Workforce polarisation in Tasmania – growth in the share of high and low skill jobs and the hollowing out of mid-skill jobs – is occurring due to economic restructuring and the shift away from traditional industries, according to a report released today by the University of Tasmania’s Institute for the Study for Social Change.
The report , by Research Fellow Dr Lisa Denny, explains the implications of economic restructuring and diversification in Tasmania’s workforce.
Dr Denny said while Tasmania’s economic performance is relatively strong, employment is growing and more people from interstate and beyond are relocating to the State, the changing nature of work and what this means for the future paints a complex picture.
“Economic restructuring is being driven by the quest for greater competitiveness and productivity in a global economy resulting in the Fourth Industrial Revolution – technological mega-trends, such as automation, robotics, artificial (AI) intelligence, and digital disruption,” Dr Denny said.
“These technological mega-trends are transforming the nature of work and careers and these changes are happening alongside a range of other economic, demographic and social shifts.
“A growing concern linked to this revolution is the polarisation of Tasmania’s workforce – a disproportionate growth in the share of high and low skill jobs and the hollowing out of mid-skill jobs.
“This declining proportion of the workforce requiring intermediate skills is particularly concerning for young Tasmanians about to enter the workforce.
“Economic restructuring in Tasmania is seeing some industries in decline while others, such as agriculture and manufacturing are investing in technology to improve productivity.
“At the same time, service industries; care, education, tourism, and health as well as construction are the major sources of employment growth.”
Dr Denny said an analysis of occupational skill distribution between 2006 and 2016 for Tasmania (pre and post the Global Financial Crisis) revealed evidence of heightened job polarisation over the decade.
“From 2006 to 2016, Tasmania’s already polarised workforce became more polarised, and despite the workforce expanding by around 11,000 new jobs, 684 were lost in the mid-skill level,” she said.
“Over the decade there was also a marked shift to less-than-full-time employment, particularly for Tasmanians in lower skill level jobs. High levels of under-qualified workers (consistent with an ageing workforce) is also evident, as is high levels of over-qualification.
“This highlights the need to better match education and training to workforce needs, while ensuring that Tasmanians develop the right skills to adapt to a rapidly changing labour market.”
In the absence of innovation and investment in globally competitive traded sectors, Dr Denny said increasing the supply of educated and skilled labour may not automatically result in increased employment and economic growth.
“One of the greatest risks of job polarisation for Tasmania is that young, educated job seekers will be unable to secure adequate work in the state and will relocate to employment opportunities elsewhere, further contributing to our demographic challenges,” she said.
“This workforce polarisation in Tasmania, tied to deep structural issues, highlights the need to provide and prioritise continuing education and skill development for a range of growing industry sectors. Those industries where Tasmania enjoys a competitive advantage are most likely to generate the high skill jobs of the future.
“The Fourth Industrial Revolution has arrived. As a community we need to understand and respond to the changing nature of work if Tasmania is to fully realise its potential.”
To read the report (see attachment) visit:
