Skilled Occupation List (SOL) 2015-16

Skilled Occupation
List (SOL) 2015-16
Tracking Code:
2YNQDY
Name
Individual *
Megan Lilly
Organisation
Australian Industry Group
What are the industry/industries and ANZSCO occupation/s that you or your
organisation represents for the purposes of this submission?
Industry
Mining
Manufacturing
Electricity
Gas
Water and Waste Services
Construction
Transport
Postal and Warehousing
Information Media and Telecommunications
Occupation
Page 1 of 21
The three dropdowns below accord with the ABS ANZSCO classification of occupations.
Selections are required at the ‘Occupation Group’ 2-digit level and at the ‘Occupation Unit (4-digit)’
level, but can also be made down to the Occupation (6-digit) level depending on the occupation/s
to which your submission relates.
Additional occupations can be selected by way of the ‘Add item’ button.
For each occupation selected, please indicate whether your advice is to Include, Exclude, or is
Neutral (other) with respect to the 2015-16 SOL. The rest of the form can be used to provide
evidence/reasons to support your recommendations. Attachments can also be added after clicking
the 'Submit' button.
Item 1
Occupation Group *
Specialist Managers
Occupation Unit *
Construction Managers
Occupation
Construction Project Manager 133111
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 2
Occupation Group *
Specialist Managers
Occupation Unit *
Engineering Managers
Occupation
Engineering Manager 133211
Page 2 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 3
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Electrical Engineers
Occupation
Electrical Engineer 233311
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 4
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Electronics Engineers
Occupation
Electronics Engineer 233411
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 5
Page 3 of 21
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Industrial, Mechanical and Production Engineers
Occupation
Industrial Engineer 233511
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 6
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Industrial, Mechanical and Production Engineers
Occupation
Mechanical Engineer 233512
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 7
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Industrial, Mechanical and Production Engineers
Occupation
Production or Plant Engineer 233513
Page 4 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 8
Occupation Group *
ICT Professionals
Occupation Unit *
Telecommunications Engineering Professionals
Occupation
Telecommunications Engineer 263311
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Exclude
Neutral
Item 9
Occupation Group *
Construction Trades Workers
Occupation Unit *
Plumbers
Occupation
Roof Plumber 334115
Summary advice for 2015-16 SOL *
Include
Item 10
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Occupation Group *
Construction Trades Workers
Occupation Unit *
Plumbers
Occupation
Plumber (General) 334111
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Exclude
Neutral
Item 11
Occupation Group *
Construction Trades Workers
Occupation Unit *
Carpenters and Joiners
Occupation
Carpenter 331212
Summary advice for 2015-16 SOL *
Include
Item 12
Occupation Group *
Construction Trades Workers
Occupation Unit *
Carpenters and Joiners
Occupation
Joiner 331213
Page 6 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Exclude
Neutral
Exclude
Neutral
Item 13
Occupation Group *
Construction Trades Workers
Occupation Unit *
Carpenters and Joiners
Occupation
Carpenter and Joiner 331211
Summary advice for 2015-16 SOL *
Include
Item 14
Occupation Group *
Construction Trades Workers
Occupation Unit *
Glaziers
Occupation
Glazier 333111
Summary advice for 2015-16 SOL *
Include
Item 15
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Occupation Group *
Construction Trades Workers
Occupation Unit *
Plasterers
Occupation
Fibrous Plasterer 333211
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Exclude
Neutral
Item 16
Occupation Group *
Construction Trades Workers
Occupation Unit *
Plasterers
Occupation
Solid Plasterer 333212
Summary advice for 2015-16 SOL *
Include
Item 17
Occupation Group *
Construction Trades Workers
Occupation Unit *
Plumbers
Occupation
Airconditioning and Mechanical Services Plumber 334112
Page 8 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Exclude
Neutral
Exclude
Neutral
Item 18
Occupation Group *
Construction Trades Workers
Occupation Unit *
Plumbers
Occupation
Drainer (Aus) 334113
Summary advice for 2015-16 SOL *
Include
Item 19
Occupation Group *
Construction Trades Workers
Occupation Unit *
Plumbers
Occupation
Gasfitter 334114
Summary advice for 2015-16 SOL *
Include
Item 20
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Occupation Group *
Electrotechnology and Telecommunications Trades Workers
Occupation Unit *
Electricians
Occupation
Electrician (General) 341111
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 21
Occupation Group *
Electrotechnology and Telecommunications Trades Workers
Occupation Unit *
Electricians
Occupation
Electrician (Special Class) 341112
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 22
Occupation Group *
Electrotechnology and Telecommunications Trades Workers
Occupation Unit *
Airconditioning and Refrigeration Mechanics
Occupation
Airconditioning and Refrigeration Mechanic 342111
Page 10 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 23
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Sheetmetal Trades Workers
Occupation
Sheetmetal Trades Worker 322211
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 24
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Structural Steel and Welding Trades Workers
Occupation
Metal Fabricator 322311
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 25
Page 11 of 21
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Structural Steel and Welding Trades Workers
Occupation
Pressure Welder 322312
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 26
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Structural Steel and Welding Trades Workers
Occupation
Welder (First Class) (Aus) 322313
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 27
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Aircraft Maintenance Engineers
Occupation
Aircraft Maintenance Engineer (Avionics) 323111
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Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 28
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Metal Fitters and Machinists
Occupation
Fitter (General) 323211
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 29
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Metal Fitters and Machinists
Occupation
Fitter and Turner 323212
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 30
Page 13 of 21
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Metal Fitters and Machinists
Occupation
Fitter-Welder 323213
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 31
Occupation Group *
Automotive and Engineering Trades Workers
Occupation Unit *
Metal Fitters and Machinists
Occupation
Metal Machinist (First Class) 323214
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 32
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Chemical and Materials Engineers
Occupation
Chemical Engineer 233111
Page 14 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 33
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Chemical and Materials Engineers
Occupation
Materials Engineer 233112
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 34
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Civil Engineering Professionals
Occupation
Civil Engineer 233211
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 35
Page 15 of 21
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Civil Engineering Professionals
Occupation
Structural Engineer 233214
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 36
Occupation Group *
Design, Engineering, Science and Transport Professionals
Occupation Unit *
Civil Engineering Professionals
Occupation
Transport Engineer 233215
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Item 37
Occupation Group *
Specialist Managers
Occupation Unit *
Construction Managers
Occupation
Project Builder 133112
Page 16 of 21
Summary advice for 2015-16 SOL *
Include
Exclude
Neutral
Are there any occupations that you represent where there is evidence of imbalances
in the demand for and supply of skills in the medium-to-long term? *
Construction: all construction trades and construction-related engineering occupations should
remain on the Skilled Occupation List.
After a lengthy period of lower activity levels in 2012-13, activity in housing and commercial
construction has been expanding In 2014 and is expected to continue to expand in 2015, as the
construction cycle swings up again.
Mining related engineering construction activity has declined in 2014 as several large projects
reach completion in WA and Qld, freeing up some construction workers for other projects.
Residential and commercial construction is, however, far more labour-intensive than engineering
construction and is spread more evenly across the Australian states and regions. Pockets of skill
shortage are expected to grow rapidly in some selected locations, particularly in and around
Sydney, which is already experiencing heightened building activity in 2014.
Ai Group receives regular updates on skills shortages and labour hire difficulties in the
construction sector through our half-yearly Construction Outlook survey. During the six months to
September 2014, close to half (45.7%) of commercial construction businesses reported major or
moderate difficulty in the recruitment of skilled labour. This was a lower proportion than six
months ago (58.1%) but still represents a large portion of the industry. The sourcing of subcontractors was also an important supply constraint in the six months to September 2014, with
34.3% citing major or moderate difficulty in hiring sub-contractors (compared to 38.7% six
months ago).
Source: http://www.aigroup.com.au/portal/site/aig/constructionoutlook
Each month, Ai Group conducts performance surveys for the manufacturing, services and
construction sectors (the Australian PMI®, PSI® and PCI®). The Australian PCI® has indicated
expansion in total construction industry activity since June 2014, mainly due to a pick-up in
residential construction. Increases in residential and commercial construction forward orders in
the Australian PCI® are expected to underpin stronger labour demand in the building industry in
2015, despite ongoing decline in mining related engineering construction activity.
Source: http://www.aigroup.com.au/economicindicators
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Manufacturing: the department may wish to consider conducting further research into long-term
future demand for automotive trades and automotive engineering occupations, for the purposes
of the Skilled Occupation List. All other manufacturing-related occupations should remain on the
Skilled Occupation List.
In aggregate, the Australian PMI® has indicated slower wage growth and weak or contracting
labour demand since at least early 2013, reflecting weak labour demand in some parts of
manufacturing, as well as lower background inflation.
There is considerable restructuring going on at present within manufacturing that is causing
some sectors to decline, while others are growing.
In metal products, automotive production and related machinery and equipment manufacturing, a
pattern of contraction has been evident over the past three years, with reductions in output,
sales, investment and demand for skilled labour.
This weaker demand trend is likely to continue over the medium term, with the automotive
production sector expected to be heavily affected by the scheduled closure of Australian
passenger car assembly from 2017, combined with the effects of the higher Australian dollar,
plus changes in global supply patterns for automotive parts and assembly. The special and
unique conditions that now affect the outlook for automotive production in Australia are
discussed in more detail at question 6 below.
Outside the automotive supply chain, labour demand remains robust in other manufacturing
sectors. Sustained growth is evident in the production of food, beverages, pharmaceuticals,
medical appliances, cosmetics, toiletries, healthcare products and specialist machinery and
equipment manufacturing (e.g. those with specialist mining or hydrology applications). These
sectors are experiencing steady growth and are increasing their demand for skilled workers in
chemistry, engineering, IT, production, marketing and related occupations. Demand remains
solid for industrial, chemical and production engineers with experience or skills for these
industries, or for engineers who are willing to move into these indsutries.
Source: http://www.aigroup.com.au/economicindicators
Is there evidence of imbalances in the demand for and supply of skills in the
medium-to-long term in non-metropolitan areas?
If so, can you indicate in what part of Australia and the number in the occupation in over or undersupply.
Ai Group has received anecdotal evidence that demand for skilled trades has declined in some
regional areas that host large-scale mining related engineering construction activity (e.g.
northern WA) and/or the automotive manufacturing industry (e.g. North Adelaide and Geelong).
Page 18 of 21
In contrast, demand for construction trades is strengthening in areas that are experiencing a
strong pick-up residential building activity, primarily in and around Sydney.
Are there any occupations which require formal licensing or registration
arrangements in order to practice/perform in this occupation?
For example:
• Midwives are required to register with the nurses board in their state or territory
• Panelbeaters are required to be registered or certified with the state Motor Vehicle Repair
Industry Authority
A number of the trade occupations listed above require formal licensing or registration.
Is it expected that your employment sector will be impacted by any medium-to-long
term trends which will impact upon demand and/or supply (excluding costs
associated with training, labour hire, and international sponsorship)?
Please provide evidence (e.g. data source, policy document) which substantiates
these claims.
For example:
• New benchmarks for childcare centres mandate increased staff-to-child ratios and higher
qualification standards for childcare workers.
Since the SOL was last reviewed in 2014, the three international companies that assemble
passenger cars in Australia - GMH Holden, Ford and Toyota - have all confirmed that they will
cease to assemble cars in Australia by, or before, 2017. This decision will have a dire impact on
the Australian automotive manufacturing industry over the next few years.
The Productivity Commission estimates that up to 40,000 people will lose their jobs as a result of
the closure of the major car assembly plants, including all production workers in the assembly
plants plus many more in the automotive parts businesses that form their local supply chain.
Based on our close and detailed knowledge of this industry, Ai Group and the FAPM believe that
a total of at least 50,000 jobs will be lost as a direct result of the end of automotive assembly. A
study conducted in 2013 by the National Institute for Economic and Industry Research (NIEIR) of
Adelaide estimated that the end of Australian automotive assembly will result in a total 200,000
fall in national employment, due to large flow-on effects to other sectors and industries including
other manufacturing sectors, engineering services, professional services and localised
Page 19 of 21
education, health and consumer services (that is, when second-round or subsequent demand
effects are added to the direct employment losses).
All of these sources agree that the majority of automotive job losses will occur in Victoria and
South Australia, with especially heavy losses for workers living in and around Geelong,
Broadmeadows, Dandenong, North Adelaide and Elizabeth.
Other segments of transport manufacturing and assembly are expected to be largely unaffected
by this event, including trains, buses, trucks, caravans, trailers and campervans. These relatively
smaller segments of transport manufacturing (compared to automotive) are growing at a slow but
steady rate. They will continue to require specialist mechanics and engineers for their production
facilities.
Please provide any other information you consider relevant evidence to support your
submission
For example, you may know of some independent studies about your occupation that supports
your advice to us.
The Housing Industry Association (HIA) forecasts that Australia will need to build an average of
around 186,000 dwellings per year (compared to 182,000 over the year to June 2014) between
now and 2050, based on current ABS scenarios for medium population growth projections and
real income growth rates. This very strong underlying demand for housing is due to ongoing
population and incomes growth, combined with pent-up demand for new housing in some
locations. This upward pressure is part of a well-documented and fairly predictable long-term
demand cycle in the Australian housing market. It will continue to drive demand for skilled labour
In the residential construction industry in the medium to long term.
Would you like to make any additional comments on the SOL?
The special conditions affecting the Australian automotive assembly industry over the next few
years may require additional investigation by the department, for the purposes of the Skilled
Occupation List. The department should closely examine all available evidence for future
demand for these occupations before it makes any recommendations, so as to ensure there are
no adverse consequences for other Australian industries that will require automotive-related
skills or experience (e.g. in automotive parts manufacturing or in the manufacture and assembly
of other transport equipment such as trucks, buses and trains).
Page 20 of 21
Please provide the name, position and contact details of a person within your
organisation who is willing to be contacted if any further information or follow-up is
required.
Name *
Megan Lilly
Position *
Director, Education and Training Policy
Contact details *
T: (03) 9867 0163
M: 0418 102 119
E: [email protected]
All information, including name and address details, contained in submissions will be made
available to the public on the Department of Industry website unless you indicate that you would like
all or part of your submission to remain in confidence. Automatically generated confidentiality
statements in emails do not suffice for this purpose. Respondents who would like all or part of their
submission to remain in confidence should provide this information in an email to SOL@industry.
gov.au . Legal requirements, such as those imposed by the Freedom of Information Act 1982, may
affect the confidentiality of your submission.
Page 21 of 21