Transport and Logistics Skills and Training Report

Transport and Logistics

Skills and Training Report March 2009

Prepared for Department of Education and Training

Skills and Training Report - March 2009Page2

Contents

Foreword ........................................................................................ Page3

Introduction .................................................................................... Page4

TLWAG Priorities........................................................................... Page4

IndustryProfile...............................................................................Page4

Current research............................................................................ Page5

Summary of Current Industry Activity........................................ Page12 PrioritiesIdentifiedintheMarch2008Report........................Page15

VET Training ................................................................................. Page15 VET Revenue General ................................................................ Page17

Recommendations........................................................................ Page22

Appendix 1...................................................................................... Page23

Appendix 2..................................................................................... Page25


Foreword

The industry engagement model between the Department of Education and Training and the Department of Transport and Main Roads supported by the Transport and Logistics Workforce Advisory Group (TLWAG) has beenverysuccessfulinraisingtheprofileofthetransportandlogisticsindustry.Togetherwithourindustrypartnerswehavedevelopedandimplementednumerousskillsandlabourstrategies,raisedtheprofileoftheindustryasacareerchoiceandpromotedthebenefitsofworkforceplanningwithdemonstratedsuccess.

The current economic climate brings new challenges. Foremost of these challenges is to ensure our industry sector does not neglect the skills and training needs of its workforce during a period of economic uncertainty. Although the labour market issues may ease, the industry still needs a diverse range of skills development in order to meet current and future business needs. The industry needs to be skilled prepared to respond and compete in a global market as economic recovery takes place.

ThisreportprovidestheQueenslandindustryidentifiedVETtrainingrequirementsandskillingstrategiesfortheDepartmentofEducationandTraining.Insupportoftheserequirementsthereportprovidesinformationonthe industry sectors in the current economic climate and their ability to engage in training and the green and sustainability training and skills agenda.

AsummaryofrecommendationsonVETtrainingrequirementsfortheindustryareprovidedonPage15.

Jack Noye

A/Deputy Director General (Services and Regulatory)

Chair, Transport and Logistics Industry Workforce Advisory Group

May 2009


Introduction

As part of the response to the Queensland Skills Plan TLWAG plays an integral role in facilitating

direct industry/government communication with respect to workforce development challenges and skilling and training needs for the transport and logistics industry.

This report contains information on:• TLWAG priorities and engagement with industry• Research on the impact of the economic climate and associated implications for training and skilling of workers• Priorities for VET training for the industry.

TLWAG Priorities

The Transport and Logistics Industry Workforce Advisory Group is representative of all modes

of the industry and actively seeks further advice and information from many industry associations, employers-state, national and overseas. The program of work undertaken is reviewed to ensure strategies for the industry are responsive and meet current industry workforce development needs.

Based on research and consultation with industry TLWAG have agreed on the following priority activity:• Focus on skills strategies rather than labour strategies• Createexperienced,trained,qualitypeoplefor the long term• Communicate the message to industry that the industry is still working, investment is growing, and skilling and training will ensure a sustainable industry future• Communicate the message to industry that now is the time to invest in people, and the industry• Taking programs and strategies regionally• Working with Department of Transport and Main Roads to ensure synergy with the department’s strategic policy and TLWAG programs• Support the work of the National Transport Commission.

Industry profile

Transport and logistics is an integral part of the rural, tourism, manufacturing and mining sectors

and is a critical key in retail and wholesale industries. Public perception is that the industry is made up of verylarge,powerfulandprofitableemployerswheninfact65%oftheindustryiscategorisedassmallto medium enterprises. Many of these are restricted in their ability to diversify their interests ensuring commodity availability does not limit their business growth or contribute to its decline.

In February 2009 the ALC launched a further report “Who moves Australia: Workforce participation in Australian Transport and Logistics”. This report was developed with the support of Department of Transport and Main Roads and the Transport and Logistics Industry Skills Council.

The purpose of the report was to identify the number of persons employed within the Australian economy whose jobs involve, either wholly or in part, transport and logistics activities. The report moves outside the traditional employment categories to capture the true representation of a greater group of people who work within the industry but may be recorded elsewhere in other categories such as agriculture, mining, retail, construction and government agencies who undertake transport and logistics activities.

The report provides the following details on transport and logistics workforce participation:• Aworkforceof1,246,406peopleor13.9%ofthe national workforce• Queenslandhas21.2%ofthetotalworkforce (second after Victoria)• Thefreightsectoris72.4%oftheworkforce• Thepassengertransportsector9.4%

In 2007 The Australian Logistics Council (ALC) launched “Dispelling the Myths: Contributions of Transport & Logistics to the economy” which provided information on the value of the sector to GDP–14.5%and13.9%inQueensland.


• On an overall basis the freight sector represented88.5%ofnationaltransportand logistics participants• 76.7%oftheworkforcearemaleand56.8%are agedunder44and20.4%are55yearsorolder• 33%oftheworkforceattainedaneducational level greater than year 12.

Current research

Several research projects have been undertaken recently to determine the current situation across

the industry sectors. The research includes:

• a survey/skills audit of The Port of Brisbane• a skills audit of surrounding Gateway area• a skills audit for the rail industry• a survey and consultation in early 2009 of large, medium and small enterprises across all industry sectors focused on the impact on skilling and training in the current economic climate.

A decrease in activity in mining, mineral processing and tourism have affected regional areas such as Townsville, Cairns and Mount Isa. Cairns and Townsville have also been affected by the recent cycloneactivityandresultingfloods.Thecostoffuelhas also been a major factor on the ability of operators to provide competitive services.

Central Queensland towns, such as Mackay, Rockhampton and Gladstone, have experienced decreased activity and demand as compared to previous high levels. However economic activity is still reasonably strong and the effects are not being felt as much as in North Queensland.

The impact of the current economic situation in the south eastern corner of the State is not consistent. Somefirmsaremanagingwell,whilesomeareimplementing strategies to ensure an ability to competeandstayviable.Othersarefindingitmoredifficultascustomersandendmarketscutbackonorders. This situation is reinforced in later research.

Rail SectorA skills audit of key companies in the rail industry conducted for the former Department of Tourism and Regional Development Industry in September - November2008indicatesthat:• Skills demand remains very strong and more rail firmsareexperiencingskillsshortagesin2008• Skills shortages are impacting on the ability of the industry to deliver on existing work and win new work• Firms expect employment growth over the next three years aligned with their expected growth• Smallerfirmsreportsignificantgrowth targetswithlargerfirmsreportingmore moderate growth• Nofirmsexpectedadecreaseinemployment levels• Skills shortages are reported for a range of engineering professionals, paraprofessions and tradequalifiedstaff• The majority of skills shortages are Level 1 – skillsthatrequirethreetofiveyearstraining.

In2005,eightoutoftenfirms(80%)experiencedskillsshortagescomparedwiththefigurein2008of95%.

Port of BrisbaneA skills audit of Port of Brisbane tenants was undertakeninlate2008andasummaryoffindingsprovided in the October Industry Report to the Department of Education and Training. The industry advice from the Port of Brisbane on the current situation indicates business activity has slowed. However, companies are dealing well with the situation through proactive human resource management strategies. Employers at the Port recognise the need to retain a high skills base.

A high level of activity around the export of commodities such as meat and grain continues. However import activity is down in particular the container area. Casual workers are receiving less shift time as a result. Indications are that 400 cars per ship are coming into the port where as previously 900 cars per ship would arrive. Cars are starting to move more


quicklyfromtheholdingyardsattheportindicatingdealers are picking up and moving orders. Whilst some ships are not active, many are chartered and returned by some ship lines to their owners. Where shipping lines have diversity of client and commodity such as gas, bulk and various different cargoes then business is not affected as much. Shipping lines report a cutting back on the use of larger ships with some of the older ships being scrapped and smaller moreefficientshipsbeingused.Portexpansioniscontinuing with a third stevedoring company coming to the Port in 2010.

Gateway Region Hub ResearchThis research was undertaken to support the knowledge obtained from the Port of Brisbane skills audit and to gain information on the industry hub in the Gateway region. The full report of the work undertaken by Deb Wilson Consulting will be made available by contacting the Industry Capability Branch on (07) 3146 1610. The following is a summary of feedback provided on the impact of the Global Financial Crisis for employers in that industry hub:

1. Business activity in the current economic situationVolumes are down• The crisis has had an impact on the volume being moved by transport companies. Demand hasreducedbuttheimpactonindividualfirmsis variable.Somesmallerfirmsappeartohave beenmoreaffectedthanlargerfirms• Firmshavemovedfromhavingdifficulty getting trucks to now having trucks that are not in operation• Increased demand for cold storage as more customers are holding stock• End customers of transport companies are buying smaller volumes of freight as a result of thecrisisandthisishavingaflowonimpactto the transport industry• Onefirmreporteda50%reductioninimports, a25%reductioninlocaltransportand20% reduction in line haul work. Another reported a 30%to40%dropinbusiness• Transport companies are chasing work

• A reduction in people eating out has meant a reduction in refrigerated transport for some firms.

Profitability is being affected• Reduceddemandhasimpactedonprofit margins and some in the industry expect losses ofsmallerfirmslessabletowithstanda downturn in business. Some see this as a positive – ridding the industry of less capable operators• One Brisbane transport company recently closed• More people with transport and logistics skills are looking for work • The labour market has expanded and more applicants are available for jobs• Some companies have shed staff• “From one or two guys a week seeking work with us to ten to 20 guys.” • “A job ad six months ago attracted one applicant. A job advertised last week attracted 50enquiries.”

Training and industry skills are still important• Some now have more staff time available for training(largerfirms)• Industry still needs skilled workers, regardless of the downturn.

2. Identified skills and training prioritiesThefollowingskillsprioritieswereidentifiedbytransportandlogisticsfirmsintheGatewayarea:

Driver experience• Driving experience – improved driver experience on all vehicle types up to heavy combination licence.Needtoencouragecertificatetrainingin road transport for drivers• Driver training – defensive driving, tying down loads, correct vehicle weights and vehicle maintenance• Stricter controls on the conditions for heavy combination driver licensing to ensure high qualityskillsaremaintained.

Warehousing skills• Increased demand for warehousing skills• Order assemblers


• High reach forklift licensing• Forklift licences.

Management skills• Middle managers in industry need improved people management and communication skills• Supervisory experience and leadership skills• Small business management skills.

Logistics skills• Customs and freight handling skills• Logistics skills in truck movements and coordination• Operations skills in produce logistics.

Other priorities• Customer service skills• Computer skills• Encouraging a good work ethic and reliability among new entrants.

Green/Environmental IssuesThe transport and logistics industry has been addressing issues of carbon emissions and better use of fuel. A number of regulations are in place that the industry must observe. Consultation indicates there does not appear to be at this stage any creation or recognition of “new green jobs” within the industry. The Waste Contractors and Recyclers Association of Queensland actively make representations and continue to lobby the government on waste management reform, levies and waste planning policies. This industry sector is working with its training partners and employer based trainers to ensure a consistent industry skills base to meet environmental needs.

None of the participants interviewed raised environmental or green issues or the impact of an emissions trading scheme during interviews. Other issuessuchastheimpactoftheglobalfinancialcrisisare more pressing at this time. The research indicates thatthesefirmsdonothaveanyspecificrolesortraining at this time that is “green/environmental” in nature.

Summary of research on the impact on VET training in the current economic climate Purpose of the researchTo gain an understanding of the impact of the current economic climate on the ability of companies in the transport and logistics industry sector to engage in VET training.

Of the 33 companies approached 19 large, medium and small employers across the state participated. They represent all modes of the transport and logistics industry. Employers participating in this research have agreed to contribute to a review in twelve months. The business activity of the companies consulted fall into the following categories:

• 61%(1160)ofthetotalworkforcewerebasedin South-East Queensland• 28%(541)oftheirtotalworkforcewerebased Regional Queensland; and • 11%(207)werebasedNationally

Queensland business locations include:• Bamage• Bowen Basin• Brisbane• Bundaberg• Cairns• Clermont• Dalby• Darling Downs• Emerald• Gatton• Gladstone• Gold Coast• Horne Island• Ipswich

Road 9Logistics 9Martime 3Warehousing 5Aviation 2

• Karumba • Lockhart River• Logan, Mackay• Mt Isa• Rockhampton• South East• Sunshine Coast• Surat• Thursday Island• Toowoomba• Townsville• Tully• Weipa• Yatala


Reported workforce composition • 76%ofstaffwereemployedonapermanent basis • 20%employedonacasual/part-timebasis;and• 4%employedascontractors.

Business workforce numbers varied in size ranging from15to340staffwithintheirQueenslandoperations.

Employment status of businesses• 47.3%reportingmorethan90%oftheir workforce is employed on a permanent basis • 26%reportingamorecontingentworkforcewith morethan30%oftheirstaffemployedonapart- time/casual basis• 2ofthesebusinesseshavingmorethan65%of their workforce employed in this way• 53%(898people)ofthetotalworkforceof participating businesses have or are completing someformofqualification• 47%oftheworkforce(802people)haveno qualifications.

Impact of the economic climate on business activityOverall the sector reports:• reduced work volumes• decreasedprofitmargins• a delay in progressing projects previously scheduled by customers.

Many businesses are being cautious as they wait to see the extent of the impact over time. • 42.1%indicatedtheirbusinesshadexperienced very little impact due to the economic downturn, with some indicating an increase in production acrossspecificproductlines• 57.9%ofparticipatingbusinessesindicatedtheir business is starting to hurt and this has already had an impact on their business management practices • 100%ofbusinessesareactivelyworkingto reduce overheads through responsible business practices to retain staff where possible. Cost cutting and more competitive practices are being employed across the board

• 36.8%ofparticipantsfeeltheeconomicdown turn will be short-term with the market to turnaroundrapidlyinthe3rdquarterof 2009.

Overall the message from industry was - it is important to remain focused on staff development as when the economy kicks in again they will once again befacingdifficultiesinfindingskilledstaff.

Impact of current economic climate on industry workforce - 2009/2010Businesses reported although the impact was across alllocationstherewasamoresignificantimpactinBrisbane where job redesign and downsizing activities are more common. Dalby continues to be an area of skillsshortageaspeoplewiththerequiredskillsarereluctant to relocate regionally.

The demand for staff over the coming year • 21%ofbusinessescitedtheywouldbe increasingtheirworkforcebyupto10-15%for specificproducts• 15.8%mentionedtheywouldbedecreasingtheir workforcebyupto10-30%.

In several cases businesses would be downsizing particular product lines and increasing others resulting in a nil net effect.

70%ofparticipatingbusinessesresponded-itwasstill early days and they were unsure of what impact the economy will have on their business over the coming year.

100%ofbusinessesweretakingprecautionsbyactively redesigning jobs, restructuring, realigning their product mix and business and putting in place practices to reposition their business.

There were some signs of market stress on businesses across the board whether they claimed to be upsizing/downsizing/uncertain - where:• 100%ofbusinessesindicatedtheywere employing less staff, freezing recruitment, or employing natural attrition practices


• More than half of businesses had actively restructured already, undertaken some job redesign or downsized their business• Businesses affected by the downturn were favouring ‘soft’ reduction strategies as the firstportofcall-suchasgettingstafftotake more holidays, changing staff rosters, and reducing staff hours before offering redundancy.

The biggest areas of downturn cited by participating business was drivers and clerical staff.

Staff Retention 2009-2010Participants were asked what they were expecting over the upcoming 2009-2010 period with regard to staff retention. The key themes and comments were: • 63%businessesdidnotbelievetheywouldhave retention concerns over the next 12 months • a decrease in turnover with one medium- sized organisation claiming they have had no turnover in their business in the previous 4 months.

Ofthefivebusinessesthatbelievedtheywouldexperience some skill shortage due to turnover - the following occupation groups were considered still the most at risk:

Drivers, Mechanics and Marine Engineers

Most organisations believed they would not experience any retention issues as they offered good employment conditions and the increase in available labour market meant existing staff may be more reluctant to leave.

Recruitment in 2008• 57.9%ofbusinessesclaimedtohave experienceddifficultiesinrecruitingstaffduring 2008withmanyhavingtodowithoutstaffor retain staff without the level of skill, experience orperformancerequired• Regional areas had experienced more difficultiesinrecruitingandretaining staff particularly at locations experiencing the mining boom and high wages

• 36.8%ofbusinessessaidtheyhadnot experiencedanyrecruitmentdifficultiesduring 2008claiming“therearepeopleoutthere”• Mechanics and drivers were the hardest occupations to source.

Recruitment 2009-2010• minimal impact of the economic downturn at this point• recruitmentpracticeshadchangedsignificantly with63%ofbusinessesseeingaslowdownin turnover of staff• 100%werefocusedonlimitingorfreezing recruitment in all except critical roles• Restructuring, redesigning job roles and downsizing through natural attrition is the primary focus.

36.8%ofbusinessesbelievedtheeconomicdownturnwould be short-term and volumes would pick-up in the3rdquarter2009howevertheywereemployingreserved workforce practices.

57.9%ofbusinessesreportedasignificantincreasein availability of people applying for jobs with many receiving a large increase in unsolicited calls from jobseekers.

42%ofbusinessesbelievetheywouldcontinuetohavedifficultiesinrecruitingdriversandmechanicsthroughout 2009 due to a shortage of people with appropriate experience or skills. This would particularly continue to be felt in regional areas around the mines and in Dalby.

Businesses indicated recruitment shortages would still be felt in the following occupations: • Drivers• Marine Engine Drivers• Manufacturing• Drivers - Bus and Truck• Mechanics• Distribution• Drivers - forklifts• Plant Operators


Impact of the current economic climate on training and skilling

Qualifications and training – priority and value• Majority of businesses indicated it was critical to skill staff and continue to offer learning and development opportunities to aid productivity and retention. • 16%ofbusinessescommented that“qualificationsaren’treallyrequired”in their workplace and experience was more valued. The focus for skilling was on ensuring regulatory compliance and safety through relevant tickets/licences.

Businesseswereaskedthefollowingquestions:• Did the organisation have a formal training plan? • Was there an impact on their ability to train and up skill staff due to the current economic conditions?

� 100%ofbusinessesofferedsomeformof traininganddevelopmenttostaffduring2008 � 42%onlyofferedregulatory/compliance

training � 84.2%ofbusinessesclaimedtohavesome

form of proactive training plan for skilling/up skilling staff � three businesses stated they didn’t have a

training plan for staff however they did do ad- hoccompliancetrainingasrequired � 26%ofbusinessescitedthecurrent

economic conditions have had no impact on their focus and delivery of training � 21%ofbusinessesrecognised“trainingand

reskilling”

� 21%ofbusinesseshavedeferredor slowed their training due to current economic conditions.

Key messages:• Training is critical• Increase in regulation and compliance training impact ability to provide other training• Increased focus on multi-skilling and cross- skilling• Delivery of essential training only

Key Emerging Skilling IssuesThreekeythemeswereidentified• increased legislation and regulation would requireongoingupskillingofstaff• a decreased investment in training due to the economic climate and less need to skill staff due to higher retention/less recruitment• continued skill shortages with just not enoughqualifiedpeopleandtheperceived image of the industry not attracting enough new entrants.

Projected Requirements for Skilling Over Next 3 YearsOverthenext3years47.3%ofbusinessescommented that more than half their workforce would need retraining due to ageing workforce, regulatory compliance, new technologies and job redesign.


Preferred Skilling Strategies Businesses were asked what strategies they would be taking to ensure they had a suitably skilled workforce.

• 73.7%ofbusinesseswouldberetraining/up skilling and actively focusing on the retention of existing staff • 55%wouldconsiderfillingtheirskillsneeds through attraction and recruitment • 60%oforganisationsclaimedtheywouldbe actively seeking to skill staff through Government Funded Programs and Traineeships • 31%ofbusinesseswereinterestedin considering employment and skilling of youth through scholarships• 57.9%ofbusinesseswanttoknowmoreabout PPP.

Engagement of Apprentices/TraineesOfthosesurveyed21%offeredapprenticeshipsand52.6%offeredtraineeships.

For these businesses over the past three years:• their intake had been steady and may have slightlyincreasedduring2008• they will continue engagement of apprentices/ trainees during 2009/2010 (as economic conditions permit).

15.8%ofbusinessesindicatedtheywouldbeofferingapprenticeships over the next 12 months with approximately seven apprenticeships on offer - 4 x

mechanics,1xfitterandturner,1xdieselfitting,1xrefrigeration mechanic.

42%businessesindicatedtheywillcontinuetooffertheir permanent staff traineeships while government funding continues.

There was a reported reluctance from some employers to engage young people in the traineeship/apprenticeship pathway due to past experiences of poor work readiness and attitude.

Skilling priorities 2009 - 2010The priority areas for training programs for 2009 – 2010 were:• Qualification/licence/legislativeorspecific technical skills development• 21%ofbusinessesdefinedcross-skilling as to undertake multiple functions to strengthenthecoreskillsoftheirstaffingmixas well as to aid in staff retention.

There were no soft skill, personal development or leadership training being tabled by the companies participating in the survey.

Summary of top items to be addressed in Education and Training• “Training needs to be relative to the industry context; responding appropriately on time; follow-up with the industry”• “Skills to meet the needs of industry. Flexibility in delivery. Flexibility in RPL. Flexibility in the Auditing Process.”• “Ensurequalificationsmatchthejobsandskills required.Greatercommunicationwiththe industry.”• “Money/funding for industry. Resources/ partnership arrangements with industry and providers.”• “Provision of life skills, work readiness and preparation for young people”• “Appropriate delivery methods – online not always suitable”• “Listen to industry (engage industry - ask industry)”


• “Align different departments needs (some employers have to engage with DEIR and EPA andDTMRallwithrequirementsandcentrelink - commonwealth)”• “Flexibility around the funding.”

Green Skills

Industry PracticesBusinesses were asked if they had any industry practices around green skills and environmental sustainability.Overall60%businessesindicatedtheyhad some strategies in place.

Green Skills Training ProgramsBusinesses were asked if any of their training programs were inclusive of green skills and environmentalsustainability.35%ofbusinessesindicated they had some training that included green skills.

• “Fuel consumption, gear changing, monitoring ofonboardequipment,pollutionandnoise,toner recycling, etc”• “Induction and any compliance training”• “Not awareness training of concepts individually but all our training is focused on satisfying our EPA obligations. It’s built into everything”• “In house training attended by all staff• “No - policy driven only”• “Host contractors run it. Indigenous. Environmental Rules. Conservation etc”• “Green Band Driving”• “Awareness program - paper wastage, electricity usage, etc”• “HS&E training - environmental management; Community and government regulations; chemical management; induction includes waste recycling, Boiler operations training, Cert III in Water Industry.”

Summary of Current Industry Activity

A range of outcomes have been achieved through industry initiatives and a brief summary and

update on some sectoral activity is provided.

MaritimeIn Queensland, Maritime Safety Queensland (Department of Transport and Main Roads) regulates and is responsible for small vessel operations in coastal waters and Australian Maritime Safety Authority (AMSA) is responsible for international shipping activity.

A proposal to implement a single national jurisdiction for maritime safety is gathering momentum and an Intergovernment agreement (IGA) and second Regulatory Impact Statement (RIS) are being developed. The basic proposal is for an amendment to the Navigation Act 1912 (Cth) so it will apply to all commercial ships in Australian waters. The regulatory authority would then be AMSA.

The Transport and Logistics Industry Skills Council, as the developers of the national training package, are working closely with AMSA. While AMSA has indicated that it will rely entirely on the national training package TDM07, it insists at this stage, it will retainseatimerequirementsandoralexaminationof candidates. AMSA have indicated that they plan to develop MOUs with all states and the Northern Territory and audits of all registered training organisations delivering maritime training will be conducted.

In addition, AMSA is revising Marine Orders Part 3whichdealswithqualificationsforseafarers.Inthe past Marine Orders has only stipulated the requirementsforhigherlevelinternationallicences,but the revision will include all licence levels.

AviationThe National Transport and Logistics Industry Skills Council in consultation with industry have made a number of recent improvements to the Aviation TrainingPackageincludingnewqualifications.TheSkills Council have been working extensively with Civic Aviation Safety Authority’s (CASA) and the CertificateIVinAviation(CommercialPilotAeroplaneLicence, and the Commercial Pilot Aeroplane Licence) have been reviewed to directly align with CASA’s revised Manual of Standards (MOS). The introduction


of VET FEE-HELP may see the number of participants increase.

Productivity Places ProgramThe Productivity Places Program is part of the Commonwealth Government’s Skilling Australia for the Future initiative and aims to reduce skills shortages and increase the productivity of industry and enterprises. The Queensland Government will manage Phase III through a National Partnership Agreement with the Commonwealth.

TheindustryhasidentifiedparticipationintheProductivity Places Program as a key strategy in meeting the skills development needs of existing workers and in reducing skills shortages. Taking a leadership role, the various industry sectors have partneredwithgovernmenttoidentifyqualifications,participant numbers and locations. There are, even in this current economic climate, many opportunities for job seekers to participate in transport and logistics training as part of the Productivity Places Program. TheprogramfocusesonCertificateIVandDiplomalevelqualificationsforexistingworkers.Responsesfrom the industry sectors have indicated that many existingworkersneedskillsattheCertificateIIIlevelandthatthesequalificationsaremorealignedtotheirjob roles. Information is provided on the Productivity Places Program on the Department of Education, Trainingwebsitewww.trainandemploy.qld.gov.au/partners/funding_and_tenders/productivity_places.html

Formorespecifictransportandlogisticsinformationregarding the program contact the Industry Capability Branch on (07) 3146 1610.

Women in Transport and LogsiticsThe participation rate of women in the industry is increasing, with data indicating this is mostly in management positions. In road transport and in particular passenger transport, the participation and acceptance of women drivers have increased. Their skills and work ethics are highly valued by employers. This is the result of a range of programs undertaken by industry and major industry associations.

The Womens Mentoring Program project managed by the Australian Logistics Council is mapped towards aCertificateIVinTransportandLogisticsandtheCertificateIVinFrontlineManagement.Participantsare provided with the option of using the mentoring programtowardsthesequalifications.

Theflexibilityoftheprogram,basedonCD/DVD’sand teleconferences, as well as developing women’s networks, makes this course suitable for the range of diverse workplaces in the industry.

InFebruaryanewintakeof98participantsfrom35transport and logistics companies began the program. The course is run over ten weeks and has ten places for women from regional Queensland sponsored by Department Transport and Main Roads, (Industry Capability Branch).

The pilot program supported by Department of Transport and Main Roads in South East Queensland inApril2008had21participantsfrom16companies.The second program delivered nationally had 34 participants from 17 companies.

Adopt a School

•7 SATs graduated February at Grace Removals• 5SATsconvertedtofulltimeattwo industry locations•7 SATs currently in training through the program• 57studentsintheprogramduring2009• 5newlocationscommencingAprilandJune

Aviation Skills Formation StrategyIn response to the current world economic situation the Industry Leaders Council has focussed on the retention of jobs in the industry. A Brisbane Workforce Development Working Party has been established. The group continues ongoing development work with secondary schools.

Contact Phil Presgrave, Project Manager on (07) 3224 [email protected]


Get into Transport and Logistics (Road Transport)

Skilling Queenslanders for Work Program

ByJune2009over120participantswillhaverecieved work readiness assitance, skills training, work experience and mentoring to gain employment in the road transport industry.

To date program outcomes include:•36 fork lift licences•47 truck licences• 18jobplacements

Program locations include:Darling Downs Region, South East Queensland, Townsville, Mackay and Wide Bay Burnett Region.

The program is funded by the former Department of Employment

and Industrial Relations and is a partnership with the Department of

Transport and Main Roads and the Queensland Trucking Association.

Rail Skills Formation StrategyFollowing are the proposed initiatives for the Skills Formation Strategy Industry Leaders Group:• Development of a Rail industry Centre of Excellence• Marketing for the Rail Industry careers• Establishing strong links with schools and universities• A rail industry mentoring program• Ulitisation of retiree labour• Rail industry graduate development program.

Further information is provided in the current research section of this report and in Appendix 2.

Contact Glen Watson, Project Manager on (07) 3224 [email protected]

Logistics Skills Formation Strategy A Skills Formation Strategy commenced for the LogisticssectorinOctober2008.Thefirstindustrysteering committee meeting was held on 30 March 2008.Regionalgroupsinindustryhubareasarealsoto be established.

ContactGaryPearson,[email protected]

Road Transport Skills Formation Strategy• The Goondiwindi Education Centre is progressing with industry partnerships and a program with local high school students• Arecentworkshopidentifiedfouractionareas for the group: regulations, recruitment and retention, image and workforce development• Future actions include a meeting with industry sub sectors to investigate possible road transport career pathways (including apprenticeships)• A commitment has been given by industry to providefinancialsupportforthecontinuation of the group’s action plan at the conclusion of the formal skills formation strategy.

ContactRossHaylock,ProjectManageron0408984712 or [email protected]

Bus and Coach Skills and Labour Action Group (formerly Skills Formation Strategy for Moving People)The Moving People Skills Formation Strategy has transitioned to industry and work continues on their industry action plan. Targeted marketing and collaborative human resource management strategies amongst operators resulted in no reported labour shortage up to the start of the current economic situation. However skills shortages amongst operators still exist. Labour issues due to the short working hours still remain for the school bus sector in regional and remote areas. The group are promoting industry engagement with the Productivity Places Program for both job seeker and existing workers and training availablethroughTAFEforindustryidentifiedskillssets. The Alife promotional DVD has been distributed to key stakeholders in industry and a range of promotional activity has been undertaken.

ContactSkyeNaismith,Chairon(07)38413722andDavidTape,ExecutiveOfficer,QueenslandBusIndustry Council on (07) 3397 1700.


Priorities Identified in the March 2008 Report

A number of short and longer term priorities are detailedintheIndustryProfileSnapshotprovided

on the Department of Education and Training website. Various government/industry stakeholders hold responsibilityforspecificpriorities.Progressonmostof the industry led priorities is commented on more comprehensively elsewhere in the report. Priorities listed that are still under development but progressing include:• The transport and logistics apprenticeship and traineeship resource facts kit for industry – resource is nearing completion with an expectationoffinalproductmidyear.• Investigation continues of the long term priority ofdevelopingvocationalgraduatecertificates, cadetship programs and mapping of association qualificationsandlicensingrequirements tonationaltrainingpackagequalifications. This remains a priority with industry prioritising management and leadership skills as critical for continued growth and promotional within the industry.

Additional priorities include:• CoreskillsattheCertificateIIandIIIlevelfor existing workers as well as for new entrants.

Key areas – Skills and Labour StrategiesTheOctober2008Reportidentifiedthetwokeyareas for the industry to address in meeting skills and labour needs as workforce planning and the perceived image of the industry. Industry also acknowledged the extended period of economic growth created a situationwherethepooloflabourwasnotsufficienttomeet the need. Despite the current economic climate these remain the two key areas to be addressed. The current economic climate will see a change in focus to address current needs. The level of skills shortages is being addressed through a number of current research projects and strategies to address industry needs will be developed based on the results of the research.

Leadership and management skills are a key priority for the industry. Consultation with industry on the design and development of appropriate leadership programs, internship programs or cadetship programs is still in progress.

VET Training

School based traineeships (SATs)

The number of school based traineeships currently intrainingis77(asat28February2009data

accessed and accurate as at 26 March 2009). The majority of the traineeships are in the warehousing andstoragequalifications.Thenumberofschoolbasedtraineeshipsinthemaritimequalificationshasreducedfrom12inJanuary2008,8inSeptember2008to6inFebruary2009.Consultationwithindustry regarding the traineeship pathway continues to be a priority. The current activity with licence harmonisation and the work being undertaken by AMSA together with recent weather and the current economic climate may have had an impact on these numbers.It is important to note that the number of 77 trainees does not include trainees or apprentices who are doingotherqualificationswithintransportandlogisticsenterprises. Many employers have reported that they wouldliketousethelogisticsoperationsqualificationforschoolbasedtraineesasthequalificationismore suited to the roles within their organisation. Further representations will be made to have these qualificationsincludedontheapprovedlistofqualificationsforfunding.The school based traineeship pathway is an industry preferred pathway enabling an introduction and awareness for students to the diversity of the industry and preparing them for other roles as they mature and are able to secure various tickets and licences.

Summary of Overall Traineeship ParticipationThe following table provides the numbers of traineeship commencements. Numbers for year todate2008-09inthetableofparticipationwillneed to be monitored. The data indicates a good


commencement rate to date in most areas but the finalnumbermaybeaffectedbythecurrenteconomicclimate. The high number of trainees in stevedoring is because of the cyclic approach to training in the industry but does indicate a commitment from the stevedoring companies to training.

The percentage of male to female participants and the number of Aboriginal and Torres Strait Islanders in traineeships remains constant.

Partnerships between industry and public and private providers are under development to deliver the AviationGroundOperationsandServicesCertificatesIIandIII.Thisareahasbeenidentifiedpreviouslyasan area of opportunity by the Aviation Skills Formation Strategy leadership group and by employers at Brisbane Airport.

Further representations will be made by industry to the Department of Education and Training to have theTransportandLogisticsOperationsCertificateIIIqualificationaddedtothelistofapprovedqualificationstoreceivestatetrainingfunding.Thisisthemostappropriateentrylevelqualificationforareas of skills demand and job opportunities in freight forwarding, logistics inventory and procurement and shipping agent activities.

Transport and logistics area 2006-07 2007-08 2008-09(YTD)

General (includes Aviation Ground Operations, Administration, Cash in Transit, Mobile Crane Operations and Logistics Operations)

242 232 150

Marine 19 17 9Rail 172 222 38Road 2,015 1,843 1,323Stevedoring 8 4 150Warehousing 2,022 2,877 1,077Total 4,478 5,195 (YTD) 2,747


VET Revenue General

Thefollowingoccupations,qualificationsandskillssetsarepresentedbytheindustryasthekeypriorityareas for training.

Target OccupationWork place Trainers and assessors – current qualifiedindustrystaff

Work place Trainers and Assessor Target QualificationTAA40104CertificateIVTrainingandAssessment

RationaleTo enable development of an industry network to work with TAFE institutes to ensure the delivery of training to the sector

Number of Places50places

LocationSQIT/MSIT (Road Transport) - TNQIT/WBIT (Marine) Embargo relaxation proposals could be developed with institutes.

TimeframeSemester 2 2009 and Semester 1 2010

Target OccupationTruck drivers involved in the transport of dangerous goods by road

Target Qualification30744 QLD Course in Transport of Dangerous Goods by RoadCompetency BTDGLIC001A Preparation and Transport of Dangerous Goods by Road [based on the Australian Dangerous Goods Code for the Transport of Dangerous Goods by Road and Rail (ADG 7)]

RationaleCourse developed in response to COAG’s directive to integrate licensing units into training through the VET system. The new Australian Dangerous Goods Code7theditionrequiresanaccreditedcourse.Previous course was unaccredited and majority of training providers are not RTOs. All drivers and associated roles need this accreditation. Renewals will also occur. Department of Transport and Main Roads and the industry are looking for TAFE participation as an RTO, in particular for regional, rural and remote areas.

Number of PlacesEstimatedannualtrainingrequirementsBrisbane800Gold Coast 100SunshineCoast150SouthernQld250Central Qld 600NorthernQld500

Total 2400 studentsTotal:38,400hoursperyearCourse content: 16 hours

LocationTAFE institutes able to respond to the regional need as per numbers above

TimeframeNewcourseonlyusedfrom1January2009.

Population GroupsTruck drivers affected by new regulation

Industry PartnersDepartment of Transport and Main Roads and TAFE institutes with registration


Target OccupationHeavy Vehicle Drivers

Target QualificationTLIF1007C Apply Fatigue Management strategiesTLIF6307A Administer the implementation of fatigue management strategies.

RationaleSkillsrequiredtomeettheHeavyVehicleDriverFatiguelawsfrom29September2008.Thisisnewlegislation impacting on drivers and schedulers. This is a particular need for casual drivers, small owner operators and regional and remote operators.

Number of Places10,000 hours

LocationState wide

TimeframeSemester 2 2009

Industry PartnersDepartment of Transport and Main Roads, Queensland Trucking Association and TAFE institutes able to deliver, in particular SQIT

Target OccupationStore person, warehouse workers and warehousesupervisors

Target QualificationsTLI20107CertificateIIinTransportandLogisticsTLI30109CertificateIIIinTransportandLogisticsTLI40107CertificateIVinTransportandLogistics(Warehousing)

RationaleExcellent employment opportunities, and qualificationisrecognisedasprovidingapathwaythrough the transport and logistics industry. The CertificateIIwarehousingqualificationisrecognised

as an excellent entry point for transport and logistics for school based students and other entrants (job seekers).

Number of Hours and LocationBased on the needs of industry hubs the industry would be seeking to maintain delivery hours with anysignificantincreaserequiredbeingpickedup and delivered through the logistics operations qualifications.Needidentifiedintransportanddistribution hubs to support the maintenance and increasesasrequiredintrainingdelivery.

TimeframeSemester 2 2009 and Semester 1 2010

Target OccupationFreight Forwarders, Shipping Agents, Customs Agents warehouse or distribution supervisors.

Target QualificationTLI21107CertificateIIin(logisticsOperations)TLI31107CertificateIII(LogisticsOperations)TLI41107CertificateIV(LogisticsOperations)

RationaleThisqualificationwasalteredsignificantlyinthenewtraining package. These are not administration roles tobecoveredbybusinessqualifications.Industryneedpeopletohavethesequalificationsratherthanthewarehousingqualificationinordertodotheseroles.Qualificationsprovideabilitytoworkwithshipping agents, freight forwarding companies and a pathway to customs brokers. Skilled workers in


these areas are in demand. It provides a pathway tologisticsmanagementroles.TheCertificateIIisconsideredbyindustrytobeanidealqualificationfor school based students providing a greater awareness of more industry roles, easier placement into industry workplaces for work experiences andthisqualificationcatersforagreaterrangeofstudents.

Number of hours and locationIncreased activity in major ports and airport hubs

supportinvestmentinthisqualification.Anoveralltotal of 10,000 hours.


Population GroupsCertificateIIisconsideredanentrypointforschoolbased students.

Target OccupationGround staff, baggage handlers and associated ground staff roles

Target QualificationTDA20403CertificateIIin(AviationGroundOperations and Service)

Comment/rationaleIndustrybelievethisqualificationprovidesagoodemployment pathway program enabling further skillstobegainedonthejobthroughaCertificateIII pathway. Brisbane North Institute of TAFE is negotiating a collaboration with industry to deliver thisqualification.Industrywouldbelookingatthisfirstdeliveryasapilotprogram.MetropolitanSouth

InstituteofTAFEhasidentifiedregionalindustrypartners and is gaining registration to respond to identifiedneed.

Number of Hours5000hours

LocationPilot through BNIT to service Brisbane Airport. Additional programs could be run in future years atMaryboroughandotherhubsidentifiedthroughconsultation with the Aviation Skills Formation Strategy and industry stakeholders.


Target OccupationTruck drivers and operators in the Waste Recycle and Environmental Services

Target QualificationPRM20504CertIIinAssetManagement(WasteMamagement)PRM30504CertIIIinAssetManagement(WasteManagement)

Comment/rationaleIndustryhasidentifiedthesequalificationsasthey

providethecorefoundationskillsrequiredbytheirworkers. Specialist driving skills for various materialsarerequiredtogetherwithtrainingthatenables workers to meet regulatory safety and environmentalrequirementsareneeded.

Number of Hours5000hours

LocationSouth East Queensland



Target occupationCoxswain, Marine Engine Driver, Master Class 4

Target QualificationTDM40307CertificateIVinTransportandLogistics(Coastal Maritime Operations – Master Class 4)TDM30207CertificateIIIinTransportandLogistics(Marine Engine Driving – Grade 2)TDM20307CertificateIIinTransportandLogistics(Coastal maritime Operations – Coxswains)

RationaleMaritime licence harmonization is a COAG initiative. Maritime Safety Queensland is currently working with registered training providers. The full qualificationisneededforthelicencetobegranted.

Number of hoursDelivery to be maintained at current levels. Current developmentsthroughAMSAmayinfluencetherequireddeliveryandthoseauthorisedtodeliver.Traineeshipidentifiedbyindustryaspreferred

pathway. Consultation is continuing however current economic climate and the recent weather conditions have not assisted to progress this pathway.

LocationNorth Queensland, Gold Coasts, Brisbane coastal waters, the Whitsundays and provincial towns along the Queensland coastline. Institutes currently delivering are TNQIT/WBIT/BNIT.

TimeframeOngoing delivery

Industry Partners Maritime Safety Queensland, Transport and Logistics Industry Skills Council and Australian Maritime Safety Authority.

Skills setsNational Training Packages include endorsed skills sets mainly related to areas of licensing and ticket provision. However industry recognises there are otherskillssetsrequiredbyemployersandemployeeswithin particular occupational areas and these may berelatedtoanindividualcapacityorspecificneedsdue to location. Consultation continues with industry in identifying key skills sets areas that will provide job capacity together with any mandatory licence or ticket. To date the following areas have been put forward by industry sectors.

Warehousing – Forklift skills to operate a Reach ForkliftTheindustryhasidentifiedissuesofconcernwithsafety and performance ability for forklift drivers to operate “reach” forklifts. Counter balance forklifts see the operator drive in a car-like posture and the

machines are multi-purpose (truck loading, on-site transport, lifting in production and for storage of product in block stacks or pallet racking). A series of attachments, such as clamps, rotating mechanisms, tipping devices and such are able to be added. Reach trucksaredesignedtoworkinmoreconfinedspaceand are primarily and mostly used for storage in pallet racking. The vehicle is operated in a side-on posture and, unlike counter balance the mast not only lifts but also travels independently. There are many variations onthereachtruckconfigurationincludingtheaccelerator brake and lift mechanism control. While an operator with counter balance experience can be engaged in using the various attachments with minor training,asitisnotasignificantchange,industrybelieve they are not competent to operate a reach truckinanyformandthisrequiressignificanttraining.

Likecounterbalancebutwithquiteabitmoredifficulty,thetransitionfromonereachtruck


configurationtoanothercanbeovercomewithlimitedtraining. However the move from low level operation (below5m)tooperationinahighreachenvironment(upto10m)requiressignificantlevelsoftraining.Theresponse needed is not at the licensing level but at the competence level. Warehouses workloads are driven by customer demand. Those with volatile demand cycles most often now operate by engaging casual staff to cover above average demand cycles. Theses operationsrequiredskilledandcompetentoperatorson demand.

TLID1107C Conduct specialised forklift operations TLID1207C Operate specialised load shifting equipment

Bus driversThe industry acknowledges drivers are the front line of their companies and there are increased expectations in areas of customer service as well as the safety of the public paramount for both driver and the companies. Safety, stress and people management skillshavealsobeenidentifiedbytheindustryasarequiredskillsetforbusdrivers.Thefollowingskillsset is proposed.

TL10 1207C Manage disruptive and/or unlawful behaviourTLIC807C Drivecoach/busTLIE407C Prepare workplace documentsTLIF607C Apply accident emergency proceduresTLIC107C Use information technology devices and computer applications in the workplaceTLI1307C Provide customer service in transport vehicles and vesselsTLIK1107C Transport passengers with disabilities

Heavy Vehicle Driver FatigueHeavy Vehicle Driver Fatigue laws are operational from29September2008andthistrainingisneededinparticular for casual drivers, small owner operatorsand regional and remote operators.

TLIF1007C Apply Fatigue Management strategiesTLIF6307A Administer the implementation of fatigue management strategies.

Diving skills for marine tourismThisskillsethasbeenidentifiedbytheindustryasa skills set that will enable residents in the Cairns and Whitsunday areas to have greater employment opportunities. The marine tourism industry is seasonal and those people with combined sets of skills will gain greater employment stability.

HLTFA301B Apply First AidHLTFA402B Apply Advanced First AidHLTCPR201A Perform CPRTDMMF5407AObservesafetyandemergency procedures on a coastal vesselSROSCB001A Scuba Dive in open water to a maximumdepthof18metresSROSCB002A Complete specialty open water divesSROSCB007A Perform Diver RescuesSROSCB010A Guide a scuba diveSROSCB013A Instruct scuba diving skillsSRXGCS004A Meet client needs and expectationsTHHBFB09B Responsible service of alcoholTHHBFB03B Provide food and beverage services

Consultation will continue with key industry sectors.


Recommendations

• TLWAG continues to promote workforce planning and development as a key strategy to ensure future needs are met as business opportunities increase

• DET fund the training priorities for the transport and logistics industry as presented in the report

• The development of Public and Private partnershipsisprioritisedtoensureequityforall Queenslanders

• The industry work in closer consultation with DET to support relevant actions of the National VET Sector Sustainability Policy and Action Plan (2009 – 2012).

• DET note that in the allocation of places through theProductivityPlacesProgramCertificateIII qualificationsareconsideredessentialformany of the existing workers of various industry sectors and these are not always available through traineeship pathways as many workers are casual, contractors, owner operators etc.


Appendix 1

VET Industry Engagement Plan 2009 – 2010The following are the VET engagement priorities for 2009 – 2010 to implement the Transport and Logistics Training Strategy.

1. Establish regional transport and logistics industry networks to enable direct engagement with industry on key regional training and skilling solutions. Regional issues will be investigated and progressed to key stakeholders to enable a responsive and proactive approach to training and skilling needs and will be reported in the Bi-annual report to DET.

Example(ToowoombaDTMRofficeengagementinapilotprogramforFatigueManagementandDangerous Goods with industry).

2. Undertakeresearchtosupporttrainingandskillingidentificationandstrategydevelopment.

Research to date includes:• Skills audit of Port of Brisbane tenants• Gateway – surrounding port transport and logistics hub survey on skills and labour needs and the impact of the economic climate• Statewide workforce development survey to ascertain the impact of the current economic climate on skills and training plans and the awareness and participation of industry in the “green or sustainability agenda”. This research will be followed up in 9 to 12 months time.

More regional research will be undertaken in transport and logistics hubs for the development of specificregionalorhubcentredskillsandtrainingplans.

3. Support skills formation strategies (current or transitioned in various sectors of the transport and logistics industry).

4. Develop a proposal and project plan for a collaborative model for a transport and logistics Skilling Solutions Queensland shop front.

5. Expandthenetworkofworkplacetrainerandassessorswithintheindustryandworkingwiththe industry and VET providers to develop and support new models of delivery to meet industry needs.

6. Build the capacity of the public provider to respond to industry needs through collaborative partnerships and co-provider arrangements.

7. Continue work with the Department of Transport and Main Roads and the National Industry SkillsCounciltoalignregulatoryandlegislativerequirements(ticketsandapprovals)with accredited training.


8.SupporttheindustrytoengageintheProductivityPlacesProgramtoensureexistingworkersare abletoaccesshigherlevelqualificationsrelevanttotheirworkroleandcareeraspirations.Ensure skills programs are available for para-professionals and promote articulation or co-provider programs for the industry with the higher education system.

9. Develop a VET Industry Engagement Resource Kit for employers (contextualised for the transport and logistics industry). To be developed in collaboration with Training Services.

10. Support the Transport and Logistics Adopt a School model to ensure students gain the relevantqualificationsandhavealearningexperiencewithintransportandlogisticsthatbuilds their awareness and future interest in the industry.

11. Work with the transport and logistics industry and providers to ensure all population groups are catered for and able to access relevant training and job opportunities within the industry.


Appendix 2







Documents

Transport and Logistics Skills and Training Report