House debates

Monday, 3 March 2014

Grievance Debate

Gilmore Electorate: Employment

Photo of Ann SudmalisAnn Sudmalis (Gilmore, Liberal Party) Share this | | Hansard source

Last Friday, 28 January, Gilmore was visited by the Assistant Minister for Employment, the Hon. Mr Luke Hartsuyker. In an area where our youth unemployment level is approximately 20 per cent higher than the national average and our overall unemployment is double, this was a timely visit.

The day began with a business breakfast, courtesy of one of our local business network groups. The group is a model for showing how to network, facilitate and make profits that sustain employment and generate income. There is no demand for government handouts here, just optimism and the ability to get on with the job, a focus on details, great professional standards—and let word-of-mouth advertising do the rest.

These businesses are enthusiastically waiting for the government to repeal the carbon tax, which is being prevented by the Senate. They know all too well the insidious and expensive effect this tax has had on their bottom line, reducing their potential to increase their employee numbers.

All business owners put forward comments and suggestions. One of the most important contributions was in regard to our local jobs expo. This expo has become an iconic event, showing our young people they can aspire to be more than a checkout chick or a builder's labourer. Past expos have been very successful, showing career paths that had not even been imagined let alone considered. It was explained that local families attend the jobs expo and they too begin to believe in possibilities for their children.

By 2030 the population of the Shoalhaven, which is more than half of Gilmore, is likely to have grown by 30,000 people. Local consulting groups and liaison personnel with council have emphasised that infrastructure development will be the catalyst for a more prosperous region. Based on these figures, the area would need about 26,000 new houses and 25,000 more jobs. If we get the planning right, the region will soar. There is so much potential. While the potential for the area is very bright, the current employment levels need work. And in the meantime there is a need for all our residents to feel they are part of the way forward. Most people want to contribute; often they just do not know how. Many in the community believe that participating in volunteering is a way to get valuable work experience in preparation for a job.

I quote from a young woman reported in our local paper. She believes 'a lot of the responsibility is with the jobseekers, that doing volunteer work to gain skills would help, and getting experience is the main thing'. We truly believe that all Australians can participate in work of some description, either for a wage or for their community. The concept of Work for the Dole was discussed with business leaders during the breakfast meeting, and at the Bay and Basin Community Resource Centre.

Work for the Dole in Gilmore was a very successful way to help jobseekers improve their employment prospects in practical ways, to help them gain the skills and experience they need to move from welfare to work. At the same time, participants made a positive contribution to our local community by working on local projects. The business leaders were very enthusiastic in their endorsement of the success of the previous programs.

We then went to the Bay and Basin Community Resource Centre, and the minister was given firsthand advice on how well the program had worked in many different villages, from Sanctuary Point right down to Ulladulla in the south. Programs included working with the Men's Sheds, local park care groups, home maintenance for the elderly, woodwork projects, training and participating in community radio, and learning to make toys which were later donated to charity groups for Christmas. The list of projects was so varied and effective.

Sue Clifton, Deb Taylor and Brad Slaughter, along with all the amazing staff and volunteers, helped 70 per cent of their Work for the Dole participants feel confident and secure enough to actually gain employment. Of course it was not easy. Many had not been working for some time and had trouble sticking to the daily schedule; but, as the participants settled into behaviour patterns, they developed a sense of achievement and an attitude of 'I can do this'; making toys, creating pathways in scrubby riverside vegetation and bike tracks for children or building games tables for older people living in aged-care residences.

Of course the other side of the employment problem is how to formally engage people in the process of applying for jobs, getting ready for interviews and being assisted wherever possible, either by personal mentoring or by employment and training incentives. The forum with the job providers was very informative, letting the minister know the problems that had been provided to me over the last five months. There are so many aspects to this area. It is a little like a minefield. But the experience and expertise contributed by the attendees was seriously fantastic.

We had job providers, job trainers, NEIS coordinators, school counsellors, Indigenous employment agencies, disability support agencies, mental health support personnel, partnership brokers and RTO representatives at the forum. The breadth of their insights enabled a frank and constructive discussion. Red tape in this area has become a nightmare. Providers are spending about 70 per cent of their time completing compliance paperwork, compared to about 40 per cent seven years ago, when, really, their time should be spent working with businesses to find jobs for their clients. There are discrepancies now for placements and subsidies from different providers, causing unnecessary competition and questions as to the effectiveness of the subsidies.

The apprenticeship wage structure introduced by the last government has had a significant impact on employment opportunities for the older apprentice. Bill Elliot—not his real name—told me his problem. He is 21 years old and he has been working in an electrical wholesale shop for just over a year. He decided to apply for an apprenticeship but the structure introduced by the last government has made him uncompetitive in the workplace. He is just as expensive to employ as a third-year electrical apprentice. There is absolutely no advantage to his employer to take him on, despite his extensive experience and a better work ethic than the average 16-year-old who applies for the same apprenticeship position. In fact, because he is an adult apprentice, he is now entitled to 80 per cent of a fully qualified electrician's wage. He is still not going to be employed, and we are still going to have a shortage in this area of need. He understands why the change took place; but, in the end, he will not get his apprenticeship. The problem for regional areas is made so much worse because of this ill-thought-out problem. It is a sad indictment of unintended consequences by policy development on the hop—badly thought out and badly implemented.

Many other red-tape issues were presented. If an apprentice needs to extend the time to complete, the small-business owner has to take on the paperwork responsibility. This is onerous and leads to loss of productivity. If there is a child support debt, the employer has to complete all the paperwork—hardly conducive to potential employment. Many employers do not require a subsidy to take on an employee; they just want someone who will do the job. Why do we need to wait until someone is unemployed for more than six months before they can be assisted to find work?

The whole balance of service provision, outcomes based payment and the way different service providers could work together needs a complete overhaul in making sure that the new funding model considers specialist job seekers and helps those with a mental illness and youths at risk. Trying to get people into work is often met with comments from employers such as: 'We can't hire one. There's just too much red tape to go with it. I don't hire people with disabilities.' This is despite the fact that one in five people actually do have a disability and are probably already employed. The truth is that very often a person with a disability has fewer sick days and is more reliable. As an employer in a family manufacturing business before politics, I can absolutely agree with this statement, having employed Christine, a profoundly deaf girl, for many years, and also Felicity—both were wonderful.

It is absolutely clear that the government has a mess to clean up. In terms of administrative processes and a reduction of business red-tape quicksand, such a clean-up can only be done by a government that actually knows the impact of policy change on business and the bottom line. This is so very important for business growth and stability, ultimately leading to employment opportunities.

In Gilmore it is critical that we retain the very successful local programs of training and youth initiatives with the Rural Fire Service, the State Emergency Service and surf lifesaving that have led to a more than 50 per cent increase in volunteer numbers and participation rates. We must work hard to keep the very successful Partnership Brokers Program, which has enabled disconnected youth to enter work and learn strategies that have led to employment positions. In Gilmore, we have extensive unemployment levels and a complexity of employment inhibitors. Successful programs such as these and the NEIS need to be retained. Without them and an effective and well-considered equivalent of a Work for the Dole strategy unemployment will only get worse.

Our local businesses, our Work for the Dole ready community groups and our job provider services all appreciated the chance to meet the Assistant Minister for Employment, Luke Hartsuyker, to communicate their views, to hear about developing policies and to put their suggestions forward. They addressed so many issues in Gilmore, including our dreadful regional unemployment levels. I thank all the participants for their considered, passionate responses in the forums and discussions.