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Ageing Workforce in Local Government
Tony Goode – LGAQ
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Local government HR Conference 2020
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Central Queensland Regional Council Staff 2020
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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?
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Is there a problem? 2015 Intergeneration Report
> Working age to double 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?
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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
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Problems Yes for State and Federal Government For local government
Aged care Income Expenditure Community services – libraries Voting power
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Local Government Services
Size and Structure Workforce Skillsets / Skill Gaps Solution Research project
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Local Government Workforce
Worker Reaching Retirement Age (65 +) Victoria 38.8% South Austr. 36.6% Tasmania NSW 36% WA 35% Queensland 33.2% NT 25%
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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 +)
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Across the Nation State % Age 15-29 % Age 30-49 % Age 50-69
Victoria 13.4 46.1 38.8 1.7 SA 14.8 48.1 36.6 .5 Tasmania 14.9 47.9 .6 NSW 14.6 48.9 36 WA 19.3 45.1 35 Queensland 17.8 48.6 33.2 .4 NT 25.1 48.8 25 1.1
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Across the Nation Similarities Biggest cohort 30-49 Next 50-69
Younger cohort (< 25) Less than aged cohort (60 +)
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Differences Northern Territory – Large youthful cohort
General variation Victoria – lowest youth cohort – largest older working cohort
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Differences – Gender NSW – men dominate all ages VIC - women
QLD – equal to than men SA – equal to 40 – than men WA – Women to 45 – than men NT - Men
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Analysis Nature of community Nature of work Evolution of sector
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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
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CEDA 2015 Australia’s Future Workforce
40% Jobs redundant in years
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Older Worker AHRI
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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
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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?
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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
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Knowledge Loss Reliance on tacit knowledge
75% Australian HR professionals never pursue knowledge transfer Solution Know essential knowledge Plan succession
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HR Skills Future-proofing a council Who possesses this skillset?
Solution Local government associations to develop strategy
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WH&S Older workers less injuries – longer recovery
Risk assessment not age related Solution Introduce intergenerational aspects into risk management
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Intergenerational Conflict
Good luck! Diversity Management Unconscious bias training
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Summary Is there a problem?
Evidence suggests a threat that needs to be explored exists.
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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
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Industry Level Future-proofing local government – building capability
Scenario development Workforce information / benchmarking Lobbying State and Federal Government
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Government Level Funding apprentices / trainees
Funding workforce development Targeted skilled migration
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Challenges
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