SKILL SHORTAGE WITH AUSTRALIAN RECOVERY

An article has just been released 29OCT 2009, by the Australian Industry Group (Ai Group) and consultant Deloitte , warning that the skills shortage will re-emerge when trading conditions improve in Australia, because of a drop in training and number of apprentices.

A survey which has just been conducted of 500 Executives shows that it is currently preferable to have staff work shorter weeks, take annual leave and take a salary freeze, rather than reducing staff levels due to the belief that the Australian Economy is expected to recover by the end of 2010, just over 12 months away.

Almost 50% of those surveyed said they are reducing NON labour expenses, shortening working hours and to a lesser extent, bringing in wage/salary freezing and forcing annual leave to be taken.

The major problem has occurred in so far as Industry, as a whole, has cut back on taking on Trainess and Apprentices, so this will contribute substantially to a shortage of skilled employees once the recovery hits.

The article states that, “as night follows day, when we come out of this downturn we are going to have a re-emergence of the skill shortages that we had in the lead up to the downturn. So it’s a big issue, going forward for the economy.”

It is believed that there will be a shortage evident by the end of 2010.