Stitch-up alert! PM’s claim reported in @Australian that current #JobSeeker rate is barrier to biz hiring is based on dodgy data. Govt were pre-empting yesterday's release of employer survey data from National Skills Commission. What does this data actually show? {THREAD} 1)
NSC surveyed 2324 employers 25 May-mid-June. Far from showing generalised unmet labour shortages only 555 emplyrs (25%) were recruiting additional staff (the rest were not). Of these firms 166 (30%) said they were experiencing "or expected to have" difficulty filing vacancies 2)
Only 73 firms experiencing hiring difficulty said they didnt have enough applicants. 73 self-defined shortages is hardly a measure of labour demand across the economy. In fact, more firms said applicants lacked the required technical skills or experience (47% or 78 firms). 3)
This data confirms existence of technical & trades skills shortages we had PRE-crisis (largely from failed VET privatisation policies damaging skills pipeline). Insufficient technical skills is a public problem with a public investment solution: TAFE & unis need urgent repair. 4)
Critically, employer self-reported labour shortage data cannot guide our public policy. After several yrs of excess labour supply in overall economy, most employers have become accustomed to being readily able to recruit from a pool of unemployed or underemployed workers. 5)
Employers experience any diminishment in that pool of available labour, including applicants for crap jobs or those with workforce-ready skills as a “shortage.” So-called shortages also arise when employers cant recruit staff at a given level of pay and conditions. 6)
According to their own highly-touted market mechanisms, employers could simply lift wages on offer to recruit additional workers right? Of course this mechanism doesnt really exist. Employers have supreme labour market power & resist lifting wage offers. Govt facilitates them! 7)
Employer-reported labour shortages should NEVER be interpreted as an indication labour is scarce. Certainly, millions of underutulised workers, including university-educated graduates ready & prepared to work in Aus confirms this. 8)
We should expect more of these sorts of attacks & data misuse from govt & big biz seeking to undermine case for permanent increase to unemployment benefits, as well as strong case for lifting wages & conditions of millions of casual & insecure workers. {END}
