New Australian HR Institute (AHRI) research reveals two in five (41%) organisations are employing overseas workers as part of multi-pronged strategies to tackle serious skills challenges.
AHRI’s report The Evolving Skills Landscape – Anticipating current and future requirements shows that skills gaps are a drain on productivity in many Australian organisations. However, employers are overwhelmingly taking a proactive approach to the problem by increasing investment in skills development, developing sustainable talent pipelines and recruiting migrant workers.
The report shows employing overseas nationals is more prevalent in the public sector (60%) than the private sector (37%). When asked to choose the reasons they employ overseas nationals, survey respondents said inadequate supply of local candidates with the right experience (45%) and a lack of domestic applicants with the necessary skills/qualifications (43%).
However, the research also shows that many organisations are planning to increase investment in the skills of their workforce. More than three-quarters (77%) of organisations say they are taking measures to upskill their workforce including mentoring schemes (38%), work placements for adults (31%), internships (30%), graduate programs (28%) and apprenticeships (28%).
In addition, over one-third (37%) of organisations said that they plan to increase their training investment in the year ahead, compared with 6% reporting plans to cut their training budget during the same period.
AHRI CEO, Sarah McCann-Bartlett said, “Our research shows that very low levels of unemployment are creating significant skills gaps and causing real recruitment difficulties for employers. While there is often the perception that employers hire overseas workers to fill temporary, low-skilled roles, this research indicates that employers are primarily using migrant labour to fill roles requiring skills, qualifications and experience.
“The findings indicate that many Australian employers rely on a supply of skilled overseas workers for business growth and public service delivery. At the same time, it is encouraging and clear to see why organisations are putting their attention towards training staff and recruiting from their own ranks, given the pressures of an ongoing competitive labour market.”
McCann-Bartlett says one of AHRI’s recommendations for employers struggling with skills gaps is to conduct an organisation-wide skills audit to map the specific skills required for each role.
“Having a thorough understanding of the skills landscape allows for the creation of more flexible roles that can be adapted based on the availability and strengths of the workforce.”
McCann-Bartlett says organisations should also ensure training programs for existing staff prioritise the development of technical and practical skills that address specific skills gaps. Additionally, leadership and management training should also be a primary area of focus.