Why apprenticeships are key to solving skills shortages in WA

If you’ve tried to recruit staff over the last few years, then you most likely know there’s a skills shortage here in Western Australia (WA). What this means for some sectors, is that there is a significant lack of experienced people needed to fill certain roles. This shortage then results in huge demand for some skillsets, leaving plenty of businesses with job vacancies they simply cannot fill.

Skills shortages have significant ramifications for businesses, and while they occur for lots of reasons, one of the biggest contributors is a lack of apprenticeships and traineeships.

According to the Department of Training and Workforce Development statistics, 2017 apprenticeship commencements in some sectors were down 15 per cent on the previous year, and traineeships down 22.5 per cent.

With the skills shortage already significantly impacting businesses across Western Australia, the decrease in staff commencing apprenticeships and traineeships signifies a real possibility of trouble ahead, with the skills shortage likely to get worse before it gets better.

In WA, we saw 35,330 individuals in training at the end of the 2017 financial year. These figures were down 9% from June 2016, compared to a 4.7% decrease across the country as a whole with 268,600 apprentices and trainees in-training Australia-wide.*

 

Investing in new talent

Weaker economic conditions, a transitioning resources economy, and high training costs are just some of the factors cited for the decline in businesses offering apprenticeships and traineeships, but if businesses are committed to closing the gap, they need to consider the relationship between in-house training and skills shortages.

Instead of relying on temporary overseas labour and skilled migration policies to plug the skills gap, Australian businesses need to consider investing in supporting skills growth. One of the best ways to do that is by offering apprenticeships. They are great way to get access to new talent, and the good news is that even with apprenticeship commencement so low, apprenticeship completions are now at their highest rate in 10 years – so if you’re looking for a long-term recruitment solution, this could be it.

Powering the future

While the hospitality, construction, manufacturing, tourism and mining industries have all been hit hard by the national skills shortage, electricians – both general and special class – are considered to be one of the professions with the super skills that are not only in extreme short supply, but also the most likely to become more in demand over the next three to five years.

Employees looking for electricians are currently seeing significant recruitment difficulties in Western Australia – especially in regional areas where half of all electrician vacancies remain unfilled. Electricians are in high demand in a wide range of industries across the state including construction, mining, manufacturing, solar power, electricity generation and distribution, cabling and data communications.

 

Building a pipeline for future success

Often the biggest hurdle for those looking for an employee with electrical experience, is that competition is so fierce. Highly qualified applicants who know they are in high demand, may then come to an interview with remuneration expectations that as an employer, you are unable – or unwilling – to meet. If you’ve been struggling to find electrical talent, offering an apprenticeship might be a great way to get access to staff, AND future proof your business against the impending skills shortage increase.

Many employers claim that it is becoming increasingly difficult to meet the high wage expectations for certain positions. That’s why apprenticeships are so popular. Apprenticeships allow you to gain access to talent – without the price tag, and nurture passionate trainees, creating a pipeline for future success for both the apprentice and your business. This earn-as-you-learn training model brings considerable financial benefits to your business.

 

Boosting female apprentices in WA

Promoting the benefits of apprenticeships to a much broader audience and breaking down the stereotypes, will go a long way to helping solve skills shortages in WA.

Traditionally apprenticeships have been more of a male-dominated area, with just over a third of apprentices in WA being female. In spite of a $1.2 million scholarship program announced by the WA Government in 2015 to try to encourage women to take up a trade and to provide an incentive for business owners to take them on as apprentices, the number of female apprentices is in slow decline (down 9.7%).

Female apprentices in WA
30 June 2017
Male apprentices in WA
30 June 2017
36.8% 63.2%
7205 females 12, 350 males
-9.7% from 2016 -9.4% from 2016


Source: https://www.ncver.edu.au/publications/publications/all-publications/apprentices-and-trainees-2017-june-quarter-australia/western-australia

Now is the time to help bridge the skills shortage and gender gap within perceived male-dominated areas. As companies become increasingly aware of the value apprentices offer, we need to encourage more women to seize the opportunity too.

Using gender neutral language, involving women in the hiring process, appointing female mentors as well as starting the dialogue with females from an early age are just some of the ways of raising awareness and attracting more women to apprenticeships.

Apprenticeships deliver real business benefits

Under the Australian Apprenticeships Incentives Program, apprenticeships that lead to an occupation listed on the National Skills Needs list are eligible for additional incentives for both the apprentice and the business.

Apprenticeships and traineeships are by far the most valuable way in which to address skills shortages in Western Australia. Here at The Apprenticeship Community we see them as a great vehicle for you to train and develop new and existing staff. As much of the training is done at your workplace, the skills acquired by the apprentice or trainee are customised to the needs of your business. You may also be eligible for various government financial incentives to assist with employing an apprentice or trainee.

Want more information about supporting skills growth? The Apprenticeship Community makes the apprenticeship/traineeship process easy for you. Call us on (08) 6165 3362 for all the information you need, or contact us here.

* Source: https://www.ncver.edu.au/publications/publications/all-publications/apprentices-and-trainees-2017-june-quarter-australia/western-australia

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