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Peter Tatham Executive Director Career Industry Council of Australia

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1 Peter Tatham Executive Director Career Industry Council of Australia
Skill Shortages Myth or Reality? Developing the really big skills Peter Tatham Executive Director Career Industry Council of Australia Career Services are in part an exploration of the question if this job/course is the answer then what was the question  The term “career development” goes well beyond, what we used to refer to as “career guidance” or “vocational guidance”. It refers to a much broader approach than the more old fashioned “test and tell” methods that these two terms often call to mind. And it refers to a much broader range of services. A quick way of defining it is to say that it includes all of those services that help people to make educational, training and occupational choices, and to manage their careers. The following examples help to illustrate what modern career development services include: Career development is the lifelong process of managing progression in learning and work. The quality of this process significantly determines the nature and quality of individuals’ lives: the kind of people they become, the sense of purpose they have, the income at their disposal. It also determines the social and economic contribution they make to the communities and societies of which they are part. Last week 200 people were made redundant in Burnie 2% of 14 year olds not at school today Why is it possible to get adult career service ain the APS but difficult outside

2 Speakers Anna Henderson – Business Skills Victoria
David Henderson – Transport & Logistics Industry Skills Council Phillip McKenzie – ACER Research Pam Jonas – Group Training Australia

3 Vision for all Australians.
To enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

4 Reasons for skills shortages
strong economy with low rates of unemployment; growth of new industries with few ready-skilled tradespeople available; relocation of new industries into different regions with a different skills base; reduced interest in particular industries among potential job seekers; location of industry, or project-based work, in rural or regional areas with a small skills base; technology changes within an industry, especially production, resulting in new methods and therefore skills needs; and changes in underpinning skills needs to successfully undertake trade training for example, Year 12 mathematics for some trades. Source DEEWR

5 The government (Department of Education, Employment and Workplace Relations) released the January Vacancy report today which provides some information about the demand-side of the labour market. The Skilled Vacancy Index (SVI) is published monthly by the DEEWR and is based on the number of skilled vacancy advertisements in major newspapers . I have written a fair bit about the so-called skills shortage and have concluded that the SVI data does not support a case that a large skills gap has developed in aggregate terms in the last several years as the boom peaked. There has not been a sharp rise in the demand for skills in Australia in the last several years. The latest data is particularly alarming though. Take a look at the charts I did this morning for another paper I am working on. In the first I show the overall trend SVI for Australia which bears out the conclusion I noted in the previous paragraph. But the similarity with the sudden sharp fall in the last few months with the fall that occurred at the onset of the 1991 recession is significant. Overall skilled vacancies are 44.1 per cent lower over the 12 months to January Very disturbing

6 The second graph decomposes the overall index into the Trades, Associate professionals and Professional occupational groups. It confirms that the deterioration is occuring right across the occupational spectrum. Professional vacancies were down by 34.4 per cent over the 12 months to January 2008, trades were down 49 per cent; and associate professionals were down 35.8 per cent over the same period. DEEWR also publish an Information and communications technology (ICT) index which also fell by 53.6 per cent over the year to January 2008. Source:DEEWR

7 Impacts – global 76 million unemployed youth worldwide – global unemployment currently 198 million Global unemployment to increase by 25million by the end of (OECD) US economy lost 663,000 jobs last month (5million lost since last recession – UR 8.5% Potential for unemployment to reach unprecedented levels in developing economies Source –ILO January update As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

8 Impacts – global Biggest drop in global economic output ever.
In the past two months US imports have been down 22%; and Japan's exports down 45%. I Metal prices could be a make or break for this economy. It is likely that the Asian region will remain a global engine at a time when global employment has dropped by 50 million. What is needed is greater support for innovation. Innovation drives productivity growth and competitiveness in firms.    Source – Economist Chris Caton As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

9 Impacts – Local Australia's unemployment rate jumped half a per cent in March to 5.7% Thirty-eight-thousand-nine-hundred full-time jobs were lost in March, while 4,200 part-time positions were created. 651,000 people looking for work in Australia. Just over a year ago, unemployment stood at its lowest level for more than 30 years, at 3.9 per cent Jobs in some industries will not return NB Unemployment figures, calculated by the number of civilians aged 15 years and over who, during the reference week, worked for one hour or more, or had a job from which they were absent. Source: ABS As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

10 Impacts – Local ANZ survey indicates jobs advertised a week in March Australia is in recession at a time when average household debt is around 150% of salary labour force growth has slowed from well over 2.5% to just 0.9%. Growth in March by 1200 to 10,742,100. Full-time employment increased by 33,700 to 7,670,700 and part-time employment decreased by 32,600 to 3,071,400." As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

11 Initiatives $650 million Jobs Fund to help support local jobs and training through community projects in regions hardest hit by the economic downturn; $20.8 million Local Employment Coordinators in seven key locations to coordinate efforts to support jobs and training; $4 billion in new employment services which begin on July 1 and which will have stronger links to training opportunities; $300 million to ensure redundant workers receive intensive assistance and support immediately rather than having to wait up to 3 months; 20,000 priority training places for people made redundant; $155 million in incentives to encourage employers, Group Training Organisations and training providers to take on out-of-trade apprentices and trainees; $30.2 million to expand the Australian Apprenticeship Access Program to provide at-risk jobseekers with the support undertake an apprenticeship or training; and $950 Learning and Training Bonus for income assistance recipients enrolled in a structured training course. As the national peak body for the Career Industry in Australia, the Career Industry Council of Australia (CICA) represents the interests of it members, in particular all major career practitioner associations, at the national level. Its vision is to enhance participation and productivity by advocating the individual, social and economic benefits of quality career development for all Australians. We don’t think career services are up to scratch CICA is focused on improving the quality and skill level of all career practitioners CICA aims to promote access to services; contribute to the further development of research and evidence base; develop strategic relationships with stakeholders and policy makers; and influence government, industry and community to embed career development in workforce development ; And to influence all education sectors to embed career development in curricula. CICA will continue to promote the implementation of professional standards for career development practitioners. It will maintain its focus on building relationships with the international career development community. And through National Career Development Week, CICA aims to strengthen awareness of career development in Australia.

12 We have a different ballgame
Protect jobs Maintain skills sets Build human capital for the future Highlights Sharp fall in skilled vacancies The Skilled Vacancies Index (SVI) (trend) decreased by 10.8% in March 2009 to 40.7 (2007 = 100). Vacancies fell for all three occupational groups: Trades (down by 13.6%), Associate Professionals (7.3%) and Professionals (7.6%). In annual terms, the SVI is 57.9% lower than in March 2008. The DEEWR ICT Vacancy Index (trend) decreased by 10.3% in March 2009 to (January 2002 = 100). Over the month, Western Australia experienced the largest decline (down by 18.0%), followed by New South Wales (12.1%) and Queensland (9.7%). In annual terms, the ICT Vacancy Index is 57.4% lower than in March 2008. The number of vacancies on Australian JobSearch (AJS), DEEWR’s online employment website, was around in mid March The top three occupational groups were: Labourers, Factory and Machine Workers (5700); Food, Hospitality and Tourism (4500) and Accounting, Finance and Management (4200).

13 COAG and the government agenda
A Compact with Young Australians; A Compact with Australians who have been retrenched; A Compact with Local Communities Where does the career development agenda fit?

14 Career management skills include
Understanding one’s own strengths and weaknesses, and needs and wants Ability to identify relevant opportunities Accessing career information Ability to plan and take career-related decisions Ability to present oneself effectively in order to gain access to courses or jobs Ability to network and build relationships. See: Australian Blueprint for Career Development Thes eare the skills that need more work and development Recent OECD work on human capital1 suggests that these career management skills may play an important role in economic growth. It points out that less than half of earnings variation in OECD countries can be accounted for by educational qualifications and readily measurable skills. It argues that a significant part of the remainder may be explained by people’s ability to build, and to manage, their skills. These ‘meta-skills’ include career management skills. Personal Management Build and maintain a positive self image Interact positively and effectively with others Change and grow throughout life Learning and Work Exploration Participate in lifelong learning supportive of career goals Locate and effectively use career information Understand the relationship between work,society and the economy Blueprint competencies cont… Career Building Secure/create and maintain work Make career enhancing decisions Maintain balanced life and work roles Understand the changing nature of life and work roles Understand, engage in and manage the career building process

15 Career development services can
Lead to people having a more positive and confident attitude towards their future career options Increase knowledge and understanding of education and employment opportunities Increase self-awareness Make people more confident in their career decision making Result in a wider range of career options being explored Improve job-search skills Improve job interview skills Lead to increased job-search behaviour and increased participation in employment by the unemployed Have a positive effect upon academic achievement Increase the probability of successful transitions between key points in the education system. Improve retention

16 In relation to vocational education and training – career development services can:
Help to reduce dropouts and backtracking and improve flows between different levels of education Improve transitions from education to the labour market and help to strengthen links between education systems and the labour market Widen access to learning throughout all stages of life, including by those who have been away from formal learning for many years Widen access to learning by groups who are under-confident in, unskilled in, or unused to negotiating access to complex learning systems. CICA. (2008).Toward a more Cohesive and Integrated National Career Development System. Learning to Work: Inquiry into vocational education in schools Recommendation 29- that careers education be a mandatory part of the core curriculum for the compulsory years of secondary schooling. Recommendation 30 - that all secondary schools have at least one full-time professional careers adviser. Recommendation 32 - that professional development needs of careers educators be improved. Recommendation 33 - that a clear set of national standards for the delivery of career education in schools, and a national system of reporting, be adopted by MCEETYA.

17 COAG lifting the Year 12 equivalent attainment rate to 90 per cent by 2020 halving the gap for Indigenous students in reading, writing and numeracy within a decade at least halve the gap in Year 12 or equivalent attainment rates for Indigenous students by 2020 halving the proportion of Australians aged 20–64 years without qualifications at Certificate III level or above between 2009 and 2020 doubling the number of higher qualification completions (diploma and advanced diploma) between 2009 and 2020.

18 Underlying impact of career development
Contributes to: Life long learning Social equity Labour market development OECD 2004 OECD regarded these areas as key areas of contribution for career development services Like an iceberg there is greater value to career development than is first thought The link between public policy and career development was first made more than a century ago (Parsons 1909).  Supported since then. In a broad sense, learning goals relate to educational, skills and training goals. Labour market goals are often focused on improving labour market outcomes and efficiency. Effective career services can result in a labour force that is better informed about occupational shortages potentially lowering the risk of unemployment; learning opportunities thereby adding to the pool of skills available and a strengthening of individual’s job search techniques. Social equity goals are mostly focused on integration and inclusion of disadvantaged groups across all aspects of education and employment. Examples include programs that positively discriminate in order to redress imbalances in workforce diversity. In some case government has introduced legislation (eg Disability Discrimination Act, 1992) to improve access to employment opportunities. Some 55 countries have now completed reviews of their career services with a view to improving them to more effectively meet national policy agendas with particular emphasis on early transitions. All have adopted the OECD definition for guidance.  Life long learning, Social equity Labour market development  Most recently the EU has followed up 1. Encourage the lifelong acquisition of career management skills; 2. Facilitate access by all citizens to guidance services; 3. Develop the quality assurance of guidance provision; 4. Encourage coordination and cooperation among the various national, regio

19 Examples of services Career counselling Web based services
Career information provision (in print, ICT-based and other forms) Assessment and self-assessment tools Career education programmes (to help individuals develop their self awareness, opportunity awareness, and career management skills) Taster programmes (to sample options before choosing them), work search programmes, and transition services Help lines Networking Mentoring Work integrated learning. There are of course many other courses programs and activities to support career development

20 Self understanding My Background and life roles
My self image and confidence My values My interests and passions My preferred lifestyle My life goals and personal vision How I perform My skills and strengths. Career auto biography - my identity – who am I Or you can reflect on peak experiences that you would list as highlights - that is times when you felt particularly happy, successful, fulfilled at peace Lifestyle

21 Factors impacting on decisions
Perception Priority Acceptability Risk Resources Readyness Career maturity Decision making approaches Career management skills Resilience Goals Values Demands Style Judgement

22 Three elements of Career Development & Workforce Development
Workforce preparation (focus on young people) Workforce adaptability (focus on the employed workers and on employers) Workforce reintegration (focus on adults entering or re-entering learning and work). You can see how these elements cover the lifespan

23 Career Services - add value
Improve retention and completion rates Support completion of apprenticeships and other vocational training Improve social inclusion processes Catalyst to productivity improvement A go between - a major connecting agent between stakeholders.

24 Some elements of best Practice
Helps individuals take charge of their career Builds self understanding (personal capabilities, skills, interests and values) through self assessment processes Reviews past achievements and explores future directions Develops career management skills and builds resilience Strengthens opportunity awareness Develops career decision making (learning, work and life) Develop priorities and strategies to get there Individual as business Examples ABCD CACE program Macfarlan Lane Career management and work life integration

25 CICA proposes Improve marketing & development of a consistent brand
Greater accountability requirements for education and training providers Strengthening programs that encourage parental engagement Fully implement the Australian Blueprint for Career Development Pilot a national careers helpline targeting all Australians Establish a research centre and clearing house A national taskforce for stakeholder involvement Expand Asia Pacific links. We leave our career structures to chance


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