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Ageing Workforce

in
Local Government
Tony Goode LGAQ
Local government HR Conference
2020
Central Queensland Regional Council
Staff 2020
Ageing Workforce
Is there a problem?

Is there a problem for local government?

Is there anything that can be done?


Council
Industry
Government

Seriously will it be done?


Is there a problem?
2015 Intergeneration Report

> Working age to double 2054-55

Fertility statistic 1.9 birth per woman

Possible increase migration

Working age people to support >65 decline to 2.7 (annually 5)

Labour market entry / exit Ration goes negative 2017?


Implications

Governments spend more per capita on older people


People are living longer
The older a person, the more a government spends.
People choose to retire depending on their
circumstances
Older people are staying in workforce longer
Australia does not have a high older worker
participation rate compared to other OECD countries
Problems
Yes for State and Federal Government

For local government


Aged care
Income Expenditure
Community services libraries
Voting power
Local Government Services
Services

Size and Structure Workforce

Skillsets / Skill Gaps

Solution
Research project
Local Government Workforce
Worker Reaching Retirement Age (65 +)

Victoria 38.8%
South Austr. 36.6%
Tasmania 36.6%
NSW 36%
WA 35%
Queensland 33.2%
NT 25%
What is Older Worker?
What is older worker?

AHRI Pulse survey -

Used to be 50

32% (61-65) 25 % (56-60) 17% (<55)

Reluctant to recruit age (60 +)


Across the Nation
State % Age 15- % Age 30- % Age 50- % Age 70-
29 49 69 89
Victoria 13.4 46.1 38.8 1.7
SA 14.8 48.1 36.6 .5
Tasmania 14.9 47.9 36.6 .6
NSW 14.6 48.9 36 .5
WA 19.3 45.1 35 .6
Queenslan 17.8 48.6 33.2 .4
d
NT 25.1 48.8 25 1.1
Across the Nation
Similarities

Biggest cohort 30-49

Next 50-69

Younger cohort (< 25)

Less than aged cohort (60 +)


Differences
Northern Territory Large youthful cohort

General variation

Victoria lowest youth cohort largest older working


cohort
Differences Gender
NSW men dominate all ages

VIC - women

QLD equal to 35+ - than men

SA equal to 40 than men

WA Women to 45 than men

NT - Men
Analysis
Nature of community

Nature of work

Evolution of sector
Is There a Problem for Local
Government?
Our workforce age is above labour market average

Critical timing 15 20 years

Youth cohort lower than exiting cohort

Actual number of workers is static

Local government a good employer not preferred employer


CEDA 2015 Australias Future
Workforce
40% Jobs redundant in 10-15 years
Older Worker
AHRI
If you want a reliable, loyal, committed, aware
employee who always turns up for work hire an older
worker

If you want a creative, energetic, fit, ambitious and


adaptable employee who embraces technology do
not hire an older worker

If you want a high performing, focussed employee who


is able to cope with stress hire anybody
Conclusions
Is Northern Territory ahead of the game?

Is local government in fact leading the way with


experience pays?

Is the pending exodus an opportunity?

Are transition to retirement strategies counter-


productive?
Skills Shortage
Competitive for new skills / old skills

What to do with redundant skills

Solution
Know your current workforce
Know your future workforce
Plan succession
Knowledge Loss
Reliance on tacit knowledge

75% Australian HR professionals never pursue


knowledge transfer

Solution
Know essential knowledge
Plan succession
HR Skills
Future-proofing a council

Who possesses this skillset?

Solution
Local government associations to develop strategy
WH&S
Older workers less injuries longer recovery

Risk assessment not age related

Solution
Introduce intergenerational aspects into risk management
Intergenerational Conflict
Good luck!

Diversity Management
Unconscious bias training
Summary
Is there a problem?

Evidence suggests a threat that needs to be explored


exists.
At a Council Level
Workforce planning is essential
Focus on succession planning
Focus on essential knowledge training??

N.B: Transfer to retirement should be the means to


this end not end in itself

Ageing population and local government


implications for services and workforces
Industry Level
Future-proofing local government building
capability

Scenario development

Workforce information / benchmarking

Lobbying State and Federal Government


Government Level
Funding apprentices / trainees

Funding workforce development

Targeted skilled migration


Challenge
s

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