improving the employment prospects of young people · is the “9 to 5” job a thing of the past?...
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Labour Market Research and Analysis Branch
Department of Employment, Skills, Small and Family Business
June 2019
Improving the employment prospects of young people
A resource for career practitioners
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The labour market is evolving…
Structural change
Technological advances
Social and demographic change
Globalisation
Some jobs are disappearing as a result of technology…• Switchboard operators, typists and milkmen
Some jobs have grown due to social and demographic change…• Aged and disabled care workers, fitness instructors, baristas and chefs
And new jobs are being created due to technology advances…• 3D printing designers, cyber security engineers and big data analysts
Department of Employment, Skills, Small and Family Business, June 2019Source: Department of Employment, Skills, Small and Family Business, Australian Jobs 2019
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Is the “9 to 5” job a thing of the past?
• Increased flexibility as the new normal
• Rising self-employment, contract work, project work and entrepreneurship
• Holding a portfolio of jobs is becoming more common
• Increasing job mobility and multiple career changes
• Lifelong learning is essential and not optional
…and the way we work is also changing
More than 1 million Australians now hold a secondary job
Source: Department of Employment, Skills, Small and Family Business, Australian Jobs 2019; Mark McCrindle, The ABC of XYZ, 2014; ABS, Labour Account Australia, Quarterly Experimental Estimates, December 2018
Department of Employment, Skills, Small and Family Business, June 2019
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AptitudeWhat are they good at:• Numbers?• Words?• Working with their hands?• Working with people?
Interests & passionWhat are their interests and what will motivate them to go to work?
Work preferencesDo they want to work outdoors or inside?Do they want to work with people or with computers?
Life goalsWhat do they want out of life?Do they want to travel?Is family important?
Choosing a path is becoming more complex for students
Training requirementsFor this career, do they need VET or university qualifications, or on-the-job training?
Department of Employment, Skills, Small and Family Business, June 2019
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2.4% employment growth
Arrows indicate change since March 2014.Source: ABS, Labour Force Survey, March 2019, trend data; Department of Employment, Skills, Small and Family Business, vacancy report, March 2019, trend data
5.0% unemployment rate
30,400more internet
vacancies than 2014
The Australian labour market is doing well
0.0%
1.0%
2.0%
3.0%
4.0%
Mar-2014 Mar-2015 Mar-2016 Mar-2017 Mar-2018 Mar-2019
2.4%
4.5%
5.0%
5.5%
6.0%
6.5%
Mar-2014 Mar-2015 Mar-2016 Mar-2017 Mar-2018 Mar-2019
5.0%
0.5%
5.8%
120,000
140,000
160,000
180,000
200,000
Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19
177,600
147,200
Department of Employment, Skills, Small and Family Business, June 2019
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0%
2%
4%
6%
8%
10%
12%
14%
16%
Feb-2009 Feb-2010 Feb-2011 Feb-2012 Feb-2013 Feb-2014 Feb-2015 Feb-2016 Feb-2017 Feb-2018 Feb-2019
But youth unemployment is a persistent challenge…
Unemployment rates, Australia, February 2019
Source: ABS, Labour Force Survey, February 2019, seasonally adjusted data and 12-month averages
15-24 Year Olds
All persons
11.1%
4.9%
Department of Employment, Skills, Small and Family Business, June 2019
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Source: ABS, Census of Population and Housing, 2016
…and many young people are not working nor studying
18-24 year olds
8% 7%9% 8% 8%
11%
21%
4%8%
5%5%
7%6% 7%
7%
8%
3%
6%
0%
5%
10%
15%
20%
25%
30%
NSW VIC QLD SA WA TAS NT ACT Australia
Not studying and not looking for work
Not studying and looking for work
Department of Employment, Skills, Small and Family Business, June 2019
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There are resources to help students find pathways to employment
Future Outlook on joboutlook.gov.au
Department of Employment, Skills, Small and Family Business, June 2019
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Insights on jobjumpstart.gov.au
There are resources to help students find pathways to employment
Department of Employment, Skills, Small and Family Business, June 2019
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Things have changed in the last 10 yearsEmployed persons (‘000), selected industries, Australia
Source: ABS, Labour Force Survey, quarterly data, February 2019, trend data
600
800
1,000
1,200
1,400
1,600
1,800
Feb-2009 Feb-2010 Feb-2011 Feb-2012 Feb-2013 Feb-2014 Feb-2015 Feb-2016 Feb-2017 Feb-2018 Feb-2019
Emp
loye
d p
erso
ns
(‘0
00
)
Health Care and Social Assistance
Construction
Professional, Scientific and Technical Services
Manufacturing
Department of Employment, Skills, Small and Family Business, June 2019
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Professional occupations have accounted for most growth in the last 10 years
Proportion of jobs growth February 2009 to February 2019, Australia
Source: ABS, Labour Force Survey, quarterly data, February 2019, 12-month averages
Professionals, 42%
Community and Personal Service
Workers, 21%
Managers, 10%
Technicians and Trades Workers, 8%
Machinery Operators and Drivers, 6%
Clerical and Administrative Workers, 5%
Sales Workers, 5% Labourers, 3%
Department of Employment, Skills, Small and Family Business, June 2019
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Currently, services industries are the largest employers…
Proportion of total employment by industry, Australia, as at February 2019
Source: ABS, Labour Force Survey, quarterly data, February 2019, 12-month average
Service industry
Producing industry
7%
8%
9%
9%
10%
13%
Manufacturing
Education and Training
Professional, Scientific and Technical Services
Construction
Retail Trade
Health Care and Social Assistance
Department of Employment, Skills, Small and Family Business, June 2019
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Producing industries
16%
Services industries84%
…and most new jobs will also be inservices industries
Employment projections, five years to May 2023, Australia
Source: Department of Employment, Skills, Small and Family Business, industry projections, five years to May 2023
Health Care+ 250,300
Education+ 113,000
Professional Services+ 106,600
Construction+ 118,800
Manufacturing+ 8,500
Department of Employment, Skills, Small and Family Business, June 2019
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The jobs market in Australia is competitiveVacancies advertised on the internet or in a newspaper
On average,
3 applicantsare interviewed
On average,
19 applicantsper vacancy
16 not interviewed
Source: Department of Employment, Skills, Small and Family Business, Survey of Employers Recruitment Experiences, 2018Department of Employment, Skills,
Small and Family Business, June 2019
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So, what are employers looking for?
Study has become increasingly important and Year 12 or equivalent is now the minimum standard
Is vital
Education & training
Many Australian employers want new staff to have experience
Is necessary
Experience
Employers want the RIGHT MATCH for their job/company/product/service
Distinguish the individual
Employability skills
Source: Department of Employment, Skills, Small and Family Business, Survey of Employers Recruitment Experiences, 2018Department of Employment, Skills,
Small and Family Business, June 2019
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4.6%5.0% 5.2%
7.6%
17.5%
15.0%
0%
5%
10%
15%
20%
Bachelor Degreeor Higher
AdvancedDiploma/Diploma
Cert III/IV Year 12 Below Year 12with Cert I/II
Below Year 12
Source: ABS, Census of Population and Housing, 2016
Completing a qualification is vitalUnemployment rate for 25 – 34 year olds, Australia
First targetStudents should
aim to be here
or equivalent
Department of Employment, Skills, Small and Family Business, June 2019
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Sources: Department of Employment, Skills, Small and Family Business, skill level projections, five years to May 2023
Employment growth is in jobs requiring post-school study
95
100
105
110
115
120
125
130
May
-08
May
-09
May
-10
May
-11
May
-12
May
-13
May
-14
May
-15
May
-16
May
-17
May
-18
May
-19
May
-20
May
-21
May
-22
May
-23
Indexed change in persons employed by skill level
Higher skilled jobs (skill level 1-3) Lower skilled jobs (skill level 5)
91% of all new jobs will require VET or university qualifications
Department of Employment, Skills, Small and Family Business, June 2019
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275,800
163,000
2007 2017
186,700
288,000
2007 2017
In recent times, there has been a significant shift away from VET…
Source: NCVER, Apprentices and Trainees, 2018; Department of Education, uCube, 2018
Undergraduate commencements
Apprentice and trainee commencements
+54%-41%
Department of Employment, Skills, Small and Family Business, June 2019
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77.3% 77.3%
91.2%
All VET graduates In a non-trade occupation course In a trade occupation course
…but VET has good employment outcomes…
Source: NCVER, VET Student Outcomes, 2018; Department of Employment, Skills, Small and Family Business, skill shortages research (based on a set of around 70 consistently assessed occupations)
93% of technician and trade occupations are in national shortage
% employed after graduation
Total VET graduates
Training was part of an apprenticeship or traineeship
Department of Employment, Skills, Small and Family Business, June 2019
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…and has competitive salaries for graduates
Source: QILT, Graduate Outcomes Survey, 2018; NCVER, VET Student Outcomes, 2018
$50,500
$60,000$61,000
$65,000
Certificate III Diploma Bachelor Degree Certificate IV
Median annual income of recent graduates employed full-time, 2018
VET
University
Department of Employment, Skills, Small and Family Business, June 2019
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Young people also need work experience
Shows willingness to work
Provides opportunities to develop skills
Improves confidence
Gives insight into different jobs
Provides contacts and referees
Department of Employment, Skills, Small and Family Business, June 2019
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How can young people get experience and make contacts?
Part-time jobsWork
experience
Internships Sports Clubs
Volunteering
Department of Employment, Skills, Small and Family Business, June 2019
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Qualifications and experience are only part of the story
Source: Department of Employment, Skills, Small and Family Business, Survey of Employers’ Recruitment Experiences, 2010;Burning Glass Technologies, all jobs, November 2018 to April 2019; Foundation for Young Australians, The New Basics, April 2016
72% of employers place at least as much emphasis, if not more, on employability skills than they do
on technical skills
Essential employability skills:
Communication & teamwork skills
Interpersonal & people skills
Creativity & problem solving
Adaptability & resilience
Reliability & motivation
Critical thinking
Digital literacy
More than 30% of all online job ads list Communicationas an essential skill
Department of Employment, Skills, Small and Family Business, June 2019
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Encourage students to approach employers directly –1 in 5 jobs aren’t advertised!
Facebook jobs groupsmay exist in your local
area – remind students to take advantage of new
platforms!
For example…Australian JobSearch,
Career One, Seek, Jora, Indeed
How employers recruited in Australia, 2018
Note: Employers can select multiple methods of recruitmentSource: Department of Employment, Skills, Small and Family Business, Survey of Employers’ Recruitment Experiences, 2018
55%
13% 13% 11%15%
32%
Recruitmentwebsites/job boards
Company websites Social Media Newspaper Recruitmentagency/jobactive
Word ofmouth/approached
applicant
Department of Employment, Skills, Small and Family Business, June 2019
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Start with a good résumé and application…
1. Show relevant experience and skills
2. Keep it simple and short
3. Check spelling and grammar
Plan ahead and be ready for the interview…
1. Dress appropriately and be on time
2. Prepare work examples – use the STAR method
S• Situation – describe the event or situation you were in
T• Task – explain the task you had to complete
A• Action – describe how you completed the task in detail
R• Result – share the result of your work and its impact
Applying for jobs is a skill that needs to be learned and practised
Department of Employment, Skills, Small and Family Business, June 2019
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A final thought…
Source: ABS, Census of Population and Housing, 2006 and 2016
Occupations where male employment has
increased:
• Early Childhood Teachers
• Midwives
• Physiotherapists
• Registered Nurses
• Teachers of English to Speakers of Other Languages
Occupations where female employment has
increased:
• Aircraft Maintenance Engineers
• Architects and Landscape Architects
• Bakers and Pastrycooks
• Butchers
• Dentists
Think outside the boxAnd tailor career advice to each student’s strengths and abilities
Department of Employment, Skills, Small and Family Business, June 2019
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Tools to assistWebsites
Publications
joboutlook.gov.au/
jobjumpstart.gov.au/
australianjobs.jobs.gov.au
Department of Employment, Skills, Small and Family Business, June 2019
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