Mar 10, 2008
Tackling the WA labour shortage
Everyone in Western Australia, and possibly nation-wide, knows
about WA’s current severe labour shortage. If you’re a
business owner, you know first hand how hard it is to retain and
attract qualified staff. If you’re a tradesperson or other
semi-skilled person, then you probably cannot remember a time
that’s been so abundant with job opportunities. Even if you
fit into neither of these categories, then you’ve read about the
dilemma as every local newspaper, business magazine and news
program has been reporting on Western Australia’s chronic labour
shortage over the past few years.
A recent report by the Chamber of Commerce and Industry of WA notes
the situation will worsen long before it improves, with predictions
that WA will require up to 400,000 additional workers over the next
decade. The report calls on swift Government action to ensure
the State can sustain the economic boom and fulfil its long term
potential. (Source: CCIWA)
Airlec’s challenge
Phil McMillan, General Manager of The Airlec Group of Companies,
certainly knows about the shortage of skilled labour and the impact
it will have on the business if adequate solutions are not put in
place quickly.
“The shortage of skilled tradespeople is by far the biggest
challenge for me and for the company as a whole,” explained
Phil. “We can only continue to grow if we have the right
amount of qualified human resources in place, and that’s getting
more difficult all the time.”
The Airlec Group of Companies provides accommodation, building and
maintenance services to the mining, insurance, real estate,
education and hospitality sectors. It currently employs about
30 qualified tradespeople, along with additional subcontractors on
a project basis, to carry out essential maintenance and works such
as electrical, air conditioning, plumbing and carpentry services.
Airlec prides itself on having a highly skilled team of
tradespeople available to meet its clients’ diverse needs.
However with more qualified tradespeople being swept up by the
mining resources boom and lured to highly-paid jobs in the State’s
remote North West with the large mining companies, this means an
even shorter supply of skilled staff in the Perth metro
area.
Retention and recruitment
A tradesman himself, Phil knows the building, repairs and
maintenance industry well and has used this knowledge to develop
some programs to help retain Airlec’s precious trades resources, as
well as attract more qualified people to the company.
Each time a qualified person leaves a company, the cost (in time,
lost productivity and dollars) to replace the employee is
significant. Smart companies not only focus on recruitment,
but also on retention of existing staff.
“I am currently putting in place a retention initiative based on an
incentive plan, where Airlec provides its employees with a bonus
when project and company targets are met. We want our skilled
staff to be a part of the business. When they do their jobs
well, the business grows and benefits and they will too,” said
Phil.
“On the recruitment side, I have plans for Airlec to begin an
aggressive recruitment drive in WA’s South West and also in the
Eastern States in the coming months.”
More Government assistance
Over the years Phil has seen many changes, and not always for the
good, in the trades industry.
“When I completed my trade apprenticeship all those years ago,
there was a real pride in obtaining your qualification and putting
your training to work,” he reflects. “However I think some of
that pride has been lost from the trades’ profession as many now
drop out of their apprenticeships early, move from job to job
taking any position offered for a few extra dollars.”
Phil would like to see more Government assistance to help entice
young people into the industry, to complete their training and
remain employed in their profession. Along with a lower
enthusiasm for the trades from our youth, he feels that many
businesses cannot offer an adequate number of trade apprenticeships
due to spiralling wage and training costs.
“The governing bodies are helping, but they need to do more to
support businesses that take on apprentice tradespeople, as
training an apprentice over three or four years is very costly and
there’s no guarantee the employee will complete the apprenticeship,
or even remain employed in the company or industry.”
The current booming WA economy presents a double-edge sword for
many companies as they juggle the ample business opportunities with
the skilled labour shortage. However, Phil along with his
management team, will continue to seek ways to meet the labour
challenge and ensure The Airlec Group can develop to its full
potential.