House debates

Wednesday, 10 May 2023

Bills

Jobs and Skills Australia Amendment Bill 2023; Second Reading

5:57 pm

Photo of Jerome LaxaleJerome Laxale (Bennelong, Australian Labor Party) Share this | Hansard source

The Jobs and Skills Australia Amendment Bill 2023 represents an important step towards ensuring that the Australian workforce remains competitive, adaptable and resilient in a rapidly changing economy. Aussie workers are the backbone of our economy and prosperity. Without the hard work and dedication of our labour force, we would not have the thriving economy and fair social security system we have, nor would we have the vibrant communities that we all enjoy today. Just a few years ago, during the height of the COVID-19 pandemic, it was our frontline workers, including healthcare workers, essential service providers and emergency responders, who kept our country running. They did not have the opportunity or benefits of working from home and put themselves at risk to keep us safe, healthy and resilient. We should always support those who support us. Of course, our modern, vibrant and diverse economy has also been built on the back of new migrants—those like my parents and my grandparents—who chose Australia as a place to live and raise their family, a place where their aspirations could be fulfilled. The Australian economic miracle, our modern country as we know it, was built on the hard work of new migrant workers, just like my parents. They worked so hard and strived to create a better life for themselves, their families and their communities.

My dad worked two jobs to provide for his family. He had his day job as a butcher and a salesperson, and then at night he'd go clean banks—he was cleaning local banks—all to save up money to pay his mortgage and then to start his own small business. So I'm proud to be part of a government that not only recognises the importance of workers but cares deeply about them, a government that works tirelessly to deliver robust policy for them. This government places workers at the heart of our policies. It's why we are committed to ensuring that every Australian has access to the opportunities they need to fulfil their ambition.

Post pandemic, it's well known that we're in the midst of a once-in-a-generation skills crisis. This bill is about taking urgent action to address that and to put in place long-term solutions to build the skilled workforce that Australia needs to continue to grow and to continue to be prosperous. We have the second-highest labour supply shortages across all OECD countries. This is a staggering statistic that demands our attention. In fact, a shocking three million Australians lack the fundamental skills required to participate in training and secure work. Across critical industries, our country is experiencing crippling skill shortages, driven by lack of skills training for workers. And, as we move into the future, it's estimated that nine out of every 10 new jobs will require some form of tertiary education.

As of December last year, employers reported that, on average, around 65 per cent of recruiting employers were experiencing difficulty in hiring staff. In my electorate of Bennelong I have met with many, many business owners, especially small business owners, who are being deeply affected by the difficulty they're experiencing in recruiting skilled staff. Locally, our skills shortage is not just restricted to one industry; be they hospitality workers, tradies, builders, data analysts, lab technicians, researchers, lecturers or coders, and of course teachers and nurses, all are in short supply. Small businesses in my electorate have had to close temporarily due to a lack of staff, and we know that many businesses who want to grow simply cannot attract enough staff to address that aspiration. During the pandemic a large proportion of temporary migrant workers returned to their countries of origin, leaving huge gaps in skilled workers in their industries. And the skills that our workers and jobseekers currently hold do not line up with the skills we need to fill this gap in our workforce.

While this skills crisis has been exacerbated by the pandemic and the resulting reduction in migration of workers into Australia, it's a crisis that has been made considerably worse due to the 10 years of negligence and noninterest of the previous government. This is why we need a government now that will take decisive action to address the skills crisis in Australia, and it's why this government acted quickly to introduce and implement Jobs and Skills Australia. Last year, of course, Jobs and Skills Australia was established as an interim body with a statutory office holder and core functions that enabled them to begin their essential work immediately. Since November they've been providing independent advice on a range of current, emerging and future workforce skills and training issues. Through its partnership with key stakeholders, Jobs and Skills Australia has initiated a foundation skills study and embarked on its first capacity study, focused on the clean energy industry—one that we know is ripe with jobs.

While the interim body got on with their work, this government got to work engaging with organisations, such as state and territory governments; of course, business and industry leaders; unions; and education and training providers to develop the next step for this bill. Through the Jobs and Skills Summit, the Senate committee inquiry and discussion papers seeking public comment and bilateral targeted engagement, the government has developed the amendment bill which we're debating today to establish the ongoing governance, structure and critical functions of Jobs and Skills Australia and to ensure that it will truly meet the needs of Australia's workforce in the future. These actions underscore our dedication to tackling the skills crisis in this country and to cultivating a proficient workforce for the future. That's why we're now taking steps to secure and embed the future of Jobs and Skills Australia as an organisation that will provide security and opportunity to our workforce.

This amendment bill will establish Jobs and Skills Australia, not as an interim body but as a permanent body, and ensure its full range of functions and governance arrangements are in place. This bill will make a real difference in the lives of many Australians. And it's not just about creating jobs: it's also about identifying labour market imbalances, creating a base of evidence and analysing the needs and abilities of our workforce. It's about supporting decision-making regarding our regional areas and our migration program. And it's about ensuring that everyone has access to opportunities for employment and higher education.

This amendment will provide support not only to the whole workforce but especially to those that have faced continued disadvantage within the labour market: women, people aged over 55, those with a disability, the young, unpaid carers and First Nations Australians will all benefit directly from a permanent and established Jobs and Skills Australia. They will receive the support they need to improve their employment prospects and pursue higher education, helping to level the playing field and ensure that everyone has a fair go.

In establishing Jobs and Skills Australia we are committed to providing a national study on adult literacy, numeracy and digital skills in order to shape this future education program. The study will provide up-to-date evidence of the skills and will be the most comprehensive study undertaken by the government. We've already committed to providing 180,000 fee-free TAFE places in 2023 for the areas with the highest skills need. These costs will be shared amongst all states and territories. We're also actively working to create a new five-year National Skills Agreement with the states and territories as well, one that will align with the ideals of skills ministers and those endorsed by National Cabinet in 2022. Lastly, we'll be undertaking a clean energy capacity study to gather information to benefit the clean energy sector and to develop the government's Powering Australia plan.

This amendment bill is important and it's robust because we have consulted broadly in creating the amendments in this bill. We've collaborated with other state and territory governments, business, unions and education providers to get this right. We know their knowledge of the labour market and their skills shortages, and we've ensured the bill will be able to address many of these issues after 10 years of neglect.

Last year, I held a local jobs and skills round table in Bennelong, gathering local business leaders together to discuss their concerns, hopes and goals for what a new government could achieve. The feedback received through that, broadly at our national Jobs and Skills Summit but also at local events like ours, has been invaluable. It not only has informed the development of this legislation but also has informed and will continue to inform the engagement and operational elements of Jobs and Skills Australia.

After discussing all this, all the benefits of this important plan to address our skills shortage, I just find it extraordinary that those opposite—I've been listening to it throughout the day in dribs and drabs—continue to oppose this government's efforts to solve our skills shortage crisis. Jobs and Skills Australia will be good for workers, it'll be good for manufacturers and it'll be good for our service economy. It'll be good for the high streets, the town centres and the economic powerhouses, like Macquarie Park in my electorate of Bennelong. It will help businesses big and small, new and old, and it'll provide leadership and solutions that businesses have been crying out for. Yet those opposite, the so-called party of business, the corporate charlatans over there, are—yet again—opposing another bill to address a skills crisis. They're opposing the Voice when more and more businesses are supporting it. They're opposing action on climate change when more and more businesses are supporting it. They're waging culture wars when businesses are working with their employees to be more inclusive and caring, and now they're again opposing this. At least they're consistent! But please never say again that they're the party for business.

The bill requires Jobs and Skills Australia to consult with the ministerial advisory board in order to ensure the bill addresses workforce shortages and builds long-term capacity in priority sectors. Moreover, we will equally seek to ensure that industry and education providers and union voices are a feature of Jobs and Skills Australia's governance. They'll bring deep insights and observations which will ensure Jobs and Skills Australia's work is fit for purpose, is relevant and has an economy-wide focus.

With 63 per cent of all people in Bennelong in the workforce, 58 per cent of those working full time, I know that this bill, if passed, will be greatly beneficial to workers in Bennelong. It will provide much-needed support to those working or looking for work by allowing better access to education and upskilling and will contribute to a stronger evidence base and more effective decision-making on workforce issues. This bill is about building a better future for all of us. It's about creating opportunities and ensuring that everyone has a fair go. I commend the bill to the House.

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