Modelling suggests that greater use of short vocational courses would close the gap in occupations where demand is growing faster than supply.
The Albanese government’s Skills Minister Brendan O’Connor is restarting stalled negotiations with the states onBut the shortages are not where many in the business community expect.
This means employers will need to work hard to attract and retain staff. While a general labour shortage is an unavoidable consequence of a rapidly recovering domestic economy, skills mismatches, where the skills of the population are poorly aligned with the needs of employers, can be addressed by well-managed training policies.
Our modelling finds that many of these occupations require either vocational education or no post-school qualification. These include personal carers and assistants, the low-wage backbone of aged care and much of the disability care sector. On the flip side, the modelling finds wage growth to be slower than average in many occupations in which a bachelor degree or higher qualification is the norm, such as legal and accounting professionals, business administration managers, and education, health and welfare service managers.
These short courses, equivalent to about two university subjects or half a semester of study, would quickly and efficiently provide an injection of relevant skills, with minimal time away from the workforce.
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