Agriculture, Forestry and Fishing industries recoded the largest decline of employed persons.

Slide 18 Where will the jobs be? – Five years to November 2019

Notes

Source: Department of Employment, Projections to November 2019

The Health Care and Social Assistance industry (2,800) is projected to create the most new jobs in the Central West and Far West and Orana regions in the five years to November 2019. Manufacturing and Mining industries are both declining in the region.

Slide 19 Mining Apprenticeships rising, but are there jobs? – Change in completed Apprenticeships 2009-2014, Central West and Dubbo

Notes

Source: NCVER December 2014, 4 Quarter Sums of original data; ABS, Labour Force Survey, May Quarter 2015

Mining and Construction apprenticeships recorded the largest number of completed apprenticeships in the Central West and Dubbo region from 2009 to 2014. However, employment in Mining has declined in the region between 2014-2015 (-3800 employed persons).

Slide 20 What are employers telling us?

Notes

Slide 21 …your clients are facing strong competition for jobs…: - Vacancies advertised on internet or in newspaper

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed to December 2014

There was an average of 18 applicants per vacancy of which 4 were interviewed and 2 were deemed suitable across all regions surveyed in Australia.

Slide 22 So how do they increase their chance of getting an interview? – Vacancies advertised on the Internet or in a newspaper

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed to December 2014

Reasons applicants did not get an interview were:

Lack of relevant experience (64 per cent)

Insufficient qualifications or training (27 per cent)

Poorly written/presented application (22 per cent)

Lack of soft skills (20 per cent)

Not available for required work hours (14 per cent)

Slide 23 Even in areas with high unemployment rate, employers still find it difficult to fill jobs…

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed to December 2014

Some 31 per cent of employers across all regions surveyed had difficulty filling jobs. This was due to:

Technical skills requirements of the job (30 per cent)

Not enough applicants (28 per cent)

Nature of work required (20 per cent)

Location (16 per cent)

Soft skill requirements of the job (15 per cent)

Working hours (12 per cent)

Slide 24 Employers look for these essential soft skills

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed to December 2014

Flexibility/adaptability

Reliability

Teamwork

Interpersonal/communication skills

Enthusiasm/positive attitude

Customer service skills

Slide 25 There are benefits for employers in less staff turnover

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed to December 2014

Majority of employers who recruited in 2014 (59%) recruited because of staff turnover (only 16% increased staff).

Recruitment for employers is:

Costly Time-consuming Difficult to find “the right person”

Slide 26 Employers can work with providers to develop strategies to reduce staff turnover

Notes

Enhancing communication between all parties

Development of a positive work environment

Workforce flexibility

Provision of mentoring/support

Provision of training and skill development

Appropriately awarding employee efforts

Slide 27 Many jobs are not advertised formally

Notes

Source: Department of Employment, Survey of Employers’ Recruitment Experiences, All regions surveyed in the 12 months to December 2014

Some 39 per cent of vacancies were advertised by informal only recruitment methods (i.e. word of mouth and approached by job seeker).

Formal recruitment methods included advertising on the Internet and in the newspaper.

Slide 28 Getting a job when long-term unemployed is challenging – Your clients need to:

Notes

Consider a wide range of job opportunities

Train/Update skills – the right training is vital

Access the support available

Use broader job search techniques

Be positive and enthusiastic

Be willing to travel outside immediate area

Slide 29 Tools to assist with job search

Notes

The Department of Employment has many tools to assist people with transitioning into the work force or into another job.

www.employment.gov.au/regionalreports

www.lmip.gov.au

www.employment.gov.au/SkillShortages

www.employment.gov.au/australianjobs

www.joboutlook.gov.au

http://myfuture.edu.au/

www.jobsearch.gov.au

Slide 30

Notes

If you have any questions about the presentation please contact the Recruitment Analysis and Employer Surveys sections on 1800 059 439 or email recruitmentsurveys@employment.gov.au

Slide 31 Australian Government Department of Employment