Food and beverage workforce study, May 2013

208 Pages·2013·2.36 MB·English

Food and beverage
workforce study
October 2013
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Food and beverage
workforce study
October 2013
ISBN: 978 -1-922125 -21-7 [Print]
ISBN: 978 -1-922125 -22-4 [Online]
© Commonwealth of Australia 2013
This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part
may be reproduced by any process without prior written permission from the Commonwealth.
Requests and inquiries concerning reproduction and rights should be addressed to the
Department of Industry, GPO Box 9839, Canberra ACT 2601.
Disclaimer: The material contained in this paper has been developed by the Australian
Workforce and Productivity Agency.
The views and recommendations do not necessarily reflect the views of the Australian
Government, or indicate its commitment to a particular course of action.
The Australian Government and the Australian Workforce and Productivity Agency do not
guarantee or accept any legal liability or responsibility for the accuracy, completeness, or
usefulness of any information disclosed.
The Australia Government recommends that users exercise their own skill and care with
respect to their use of this paper and that users carefully evaluate the accuracy, completeness
and relevance of the material in the paper for their purposes and where necessary obtain any
appropriate professional advice relevant to their particular circumstances.
The paper can be accessed at www.awpa.gov.au.
Let ter to the Minister
Dear Minister
On behalf of the Australian Workforce and Productivity Agency (AWPA), I am pleased to
present our Food and beverage workforce study. This report is part of AWPA’s work to ensure
that Australia has the workforce it needs for the future.
Australia’s food and beverage industry, encompassing agricultural production and food and
beverage processing, employs more than half a million Australians and accounts for around
four per cent of the nation’s gross domestic product. The industry also contributes significantly
to Australia’s export income and rivals the metals and machinery and equipment sectors as the
largest contributor to manufacturing output.
The industry’s future depends in no small part on successfully selling to new customers in
rapidly growing Asian markets. Australia is just one of many nations doing business in Asia and
international competition for emerging food markets is fierce. If the Australian food industry
is to reach the full potential for its success in these markets it needs a workforce with the
skills, knowledge and capabilities to take advantage of the opportunities. Those skills include a
higher level of training for advancing production techniques, and also a higher level of skills in
leadership, management, mentoring, risk management and the ability to translate research and
development into successful new products.
Today, the food and beverage workforce has a low skills base compared with the average
across all industries. A key challenge is to retain critical skills, to develop new skills to keep
pace with technology, and to promote a culture of structured training and lifelong learning in the
industry.
Our report reflects close and useful consultation with representatives from industry,
universities, vocational education and training bodies, unions and the industry skills council.
I am grateful to the many stakeholders who invested their time and effort in this project and
provided insights throughout the process. In particular, I would like to thank AWPA board
member Dr John Edwards, who chaired the food and beverage workforce study, and the
members of our reference group for their valuable assistance and guidance. I would also like to
acknowledge the staff of the AWPA Secretariat who undertook the analysis of industry issues,
stakeholder consultation, and the drafting of this report.
I am confident that this report and its recommendations will provide a useful set of actions to
take forward.
Yours sincerely
Philip Bullock
Chair
Australian Workforce and Productivity Agency
September 2013
Contents
List of figures 6
List of tables 7
Glossary and acronyms 9
Part One 12
Overview 13
Introduction 13
Challenges facing the industry 13
About this report 14
Summary of recommendations 16
What is the current situation? 21
Economic overview 21
Regional overview 32
Australia’s framework for skills and workforce development 40
Workforce overview 47
Supply of skills to the industry 56
Future outlook (medium and longer term) 73
Demand outlook for output, exports and employment 73
Supply and demand imbalances—occupational focus 84
Data limitations and implications 94
Implications for skills and workforce development 99
Factors impacting on demand for skills and labour 99
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Part Two 112
Attraction, retention, development and use of skilled workers 113
Introduction 113
A coordinated approach into the future 115
Attracting and retaining a skilled and capable workforce 117
Developing and using the skills of the existing workforce 125
Demonstrating the value of skills and workforce development
to employers 134
Ensuring industry-relevant, quality education and training 140
Increasing the diversity of the food workforce 145
Conclusion 151
Appendix A: Industry production and growth 153
Appendix B: Supply and demand data tables 167
Appendix C: Overview of food and beverage workforce initiatives 184
Appendix D: Reference group members 199
Bibliography 201
Food and beverage workforce study | Australian Workforce and Productivity Agency 5
List of figures
Figure 1 Value chain for food in Australia, 2011–12 22
Figure 2 Average annual productivity growth, by period 27
Figure 3 Gross value added per hour worked 30
Figure 4 Persons employed by state/territory in agriculture, and food and beverage
manufacturing 37
Figure 5 Median weekly earnings in main job (persons), for Agriculture, Forestry and
Fishing, Manufacturing, and All-Industries, August 2007 to August 2012
(latest available data) 49
Figure 6 Age distribution of workers (percentage terms) in food-related sectors and
all-industries, 2012 50
Figure 7 Agrifood Certificate II and III commencements 2007 to 2012 61
Figure 8 Undergraduate commencements and completions by field of education
and state, 2011 64
Figure 9 Total food-related field of education undergraduate and postgraduate
commencements, 2006–11 66
Figure 10 Australian agrifood production, 2007 and 2050 75
Figure 11 Australian agrifood exports, 2007 and 2050 76
Figure 12 Beef and veal production 153
Figure 13 Apparent meat consumption per person 156
Figure 14 Australian dairy exports 157
Figure 15 Australian wheat production 159
Figure 16 Australian coarse grain production 160
Figure 17 Seasonal pattern of net trade in fresh and processed horticulture products 162
Figure 18 Australian wheat-growing regions 165
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List of tables
Table 1 Average annual input, output and productivity growth by industry,
1977–78 to 2010–11 28
Table 2 Universities that offer Agriculture and Aquaculture degrees 43
Table 3 Universities that offer Food Science degrees 44
Table 4 Comparison of qualification profile for the Agriculture and Fishing sector
and all-industries, 2006 and 2011 (census data) 54
Table 5 Comparison of qualification profile for the Food and Beverage Manufacturing
sector and all-industries, 2006 and 2011 (census data) 55
Table 6 VET student commencements in food-related training packages 57
Table 7 VET student completions in food-related training packages 58
Table 8 Apprentice and trainee commencements in food-related training,
12 months ending September 59
Table 9 Apprentice and trainee completions in food-related training packages,
12 months ending September 60
Table 10 Occupation of VET students employed six months after training by field of
education, 2007 to 2012 62
Table 11 VET students in further study or work six months after training by
training package, 2012 63
Table 12 Higher education domestic commencements in fields of education directly
related to food, 2011 65
Table 13 Higher education domestic completions in fields of education directly related
to food, 2011 67
Table 14 Student outcomes, Agriculture bachelor degree graduates, 2012 68
Table 15 Replacement rates and projected total job openings to 2025 resulting from
replacement demand and employment growth 81
Table 16 Balance between supply and demand of new qualifications for key
occupations in 2025 82
Table 17 Key employment and skill shortage trends: Food workforce Manager and
Professional occupations 88
Table 18 Key employment and skill shortage trends: Food workforce Technician
and Trade occupations 91
Table 19 Top employing Labourer occupations: Agriculture and Fishing 92
Table 20 Top employing Labourer occupations: Food and Beverage Manufacturing 93
Table 21 VET student enrolments by training package, 2011, by state and remoteness 167
Table 22 Employment in the Agriculture and Fishing industry 168
Table 23 Employment in the Food and Beverage Manufacturing industry 169
Table 24 Occupational employment numbers, historical growth 170
Table 25 Percentage of part-time employed in food-related sectors in the Agriculture
and Fishing industry and percentage point change between 2007 and 2012 171
Table 26 Percentage of females in food-related sectors in the Agriculture and Fishing
industry and percentage point change between 2007 and 2012 172
Food and beverage workforce study | Australian Workforce and Productivity Agency 7
Table 27 Percentage of part-time employed in Food and Beverage Manufacturing
and percentage point change between 2007 and 2012 173
Table 28 Percentage of female employees in Food and Beverage Manufacturing
industry and percentage point change between 2007 and 2012 174
Table 29 Census 2011, qualification profile of top 30 employing occupations in the
Agriculture and Fishing sectors 175
Table 30 Census 2011, qualification profile of top 30 employing occupations in the
Food and Beverage Manufacturing sectors 176
Table 31 Employment projections for food-related sectors within the Agriculture,
Forestry and Fishing industry 177
Table 32 Employment projections for food-related sectors within the Manufacturing
industry 178
Table 33 Occupational employment projections 179
Table 34 Projected change in number employed by food-related sectors,
2011–2025, AWPA scenarios 181
Table 35 Projected change in number employed by food workforce occupations,
2011–2025, AWPA scenarios 183
8 Food and beverage workforce study | Australian Workforce and Productivity Agency
Glossar y and acronyms

457 Visa Section 457 of the Migration Act 1958 (Commonwealth)
ABARES Australian Bureau of Agricultural and Resource Economics and Sciences
ABS Australian Bureau of Statistics
AFGC Australian Food and Grocery Council
AFI Australian Farm Institute
agricultural Those industry subdivisions involved with direct production, including growing or
production
harvesting of food.
AgriFood Skills AgriFood Skills Australia is an Industry Skills Council. It covers the following five
Australia
main sectors:
 rural and related industries (including agriculture, horticulture, conservation and
land management, animal care and management)
 food, beverage and pharmaceutical processing
 meat
 seafood
 racing (greyhound, thoroughbred and harness).
ANZSCO Australian and New Zealand Standard Classification of Occupations
ANZSIC Australian and New Zealand Standard Industrial Classification
AQF Australian Qualifications Framework
attraction and Attraction —policies and practices of a workplace or sector that evoke interest or are
retention
attractive to potential employees.
Retention —policies and practices undertaken by the employer that increase the
attractiveness of a workplace resulting in fewer employees leaving the business
(lower turnover). Retention can also refer to strategies to retain workers within an
industry sector, region or supply chain.
AWPA Australian Workforce and Productivity Agency
commodity In line with ABARES publications, commodity refers to an agricultural product that
has been minimally or substantially transformed, such as refined sugar and meat.
CSOL Consolidated Skilled Occupation List
DAFF Department of Agriculture, Fisheries and Forestry
DEEWR Department of Education, Employment and Workplace Relations
DFAT Department of Foreign Affairs and Trade
DIISRTE Department of Industry, Innovation, Science, Research and Tertiary Education
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