Overcoming skills shortages:

Overcoming skills shortages:
The skills shortage in NSW and indeed Australia as a whole has attracted considerable media attention in the past few years and prompted initiatives by all three levels of government. Peak groups, business and communities have also attempted to find answers to this extremely complex issue.The complexity is due to the many factors affecting the availability of skilled people. Recently, for example, the minerals boom in Western Australia and the high wages on offer led to the exodus of many tradespeople from the eastern states. Sometimes a skills shortage might stem from technological changes in a particular industry that demand new skills sets. There is no uniform solution applicable across the board but experience to date shows that different approaches can work and that partnerships involving government, business and communities are often effective.This booklet draws on accepted general knowledge of what works. It covers briefly how a business can become a more effective employer and an employer of choice, use salary and other incentives to attract skilled workers, improve recruitment practices, and draw labour from a number of sources. Its principal strength, however, lies in the supporting examples of practical action taken by various regional businesses and the results achieved. Also included is a listing of useful internet resources. The NSW Department of State and Regional Development hopes that the booklet will help spark new projects by regional businesses to attract and retain skilled people
Step 1Become an efficient businessIntroduction and employer of choiceAttracting and keeping skilled people is about more than paying good wages. This is particularly true during skills shortages when workers have many employment opportunities and higher expectations of their employers.It’s therefore useful to review your work practices with the aim of not only increasing efficiency and profitability, but also of becoming an employer of choice. Efficiency gains can potentially be made by such means as: • reorganising work arrangements so that existing workers can handle all tasks• upskilling existing staff• devolving responsibility• introducing performance-based rewards• flattening the organisational structure.Strategies to consider in making your business a great place to work include: • ensuring good communication in the workplace • creating a culture of mutual respect• giving positive feedback• providing flexible and family friendly work conditions, for example, full-time/part-time work, work from home and job sharing• promoting a healthy work-life balance.Specialist consultants can advise you on how to become a more efficient business and an employer of choice. For more details see the Useful contacts section of this brochure.

Step 2Salary and other incentives
Businesses that have difficulty attracting and keeping skilled workers often increase wages to remain competitive in the market workplace. This applies to both mainstream skilled workers and apprentices.But there are other ways you can materially reward employees, such as profit sharing and providing free or subsidised accommodation. The following examples show the approaches some regional businesses have taken.Before establishing pay rates and other material incentives, it’s essential to understand the prevailing market conditions for similar jobs.