The Hume Workforce Development Committee Hume Regional Development Australia

© Workforce Planning Australia - www.workforceplanning.com.au

The Hume Workforce Development Committee

Hume Regional Development Australia

Agriculture Labour Market SnapshotWorkforce Planning Australia | March 2012

Agriculture Industry

2 |

The Agriculture Agriculture, Forestry and Fishing industry consists of multiple sectors:

Agriculture

Dairy Cattle Farming

Sheep, Beef, Grain Farming

Fruit, Tree & Nut Growing

Agriculture & Fishing Services

Nursery, Horticulture Production

Mushroom, Vegetable Growing

Nursery, Horticulture Production

Livestock Farming

Crop Growing

Forestry & Logging

Poultry Farming

Fishing

Aquaculture

Forestry Support Services

Deer Farming

Hunting, Trapping

National Industry Overview

Industry Employment

• Employment in the Australian Agriculture, Forestry and Fishing industry is 329,914 people or 3% of the total labour force.

4 |Source: ABS Labour Force Survey, February 2012 data.

Industry Employment Level February 2012

Employment Growth

• Over the past five years, employment in the industry has decreased at a rate of 1.5% per annum.

5 |

404.8 398.8420.6 417.4

432.4420.0

439.3426.3

437.3

371.4 364.4 359.1346.9 352.8 351.9

363.7 370.6

339.1 332.3

0

50

100

150

200

250

300

350

400

450

500

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Agriculture, Forestry, Fishing - Employment Level ('000s)February 1994 to 2012

Source: ABS Labour Force Survey cat. no. 6291.0.55.003 (DEEWR trend data)

Employment Growth by State

6 |

-15.3

-0.4

-0.6

-7.6

3.4

-1.0

0.6

-0.5

-43.9

-26.1

-17.7

-9.8

-4.5

-4.1

-0.9

-0.6

-50 -40 -30 -20 -10 0 10

New South Wales

Queensland

Victoria

Western Australia

South Australia

Tasmania

Northern Territory

Australian Capital Territory 10 year growth5 year growth

• Over the next 5 years all states excluding South Australia and Northern Territory will experience negative employment growth.

• Over the next 10 years it is forecasted that Agricultural employment will decline in all States.

Employment by Industry Sector

7 |

138.8

26.3

23.4

21.9

19.3

12.4

11.2

9.1

9.1

8.8

5.0

4.1

3.9

0.1

0.0

0 20 40 60 80 100 120 140 160


Fruit and Tree Nut Growing


Agriculture and Fishing Services


Nursery, Floriculture Production

Other Livestock Farming

Other Crop Growing

Forestry and Logging

Poultry Farming

Fishing

Aquaculture


Deer Farming

Hunting and Trapping

Agriculture, Forestry, Fishing - Employment Level - Feb 2012 ('000s)

Source: Employment Level by Industry Sector (DEEWR Trend Data based on ABS Labour Force, Australia, Cat no: 6291.0.55.003 – February 2011)

• Sheep, Beef and Grain Farming is the largest sector of employment in the Agriculture industry.

Employment Growth by Sector

• The decline in Agriculture employment has been most significant in the following industry sectors:

― Fruit & Tree Nut Growing― Nursery, Floriculture Production― Other Crop Growing

• Some sectors have remained stable (Hunting & Trapping, Deer Farming) while others have shown small growth in employment. These include:

― Sheep, Beef, Grain Farming― Fishing― Aqualculture

8 |

1.8

1.1

1.0

0.9

0.9

0.9

0.9

0.7

0.0

0.0

-1.3

-1.5

-2.3

-7.0

-16.7

-20 -15 -10 -5 0 5


Fishing

Aquaculture





Poultry Farming

Deer Farming




Other Crop Growing



Agriculture, Forestry, Fishing - Five Year Emp Growth (000s) to Feb 2012


Projected Employment Growth by Sector

• Projected employment growth in the Agriculture industry is 1.4% over the period to 2015-16.

• Strongest employment gains are expected in the following sectors:― Dairy Cattle Farming― Other Livestock Farming― Forestry Support Services― Sheep, Beef, Grain Farming

• Negative employment growth is forecast in four sectors:― Mushroom, Vegetable Growing― Hunting and Trapping― Fruit & Tree Nut Growing― Deer Farming

9 |

-1.5

-0.5

-0.3

0.0

0.3

0.4

0.6

0.8

1.0

1.2

1.4

1.7

2.1

2.4

2.4

2.7

3.2

-2.0 -1.0 0.0 1.0 2.0 3.0 4.0




Deer Farming

Poultry Farming

Other Crop Growing

Aquaculture



Fishing

Agriculture, Forestry, Fishing


ALL INDUSTRIES





Agriculture, Forestry, Fishing - Projected Employment Growth(% pa) to 2015-16


Main employing occupations

• The table below provides an overview of the main employing occupations in the Agriculture industry:

10 |Source: DEEWR Special Order based on ABS Labour Force, Australia, Cat no: 6291.0.55.003 – Calendar Year Average 2011.

Occupation Employment (2011-12)

Livestock Farmers 79.7 Crop Farmers 42.5 Mixed Crop and Livestock Farmers 33.4Livestock Farm Workers 28.3 Crop Farm Workers 22.9 Agricultural, Forestry & Horticultural Operators 12.8 Bookkeepers 8.2 Packers 5.7 Garden and Nursery Labourers 5.2 Mixed Crop and Livestock Farm Workers 4.9

National skills in demand

11 |

Occupation Skills StatusAgricultural Scientist/Consultant Shortage

Agricultural Technician Recruitment difficulty

Accountant No shortage

Shearer No shortage

Arborist No shortage

Landscape Gardener No shortage

Nurseryperson No shortage

Source: DEEWR Special Order based on ABS Labour Force, Australia, Cat no: 6291.0.55.003 – Calendar Year Average 2011.

• There is a national shortage of Agricultural scientists / consultants.• Employers experienced difficulties in recruiting agricultural technicians.

Workforce Development Challenges

12 |

Agriculture

1. Employer culture, regional

& industry leadership

2. Attraction of workers

3. Adoption of higher level skills

across the workforce

4. Adoption and diffusion of new

research findings, innovative practice & technology

5. Workforce retention and effective skills

utilisation

Source: Agriculture Industry Skills Council, Environmental Scan 2011

There are several workforce development challenges facing the Agriculture Industry.

Workforce Development Strategies

1. Employer culture, regional & industry leadership― Build employer capabilities in job design, effective work organisation, the notion of

‘employer of choice’ and high performing workplaces― Build sustainable, grass roots, regionally based ‘skills eco-systems’― Grow industry peaks’ voice and coordinated action on skills & workforce

development― Identify and promote industry champions, experts and intermediaries

2. Attraction of workers― Promote contemporary, science and technology focused industry image― Build attractive pathways into industry through national school curriculum, VET in

schools and establishment of cadetships― Build clear, valued pathways into sustainable agriculture job roles for Aboriginal

people3. Adoption of higher level skills across the workforce

― Diffuse higher level skills and knowledge across the industry through client centred, building blocks approach to delivery

― Increase language, literacy and numeracy, digital literacy, and core skills of the existing workforce

13 |

Workforce Development Strategies

4. Adoption and diffusion of new research findings, innovative practice & technology

― Drive greater adoption of CRC and RDC outputs through VET partnerships and extension initiatives

― Continuously improve nationally endorsed qualifications, skill sets and units of competency to reflect latest skills and knowledge

― Formalise articulation arrangements between vocational and higher education sectors

5. Workforce retention and effective skills utilisation― Drive widespread, formal recognition of workers’ existing skills― Increase and promote skill based pathways within and across sectors― Establish comprehensive demographic and occupational skills profile of existing

workforce

14 |

Hume region

Agriculture in Hume

16 |

• Many of Victoria’s major rivers are located in the Hume region and the availability of water close to its source is a major economic driver for the region.

• With access to water from river systems and valuable groundwater resources, the Hume Region supports a large number of irrigation-based industries of national significance such as dairy, horticulture and viticulture, while also supporting large areas of dryland farming.

• The region contributes to over 25% of milk production and 35% of fruit and vegetables grown in Australia.

• The Murray Darling Basin Authority is currently in the process of establishing new limits (sustainable diversion limits) on the volume of water use. The impact of limits on the Hume region and agricultural sector should be assessed as part of any workforce planning efforts for implications on industry and occupational growth / decline.

• The region also has a number of specialist abattoirs including JBS Swift, Gathercoles and Norvic Foods which process cattle, sheep, goat and deer meats.

• According to the Australian Bureau of Statistics, the gross value of agricultural and horticultural production in the Goulburn Murray Irrigation District (GMID) is around $2.2 billion and accounts for 25% of the value of Victoria’s agricultural production.

Source: Hume Strategy for Sustainable Communities 2010-2012, Skills Vic 2010

Employment in Agriculture, Forestry & Fishing by LGA

17 |

Towong648 (2006)

Wodonga122 (2006)

Alpine556 (2006)

Mansfield319 (2006)

Hume Region BoundarySub-region BoundaryLocal Government Area (LGA) Boundary

Indigo612 (2006)

Murrindindi703 (2006)

Mitchell476 (2006)

Strathbogie852 (2006)

G Shepparton

Moira2286(2006)

Wangaratta1034 (2006)

Benalla586(2006)

2421 (2006)

TBC (2011)

TBC (2011)TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

TBC (2011)

2006 Census vs. 2011 Census dataTotal Industry10,615 (2006)

TBC (2012)

Employment growth projections in Hume

• According to Monash projections employment is expected to grow and level out over the period to 2016.

• Average annual growth rate is calculated at 3%.

18 |

Usage is restricted to the Department of Education & Early Childhood Development and third parties undertaking work on behalf of Skills Victoria.Source: Monash Centre of Policy Studies, 2011

2010-1 2011-2 2012-3 2013-4 2014-5 2015-616

16.5

17

17.5

18

18.5

19

19.5

20

20.5Total Agriculture Employment Hume

Total Agriculture Employment Hume

Occupations

•The top employing occupations in the region are as follows:

19 |

ANZOG

Occupation Employment (2011-12) (‘000 persons)

1213 Livestock Farmers 9.9157

8415 Livestock Farm Workers 1.7414

1212 Crop Farmers 1.70202

8412 Crop Farm Workers 1.53944

1214 Mixed Crop/Livestock Farmers 0.71952

7211 Agri Fstry & Hort.l Plnt Ops 0.16524

8416 Mixed Crop/Livestock Farmers 0.175

3612 Shearers 0.1707

8414 Garden & Nursery Labourers 0.16954

3622 Gardeners 0.12852

Agriculture (Top 10 occupations by employment level Hume)

Usage is restricted to the Department of Education & Early Childhood Development and third parties undertaking work on behalf of Skills Victoria .Source: Monash Centre of Policy Studies, 2011

Education

Occupation growth

• Monash projections show variability in the top employing occupations growth over the period to 2016-17.

• The most significant occupation (Livestock Farmers) will experience a decline.

21 |Source: Monash Centre of Policy Studies, 2011Usage is restricted to the Department of Education & Early Childhood Development and third parties undertaking work on behalf of Skills Victoria.

Livestock Farmers

Livestock Farm Workers

Crop Farmers

Crop Farm Workers

Mixed Crop/Livestock Farmers

Agri Fstry & Hort.l Plnt Ops

Mixed Crop/Livestock Farmers

Shearers

Garden & Nursery Labourers

Gardeners

0 2 4 6 8 10 12

Agriculture Occupation Growth Hume (2011-2017)

2011-22016-7

Industry Education attainment levels

22 |

• VET education enrolment data shows an increase in course enrolments for the industry. Growth is being driven by the Cert IV, III, II level qualifications

Source: Data prepared 9 March 2012, Market Analysis team, Skills Victoria.

Advanced Diploma

Certificate I

Certificate II

Certificate III

Certificate IV

Diploma

0 200 400 600 800 1000 1200 1400

20082011

Age profile of enrolments

• Across all industry occupations growth in VET course enrolments has been spread broadly across age groups.

• The largest proportion of enrolments comes from the 15-19 year old age group.

23 |Source: Data prepared 9 March 2012, Market Analysis team, Skills Victoria.

15 to 19 20 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 and over

0

50

100

150

200

250

300

350

400

450

500

20082011

Diversity of Enrolments

•The diversity of enrolments has increased in the industry in Hume.•The strongest growth can be seen in the proportion of CALD enrolments.•Disabled enrolments have declined.


Disabled Indigenous CALD0%

1%

2%

3%

4%

5%

6%

7%

20082011

© Workforce Planning Australia - www.workforceplanning.com.au

Agriculture, Forestry & Fishing Occupational VET Education Data (Hume)Mixed Crop and Livestock Farm WorkerShearerGardener (General)

Mixed Crop and Livestock Farm Worker

Mixed Crop & Livestock Farm Worker VET Course Enrolments


• Enrolments in VET courses have increased in Hume from 2008-2011.• Growth is being driven by the Cert III and II level qualifications.

Certificate I in Rural Operations

Certificate II in Agriculture

Certificate II in Rural Operations

Certificate III in Agriculture

Certificate III in Rural Business

Certificate III in Rural Operations

0 100 200 300 400 500 600 700 800

20082011

Mixed Crop & Livestock Worker Age Profile of VET Enrolments


• The age profile of Mixed Crop & Livestock Farm Workers enrolled in VET courses has remained consistent to the increase in total enrolment numbers for the period.

• The largest proportion of enrolments comes from the 15-19 year old age group.

15 to 19 20 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 and Over

0

20

40

60

80

100

120

140

160

180

200

20082011

Diversity of Mixed Crop & Livestock Farm Worker VET Enrolments


• There has been an increase in indigenous and CALD enrolments over the period 2008-2011.

• Disabled enrolments have declined.


1%

2%

3%

4%

5%

6%

7%

8%

20082011

Shearer

Shearer VET Course Enrolments


• Shearer enrolments in VET courses have decreased in Hume from 2008-2011.Note: There is only one course of relevance to the shearing occupation.

Certificate III in Shearing

0 2 4 6 8 10 12 14 16 18

20082011

Shearer Age Profile of VET Enrolments


• Despite a decline in enrolments, the age profile of Shearers enrolled in VET courses has shown an increase in youth age groups aged 15-19 and 20-24 years.

15 to 19 20 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 540

1

2

3

4

5

6

7

20082011

Diversity of Shearer VET Enrolments


• There has not been any diversity of enrolments for shearers over the period from 2008-2011.

Disabled Indigenous CALD0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

20082011

Gardener (General)

Gardener (General) VET Course Enrolments


• Gardener enrolments in VET courses have declined in Hume from 2008-2011.• The Cert IV course in Agriculture has seen the greatest decline.

Advanced Diploma of Agriculture

Advanced Diploma of Rural Business Management

Certificate IV in Agriculture

Certificate IV in Rural Business

Diploma of Agriculture

Diploma of Rural Business Management

0 50 100 150 200 250 300

20082011

Gardener (General) Age Profile of VET Enrolments


• The age profile of Gardeners enrolled in VET courses has generally remained consistent to the increase in total enrolment numbers for the period.

• There has been a significant increase in enrolments from those aged 65 and over.

15 to 19 20 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 & Over

60 to 64 65 and over

0

5

10

15

20

25

30

20082011

Diversity of Gardener VET Enrolments


• There has been an increase in Disabled and CALD enrolments over the period 2008-2011.

• Indigenous enrolments have declined.


2%

4%

6%

8%

10%

12%

14%

16%

18%

20082011

Findings

Findings and Workforce Planning Considerations

1. Employment in the Australian Agriculture industry is expected to grow at a rate of 1.8% p.a. over the next 5 years. The Agriculture industry in Hume is forecast to exceed this rate with an average annual growth forecast at 3% p.a.

I. What are the factors driving growth?II. Growth is not evident in the largest employing occupations. What other occupations not

included as part of this analysis are driving growth?2. ‘Livestock Farmer’ is the largest occupation in the Agriculture Industry in

Hume. This occupation is forecast to decline over the period to 2016.I. Are employees in the occupation aware of the expected decline?II. Are there currently strategies in place to redeploy these workers to other occupations

experiencing growth? i.e. Gardeners.?III. Why is there an increase in Agriculture VET Cert II and III courses?

3. Industry enrolments in VET courses have increased. I. Are course enrolments in alignment with industry sectors / occupations experiencing growth?

4. There has been an increase in the proportion of CALD students enrolling in VET courses.

I. What is driving the increase in enrolments from CALD students? II. Why have Disabled and Indigenous enrolments generally remained stable?

39 |

Documents

The Hume Workforce Development Committee Hume Regional Development Australia