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This study explores employers' perspectives on workforce training from 10 firms in three industries (red meat processing, road freight transport, and freight forwarding) located in urban and regional areas of five states on Australia's eastern seaboard. The analysis draws on data collected at interviews with senior managers and internal and external trainers in these firms. The study shows that, while training practices vary across industries, and sometimes across firms in the same industry, there are many similarities. All firms believe that ongoing training of the workforce is critical for the survival of the firm. Many factors determine how employers make decisions on what training to provide, which employees to support, and how to deliver the training. Employer-supported education and training accounts for the largest share of adult education and training in all Organisation for Economic Co-operation and Development (OECD) countries. The benefits flow to individuals, firms, and society. [For related reports, see "Employer-Supported Training in Australia: Participation, Demand and Supply. NCVER Technical Report" (ED577689) and "Workplace Training: Employer and Employee Perspectives" (ED577683).]

This report provides an analysis of employer-supported training in Australia. Employer-supported training is the largest share of adult education and training in all Organisation for Economic Co-operation and Development (OECD) countries. It has benefits for individuals, firms, and society. Cross-country studies have shown a positive association between innovation and the proportion of firms in a country providing employer-supported training. Research has also shown that skills development complements the adoption of new technology and innovative human resource management practices to improve the productivity and competitiveness of firms. This study analyses data from the 2011-12 Survey of Adult Skills (PIAAC) for Australia to investigate which individual, labour force and firm characteristics are important in explaining participation in employer-supported training. However, participation is the equilibrium outcome between the supply (employers' willingness to supply training) and the demand (employees' willingness to train) and does not indicate whether the observed inequalities in participation amongst groups of employees is a result of employer behaviour or employee behaviour. Additional information in the PIAAC data on unmet demand for training (training that employees wanted to undertake but could not, mainly because of an unwillingness on the part of the employer to support it) allows researchers to extend the study to explain whether the observed inequalities in participation are related to supply or demand factors. This is important for policy on workforce development in that it helps in the more effective design of targeted programs to address inequalities in participation in training. The results show an unequal distribution of employer-supported training across different groups of employees. For instance, the observed lower participation in training among part-time employees is very much related to employers' reluctance to support their training and very little to do with part-time employees' willingness to train. Appendices are included. [For related reports, see "Workplace Training: Employer and Employee Perspectives" (ED577683) and "Employers' Perspectives on Training: Three Industries. NCVER Research Report" (ED577694).]

This report presents estimates of the private rates of return for students studying for vocational education and training (VET) qualifications in Australia. Estimates of rates of return are commonly used by governments, businesses and others to compare the merits of different forms of investment where costs or benefits or both are distributed over time. The approach results in a single number that can be interpreted as an interest rate: the higher the interest rate, the higher the rate of return and the better the investment. This report summarises the costs and benefits of studying for a VET qualification. It finds that generally students have an adequate economic incentive to enrol in VET. The best returns were for students who study higher-level qualifications (certificate III upwards), and do so part-time. This study provides valuable insights into the private returns from undertaking VET. However, many interesting questions remain, including whether these rates have changed in recent years, how they compare to the return from university level study and the exact nature of the interrelationship between the year left school and the level of VET qualifications.(Contains 18 tables and 4 figures.) [This work has been produced on behalf of the Australian Government and state and territory governments, with funding provided through the Australian Department of Education, Employment and Workplace Relations. The author/project team was funded to undertake this research via a grant under the National Vocational Education and Training Research and Evaluation (NVETRE) Program.]

A skilled and flexible workforce is increasingly identified by governments as key to economic development. With the emergence of a global market in both educational services and labour, agreements on mutual recognition and transparency of skills and qualifications have become important elements of international co-operation. They are often included in broader bilateral and multilateral trade agreements. This paper discusses steps taken in the European Union (EU) to improve the mobility of labour between EU countries. (Contains 6 footnotes.)

This report investigates the future supply of and demand for certain types of skilled labour at the trades and sub-trades levels that will be required for these projects up to 2010. In particular, it focuses on skilled labour in the mechanical, fabrication and electrical trades and mobile plant operators and construction workers in the sub-trades. The research for this report included: a review of the other studies of skill needs in Western Australia; discussions with individual company and organisation representatives as nominated by CCI as the project manager; analyses of some participating companies' data; analyses of state and national data on employment trends and labour turnover; and detailed study of the skilled and semi-skilled occupations of interest for this project. Following an Introduction, the rest of the report is structured as follows. The second chapter presents a short review of previous research that has examined problems of supply and demand for labour in the resources sector in Australia, but particularly in Western Australia. Chapter 3 contains a summary of views on the risks of skills shortages and their management by the participating companies. The chapter also includes analyses of the estimated demand for different types of labour for a number of projects being considered by some of the participating companies. Chapter 4 provides analyses of employment and training trends and skills shortages issues at the state and national level as a context for this study. Chapter 5 presents the analyses of the demand for and supply of labour in the selected occupations that are of particular interest for this study. The final chapter contains some concluding remarks. Findings include: (1) Western Australia needs at least 3,450 apprenticeship commencements in the metals trades in 2005 and 2006 to meet projected demand; (2) Western Australia needs an extra 2,400 electricians and 700 workers in other electrical trades to meet demand through to 2010; and (3) Western Australia needs an additional 900 mobile plant operators; 200 crane and lifts operators and 200 scaffolders, riggers and steel fixers and erectors to fill expected new jobs through until 2010. Companies that participated in the consultations identified skilled labour shortages as an important risk currently affecting project planning. To manage this risk they have implemented strategies to improve efficiency in the use of existing labour and reducing future demand; recruitment and retention; and skill formation. Although commencements of apprenticeships in the mechanical and fabrication and electrical trades have increased substantially in Western Australia in the last few years, the authors conclude that additional increase is needed to meet projected demand. Detailed statistical tables on Australian migration are appended. (Contains 30 footnotes, 31 figures and 39 tables.) [This report was commissioned by the Chamber of Commerce and Industry of Western Australia.]

The labour market is one the most significant markets in modern economies. Today labour embodies increasing amounts of human capital in the form of skills, talents and knowledge. Migration of workers between regions and countries can contribute to efficiency. People are moving from areas in which they are underemployed or unemployed to areas in which there is greater demand for their labour. Frequently the movement of people is across national or other administrative borders. Differences between jurisdictions in the way in which they recognise experience, skills and qualifications can subtract from the efficiency of the labour market. This paper outlines steps taken in the European Union (EU) to improve the mobility of skilled labour between EU countries. The interface between qualifications and the labour market is being addressed by the creation of extensive electronic networks providing workers with more information about potential jobs and employers with more meaningful information about potential applicants. Mobility of labour can be further enhanced by improving the portability of social security, health and pension benefits. The EU has also recognised that migrants are a substantial proportion of the EU workforce. In terms of mobility, they may be better placed than residents to take advantage of regional shifts in demand for labour, and impediments to their mobility between EU countries reduces the efficiency of the contribution they can make. The experience in both Australia and New Zealand recognises the economic benefits to be derived from geographic and jurisdictional labour mobility and especially of those aspects associated with the recognition of skills. It is different from the EU experience in two regards: (1) Cultural differences present in Europe are far less apparent in Australia and New Zealand; and (2) Registration in one jurisdiction was a basis for eligibility for registration in all jurisdictions. The Trans-Tasman Mutual Recognition Arrangement (TTMRA) and Mutual Recognition Agreement (MRA) between the Australian Government and the governments of the eight Australian states and territories are cited as potential models for other countries considering a similar strategy. (Contains 7 footnotes.) [Partial funding for this paper was obtained from a grant from the Monash Institute for the Study of Global Movements.]

Despite wide publicity and common usage, the concept of skills shortage has different meaning to different people depending on their perspective. Understanding the different concepts of skills shortages, their measurement and the causes of skill shortages is important if sound policies are to be developed in the areas of employment, education, training and skill formation. This paper aims to contribute to an understanding of the issues. It provides a context for the study by considering recent reviews of skill needs and an overview of the meaning of skills with particular attention to generic skills as well as more vocational skills. Economic theory suggests that some skills imbalances are a feature of a competitive market. Without major hindrances to the market adjustment process, these imbalances resolve over time and may not require intervention. The main drivers of the changing skills requirements are demographic, organisational, social and technological. Adjustment usually takes time because of the speed at which the information about the changes in the market gets dissipated and the time it takes an individual to acquire new skills. However, real-world decentralised labour markets may not lead to optimal allocation of resources. Government action to correct the market may be justified if there is strong evidence showing sub-optimality. Before any effective policy is designed and implemented, it is important to understand the operation of the current market and to investigate reasons for its failure. Lack of good empirical knowledge of how markets adjust, and the time lag between an imbalance being observed and the impact of a policy makes effective intervention difficult in practice. (Contains 6 footnotes and 3 figures.)

In the higher education sector most students enrol in a course with the intention of obtaining a qualification. In the vocational education and training (VET) sector many students tend to complete only some units of competencies or modules of a course. This study analysed the progress until 2000 of students who commenced a TAFE course in 1997, and provides analysis of course outcomes for students by a wider range of characteristics than has been done before. Reported findings include a twenty-nine percent partial completion rate. The same proportion withdrew from the course having failed at least one module. Seventeen percent were assumed to be continuing the course into 2001, with one quarter or more of them expected to complete their course. More females completed TAFE courses than males. Among different age groups, the rate of course completion was highest for eighteen-year-olds while the rate of partial course completion was highest for persons 40 years or older. A higher proportion of younger students were expected to be continuing with their courses in 2001. Students of indigenous background were found to have a lower course completion rate and a higher withdrawal rate. Although completion rate for students with a disability was almost the same as that for other students, their withdrawal rate was significantly higher. Students born in Asia had a higher course completion rate than students born elsewhere, but their withdrawal rate from courses was also one of the highest. Students who mainly spoke another language than English at home also had a high completion rate. In general, students who had attained Year 12 or other tertiary qualification had a higher completion rate than other groups. Those who had completed Year 11 had the lowest completion rate. A higher proportion of unemployed students completed their course than any other group. In contrast, a lower proportion of self-employed students completed their course then any other group, although the proportion of them partially completing was the highest among all groups. Course completion rate for residents in remote areas was substantially lower while partial completion rate was substantially higher compared to students from any other areas. (Contains 1 footnote and 6 tables.)

Forecasts of Australian labor market growth, net replacement needs, and net job openings to 2006 are presented using the nine-way grouping of occupations described by (Maglen and Shah, 1999). Analysis is based on classifying occupations by whether they are advantaged by globalization and technological change, relatively insulated, or vulnerable. Globally advantaged occupations are grouped by whether they are, by nature, conceptual or technical. Insulated occupations are in-person professionals, skilled workers, and low-skill workers. Vulnerable occupations are advanced skill, white-collar clerical, blue-collar operative, and manual low-skill. Findings indicate, in the medium term, overall growth in employment is expected to be 1.2 percent per year, and net replacement is expected to be 2.1 percent; turnover will create most job openings for new entrants. More than four of five jobs due to growth in employment are projected to be in the globally advantaged or insulated occupations with projected average growth rates of about 1.7 percent per year; the average for vulnerable occupations is 0.5 percent. Because of job turnover, a substantial number of job openings will be for new entrants in vulnerable occupations, with the net replacement rate of 2.0 percent. Insulated occupations with above average growth in employment have a relatively high rate of turnover, especially among low skill groups. More than one in five of job openings for new entrants is expected in in-person low-skill insulated occupations. Appendixes include a list of 18 references and a paper on replacement demand and growth. (YLB)

Analysis of Australian Bureau of Statistics data from 1987-2001 identified patterns in nursing employment. Overall, the Australian labor force increased 29%; nursing occupations increased only 18%. The number of nursing workers per 100,000 population has steadily declined. The average age of nursing workers increased significantly; the proportion aged 45 and over rose from 20% to 37%. In contrast to the overall labor force, the average hours per week of work in nursing occupations declined in the 1990s. Three of four nursing workers are professionals; employment in this group increased 30%, with managers, educators, researchers, and midwives experiencing the most growth. The demand for nursing workers was weak overall but very strong for those caring for aged or disabled persons, driven by population aging and a policy change to provide care in community settings. A shift of nursing education to universities, restructuring of the nursing work force, and fiscal constraints on hospitals have affected the nursing labor market. Growth projections to 2008 using a general equilibrium model suggest the average annual growth of nursing workers will be only 0.4%. The aging of both the population and the nursing work force and wider occupational choices for women will increase demand for nursing workers. (Contains 47 references.) (SK)

Data on the work force in Technical and Further Education (TAFE) institutes in Victoria, Australia, for 1993-1998 reveal a number of structural changes. First, the number of women staff increased from 46% to 53%, although men still constitute 54% of the teaching staff. As full-time staff employment dropped an average of 1.1% annually, part-time employment increased 9.9%. Overall, full-time tenured males have been replaced with part-time males and females on fixed-term or sessional contracts. The proportion of teachers on TAFE staffs has declined 3 percentage points. Changes in the TAFE work force parallel those in the economy as a whole, such as a shift in industrial structure from manufacturing toward service and information technology. Just as in the general economy, a decreasing core of full-time tenured staff is surrounded by an increasing periphery of part-time sessional/short-term employees. Factors fueling this trend include industrial restructuring, an abundant labor supply in the peripheral market, and a decline in union membership. During the period of the study, TAFE institutes were amalgamated from 32 to 19 in order to create a competitive market. The changes in the TAFE work force have implications for professional development, workplace child care, and flexible working hours. The data indicate a wide variation in the way each institute has responded to changes. (Contains 17 references.) (SK)

The outcomes achieved by individuals who were enrolled in Australian technical and further education (TAFE) institutes were examined by analyzing national data collected by Australia's National Centre for Vocational Education Research for 1994-1996. The study focused solely on the progress of TAFE-institute-based students and excluded all enrollments relying on recognition of prior learning or credit transfer. The study model provided the first national estimates of the probabilities of completion, partial completion, and noncompletion of a TAFE course. Although the rate of successful outcomes was high for courses as a whole, considerable variation by students' age and sex, fields of study, and streams of study was discovered. More than 79% of TAFE enrollees complete their course either fully or partially. The probabilities of completion or partial completion are substantially higher for one- and three-year courses than for two-year courses. On average, completion rates for males and females are similar. Age affected completion patterns, but in a complex manner that depends on course length. Students' probabilities of success in TAFE range from 0.93 to 0.51, depending on their streams and fields of study. (Twenty-five tables/figures are included. Appended are 65 tables detailing streams and fields study and the study dataset. (Contains 25 tables/figures and 22 references.) (MN)