Summary of actions
Our role as a Regional Skills Leadership Group (RSLG) is to develop a picture of Otago’s labour market aspirations, research and analyse, and then coordinate and facilitate action in the region to help us achieve our aspirations.
On this page
In this first iteration of our Regional Workforce Plan (RWP) we have analysed Otago’s key workforce challenges and opportunities, with a focus on the Construction, Accommodation & Food Services, Healthcare & Social Assistance and Food and Fibre sectors.
The actions we have subsequently identified have been developed following extensive stakeholder and partner feedback on this analysis. While these actions still require further detailed planning and implementation design to identify the delivery partners, targeted activities, initiatives, and the investment required to bring them to life, we are confident that once implemented, they will support the region to achieve milestone steps in improving labour market outcomes for Otago.
Otago faces a significant skill shortage
What does our analysis tell us?
Labour and skill shortages are apparent across all of our focus sectors and in all sub-regions of Otago.
Our ageing population is a significant contributing factor. This is a trend being experienced across much of New Zealand and means that competing with other regions or sectors for workforce is likely to be a costly, zero-sum activity.
While in the past the region has relied on immigration to fill seasonal shortages, the Immigration Rebalance means that policy settings for employing migrant labour are less permissive than previously, a factor that is proving challenging for our businesses.
However, innovative solutions and gains in regional productivity can be employed to combat skill shortages in our region. Our actions in this work area will be centred around the support of existing initiatives that enhance productivity across Otago and supporting the investigation of new initiatives.
Action
Otago RSLG to lead
The Otago RSLG will lead a feasibility analysis for a potential regional solution that looks to mitigate skills shortages. The solution could leverage seasonality, explore labour sharing options, and potentially address underemployment. This response may lead to the formation of a separate entity that mitigates risk for employers and employees, or a platform that links up existing activity. It could also act as a conduit for regional connectivity. Our engagement suggests that there is wide-ranging enthusiasm for this project.
Aspiration
- Whole of region coordination
- Building capability across the labour market
- Quality (and equality) of life
Action
Otago RSLG to collaborate
The Otago RSLG will collaborate with regional economic development agencies and their initiatives to assist with the development of recruitment solutions, seasonal workforce attraction and labour market forecasts relating regional workforce needs.
Aspiration
- Whole of region coordination
- Building capability across the labour market
Action
Otago RSLG to lead
The Otago RSLG will continue to advocate for Otago, our businesses, and our workers in our engagement with central government policy teams on relevant labour market issues, for example, immigration settings, secondary tax, etc.
Aspiration
Building capability across the labour market
Pathways into, and through, employment are unclear
What does our analysis tell us?
Entry points to, and pathways through, employment are not always clear to workers or prospective workforce participants.
This is a perennial issue that was again highlighted in recent Otago RSLG engagement. We were told that careers guidance provision is fragmented and often not aligned with learner needs, and as such prospective employees and their whānau were not fully aware of the differing opportunities offered by different sectors.
Action
Otago RSLG to recommend
The Otago RSLG will work with system providers to work toward ensuring that careers guidance in our region is up-to-date and relevant for Otago students, to support better ways of meeting future skills and workforce needs in our region.
Aspiration
- Transformational change in education
- Building capability across the labour market
Action
Otago RSLG to collaborate
The Otago RSLG will collaborate with regional initiatives that address clarity of pathways into, and through, employment such as Workforce Central Dunedin, the Central Otago Secondary Pathways Working Group, Education to Employment, Youth Employment Success, Mayors Taskforce for Jobs, and the BCITO Otago regional construction pathways initiative.
Aspiration
- Transformational change in education
- Building capability across the labour market
There is a misalignment of education and industry training requirements
What does our analysis tell us?
Formal education and industry training requirements are not aligned. Our stakeholders and partners informed us that current provisions are not suitable for leaners or employers and that critical, transferrable skills are not apparent in school leavers or new workers.
This has also been a long-standing complaint, particularly from SMEs that require an experienced workforce to reduce the significant marginal costs of induction. There is a labour market inefficiency in this misalignment, exacerbated by our extremely tight labour market.
Action
Otago RSLG to recommend
The Otago RSLG will provide region centric recommendations to vocational education system entities such as Workforce Development Councils, Tertiary Education Commission (TEC), Te Pūkenga and other regional providers.
Aspiration
Transformational change in education
- Building capability across the labour market
- Quality (and equality) of life
Action
Otago RSLG to collaborate
The Otago RSLG will collaborate with initiatives that seek to innovate regional education and training provision. Current initiatives include the Central Otago Secondary Pathways Working Group and BCITO Otago regional construction pathways initiative.
Aspiration
- Transformational change in education
- Building capability across the labour market
- Quality (and equality) of life
Action
Otago RSLG to collaborate
The Otago RSLG will engage with the Construction and Food and Fibre Centres of Vocational Excellence (CoVEs), seeking initiatives that reflect Otago’s needs.
Aspiration
- Transformational change in education
- Building capability across the labour market
- Quality (and equality) of life
Otago needs to be better prepared for changing technologies
What does our analysis tell us?
The influence of technological change on work is increasing, and most, if not all, Otago workforces are ill-prepared to transition to the future of work. This is especially evident in the Construction, Healthcare and Social Assistance and Food and Fibre sectors.
Digital connectivity is as vital for our region as physical connectivity will play an increasingly important role in our future. The Otago RSLG has heard from its stakeholders and partners that improved broadband infrastructure right across the region is a priority – this will enable us to better take advantage of the productivity gains offered by emerging technologies.
Action
Otago RSLG to collaborate
Otago RSLG will collaborate with education providers, Ministry of Education (MoE), TEC and the Workforce Development Councils to ensure capability upskill in this area is a priority in learning provision.
Aspiration
- Transformational change in education
- Building capability across the labour market
- Quality (and equality) of life
Action
Otago RSLG to collaborate
The Otago RSLG will collaborate with subregional and sector-based groups that aim to better equip the Otago workforce for technological change, such as the Dunedin Centre of Digital Excellence (CODE), the Southland and Otago Regional Engineering Collective (SOREC), the Queenstown Research and Innovation Hub and the Whakatipu Hangarau Trust.
Aspiration
- Transformational change in education
- Building capability across the labour market
Action
Otago RSLG to recommend
The Otago RSLG will recommend that more equitable digital access be provided to enable our region to better take advantage of the productivity gains offered by emerging technologies.
Aspiration
- Transformational change in education
- Building capability across the labour market
Working conditions remain unfavourable for some
Our stakeholder and partner engagement informed us that workers in our labour market want quality, secure work that benefits their whānau and communities.
While the current labour environment has seen wages rise, we have heard that working conditions continue to be persistently unfavourable in some sectors. Workers told us that employers in these sectors have often relied on migrant workers who are more prepared to take low-quality, low-wage jobs, instead of investing in creating secure work environments that encourage worker retention.
During stakeholder and partner consultation, health, safety and wellbeing was also identified as an area of ongoing concern that offers opportunity for improvement.
Action
Otago RSLG to collaborate
The Otago RSLG will collaborate with Unions Otago to work toward increasing awareness of the role of the Labour Inspectorate in ensuring workplaces in our region continue to be safe and compliant.
Aspiration
- Building capability across the labour market
- Quality (and equality) of life
Action
Otago RSLG to recommend
The Otago RSLG will advocate for secure employment and safer workplaces in our engagement with central Government policy teams on relevant issues.
Aspiration
- Building capability across the labour market
- Quality (and equality) of life