Youth Prosperity Forum Sunshine Coast November 2013 Presenter: Ivan Neville Branch Manager Labour Market Research and Analysis Branch
Population Profile Region Adult Population (15+) Growth 2008 to 2013 (15+) Youth Population (15 24) Growth 2008 to 2013 (15 24) Sunshine Coast LFR 279,500 11% 34,970 1% Queensland 3,790,800 11% 657,280 8% Australia 18,878,100 9% 3,155,010 5% Source: ABS, Labour Force, September 2013
Population growth and unemployment rate persons aged 15 to 24 years 12% 18.0% 10% 8% 4% 16.0% 14.0% 12.0% 2% 0% 2% 4% 1% 1% 1% 2% 1% 10.0% 8.0% 6.0% 4.0% 8% 10% 12% 9% Sunshine Coast population change Sunshine Coast unemployment rate 10% Queensland population change Queensland unemployment rate 2.0% 0.0% Source: ABS, Labour Force, September 2013
What are youth doing? Sunshine Coast persons aged 17 to 24 years Population 23,990 Studying: 9400 (39%) Not Studying: 14,590 (61%) Had not completed Year 12 : 5150 (21%) Had completed Year 12: 9440 (39%) Not employed : 1730 (7%) Employed : 3420 (14%) Not employed: 1790 (7%) Employed: 7650 (32%) Source: ABS, Census of Population and Housing, 2011
1 Youth neither working or studying persons aged 17 24 years 14% 12% 5% Not in the labour force Unemployed 10% 9% 8% 5% 5% 9% 4% 10% 9% 2% 4% 4% 0% Male Female Male Female Male Female Male Female Sunshine Coast 17 19 years Sunshine Coast 17 24 years Australia 17 19 years Australia 17 24 years Source: ABS, Census of Population and Housing, 2011
Structural change in the national labour market 18 16 Aug-88 Aug-13 15.3 14 Share of employment (%) 12 10 8 6 5.9 7.9 7.3 9.0 4.6 7.9 8.4 12.0 4 2 2.6 1.3 2.3 0 Agriculture, Forestry and Fishing Mining Manufacturing Construction Professional, Scientific and Technical Services Health Care and Social Assistance Source: ABS Labour Force, August 2013
Ongoing shift to higher skilled jobs in the Australian labour market 15 High skill (Levels 1 & 2) Medium skill (Levels 3 & 4) Low skill (Level 5) 10 Change in share of employment (%) 5 0 5 10 15 Source: Department of Employment trend employment data
Low educational attainment persons aged 20 29 years Region Completed Year 12 2006 2011 Attained Advanced Diploma, Diploma or Certificate III & IV Attained Bachelor Degree or Higher Sunshine Coast LGA 68% 72% 35% 14% Queensland 73% 7 29% 21% Australia 72% 75% 28% 25% Source: ABS, Census of Population and Housing, 2011 and 2006
Educational attainment and labour market outcomes Sunshine Coast Persons aged 20 29 years 25.0% 100.0% 90.5% 89. 22.0% 90.0% 20.0% 85.9% 82.1% 18.4% 80.0% 74.1% 72.1% 70.0% 15.0% Unemployment Rate Participation Rate 60.0% 50.0% 10.0% 10.3% 40.0% 7.2% 7.2% 30.0% 5.0% 4.5% 20.0% 10.0% 0.0% Bachelor Degree and Higher Advanced Diploma and Certificate III & IV Level Year 12 or equivalent Certificate I & II Level Below Yr 12 Diploma Level 0.0% Source: ABS, Census of Population and Housing, 2011
Employers who experienced difficulty recruiting 45% 40% Employers who experienced difficulty recruiting Persons aged 15 to 24 years employed in 2011 41% 41% 35% Persons employed in 2011 33% 30% 25% 27% 25% 23% 23% 27% 20% 15% 10% 5% 13% 9% 11% 12% 7% 14% 7% 5% 4% 0% Retail Trade Accommodation and Food Services Construction Health Care and Social Assistance Manufacturing Other Services Sources: Department of Employment, Survey of Employers Recruitment Experiences, Caboolture Sunshine Coast Priority Employment Area, March 2013; ABS, Census of Population and Housing, 2011
Reasons applicants are unsuitable 90% 80% 78% 75% Lacks qualifications Lacks experience 70% 60% 50% 50% 44% 5 42% 53% 5 40% 38% 30% 31% 33% 20% 10% 0% Manufacturing Construction Retail Trade Accommodation and Food Services Health Care and Social Assistance Other Services Source: Department of Employment, Survey of Employers Recruitment Experiences, Caboolture Sunshine Coast Priority Employment Area, March 2013
Transition from education to employment Employers consistently place high importance on: Qualifications and technical knowledge; Experience; Employability skills the personal attributes, general life skills, attitudes and behaviours that are of real value in all jobs. Other approaches for transitions to employment include Work Experience Training Source: Department of Employment, Survey of Employers Recruitment Experiences, All regions surveyed in the 12 months to December 2010
Many vacancies not being advertised % of vacancies 67% 33% Used a formal method 16.0 applicants per vacancy Informal methods ONLY 3.8 applicants per vacancy % of applicants successful 9% 2 Approached directly by job seeker ONLY 1 4.0 applicants per vacancy Less competition for jobs recruited for informally 24% Source: Department of Employment, Survey of Employers Recruitment Experiences, Caboolture Sunshine Coast Priority Employment Area, March 2013
Occupations employers expect to recruit for in the next 12 months Higher Skill Level (1) Bachelor Degree or higher Medium Skill Level (2&3) Certificate IV to Associate Degree Child Carers Chefs Motor Mechanics Lower Skill Level (4&5) Compulsory Secondary Education to Certificate III Waiters Sales Assistants Receptionists Checkout Operators Fast Food Cooks Source: Department of Employment, Survey of Employers Recruitment Experiences, Caboolture Sunshine Coast Priority Employment Area, March 2013
Economic impact of youth unemployment Young people are particularly vulnerable during periods of economic and labour market weakness, as they tend to have less education, skills and experience Scarring effect Diminished earning capacity long term lower lifetime wages Cost to Government the need for government address social and health issues and additional welfare payments Importance of targeting effective policy and programmes to minimise economic impacts at the regional level Sources: The University of Bristol, The Wage Scar from Youth Unemployment, February 2004; National Centre for Vocational and Education Research, Young people in an economic downturn, June 2011
Conclusion What are the issues? Young people moving away from the region High unemployment rate Disengaged young people and lower education levels Nearly one third of 17 to 24 year olds in the region are vulnerable to economic instability What needs to be done? Improve transitions to employment through education and training Employability skills Work experience Opportunities Greater success gaining employment if job seekers approach employers Employers are still finding difficulty recruiting for some occupations lower and medium skilled occupations Continue the employment programs tailored for youth at the regional level Collaboration amongst all key stakeholders Kris McCue, Local Employment Coordinator
Further Information www.employment.gov.au/regional reports employers recruitmentexperiences lmip.gov.au/ www.employment.gov.au/skill shortages 0 www.employment.gov.au/australian jobs publication joboutlook.gov.au/ www.employment.gov.au/australian regional and industryemployment surveys
If you have any questions about the presentation please contact the Regional Surveys section on: Tel: 1800 059 439 or Email: recruitmentsurveys@deewr.gov.au