National Resources Sector Employment Taskforce report

On 1 September 2009 the Australian government established the National Resources Sector Employment Taskforce (NRSET) to address the workforce needs of major resources projects over the next five years and beyond. The Australian resources sector comprises minerals operations, oil and gas operations and mining support activities. This document is the final report of the Taskforce. It is intended to: inform a national discussion about the labour and skills requirements of the resources sector; elicit views on issues that may need to be addressed to meet those requirements; and identify...  [+] Show more

On 1 September 2009 the Australian government established the National Resources Sector Employment Taskforce (NRSET) to address the workforce needs of major resources projects over the next five years and beyond. The Australian resources sector comprises minerals operations, oil and gas operations and mining support activities. This document is the final report of the Taskforce. It is intended to: inform a national discussion about the labour and skills requirements of the resources sector; elicit views on issues that may need to be addressed to meet those requirements; and identify possible solutions and examples of good practice. Following the publication of ‘Resourcing the future: National Resources Sector Employment Taskforce discussion paper’ (indexed at TD/TNC 99.870), and public consultation, the report suggests that it may be argued that the skills needs of the sector are best left to the forces of supply and demand, supplemented by temporary migration to cope with demand spikes. The Taskforce respects the allocative efficiency of the market and notes the higher wages that result for workers in high demand are welcomed by many. However, resources sector labour shortages can quickly become regional, state, and then nationwide skills shortages. The Taskforce believes the growth in demand for Australian resources will transform the resources economy. The report also suggests that with the right policies and planning the current boom can be the catalyst for long-term strengthening of the Australian economy, raising productivity and reducing social problems like unemployment and welfare dependency, which are ultimately linked to a lack of workready skills. The right approach to the sector’s skill needs must be demand driven and include improving our schools, developing our apprenticeship system, strengthening our universities and creating a more efficient labour market. It can also help address the unemployment and social disadvantage that persist in some segments of the community, most notably among Indigenous Australians. Effective strategies could also go some way towards addressing the average income differences between male and female workers and between metropolitan and regional areas. The Taskforce understands the resources economy will always attract workers from other sectors. Better planning and appropriate training ensures those sectors can replace workers quickly with people who are not currently in the workforce.