Evidence of skill shortages in the electrotechnology trades

Introduction

RECENTLY EMPLOYERS IN a number of critical economic sectors have been reporting increased difficulties in securing the skills required by their industries. Certainly there has been growing concern about skill shortages in a number of sectors in the Australian labour market in the past couple of years with the increased demand for some skills as a result of improvements in the Australian economy. However, such concerns are not particularly new since skill shortages are a recurring and persistent feature of the Australian labour market. In the electronics industry, for example, the National Electronic Contractors? Association (NECA) has reported evidence of skill shortages in some sectors of the industry for periods prior to the recent resurgence of concern about skill shortages in Australia (see NECA 1998).

In developing appropriate industry- or sector-based responses to skill shortages, it is necessary to first determine:

• the extent of skill shortages in terms of the types of skills in short supply and the areas where they are in short supply
• the underlying causes of the existing shortages

With respect to underlying causes, skill shortages in the trades can arise from:

• an inadequate number of people entering trade training
• a high attrition rate during the training period, which means not enough people are completing trade training and attaining the qualifications necessary for highly skilled/technical work in the trades
• a high separation from the skilled trades workforce once people are qualified due to a variety of reasons, such as low demand for skills, declining industry employment prospects or better careers and conditions being offered in other industries/sectors
• an insufficient level of activity by the existing trade workforce in upgrading skills once initial qualifications have been attained
• a failure in the provision of training to ensure that the quality and relevance of training provision is keeping up with rapidly changing skills needs in the workforce
• a combination of the above

In this report, available evidence about patterns and trends in trades employment and training in the electrotechnology industry is reviewed in order to gauge the nature and extent of any skills shortages in these electrotechnology trades. This report has been prepared using statistical information supplied by NCVER, the Australian Bureau of Statistics (ABS) and key information provided by the Department of Employment, Workplace Relations and Small Business. This report also makes use of information collected by the National Electronic Contractors? Association from employers about their recent experiences of skill shortages.

The electrotechnology trades examined in this report cover a range of electrical and electronic trades including:

• electricians
• electrical engineering associate professionals
• refrigeration and air-conditioning mechanics
• electrical distribution tradespersons
• electronic instrument tradespersons
• electronic office and equipment tradespersons
• communications tradespersons

There is also a growing number of electrical and telecommunications trades assistants.