Low pay seen as a major reason for skills shortage

31/10/07:

Nine out of 10 people worry about New Zealand's skills shortage, according to a new survey out on Tuesday.

The survey by ShapeNZ for the New Zealand Business Council for Sustainable Development found three quarters of those surveyed believe poor pay was a major factor behind difficulties in finding skilled workers.



Over half also blame inadequate education and training.



The survey found most people support tax, housing or resettlement incentives as ways to retain skilled workers - or attract trained New Zealanders back home.



The research has been conducted ahead of the a council-led conference between business leaders and government ministers to be held in Wellington on Thursday (November 1).



The survey also reveals 91 per cent public agreement that skilled migrants have made an important contribution to New Zealand.



Two thirds support at-work internships for skilled migrants to help them learn how to work in the New Zealand workplace.



Eight out of 10 believe skilled migrants can add to social diversity and improve New Zealand's way of life.



Forty per cent believe the effects of recent overseas migrants entering their own communities had been more positive while 16 per cent believe the effects are negative.



There is a marked reluctance (70 per cent) to reducing English language standards for skilled new migrants.



There was strong public support for the incentives to attract back some of the million New Zealanders now working abroad.



Incentives to encourage trained New Zealanders to stay or to lure those skilled Kiwis living abroad won widespread support.



Tax incentives (59 per cent) were the most popular, followed by paying resettlement costs (57 per cent) and help for skilled workers in buying homes (52 per cent).



A large group (65 per cent) backed bonding skilled graduates to work in New Zealand for every year of training.



The survey also reveals widespread support for encouraging skills training in schools.



Over 90 per cent backed more flexibility in allowing students skill training outside their school gates, 82 per cent support allowing schools to run "Trade Academies" and 81 per cent think school-based apprenticeship schemes should be piloted.



Eighty business leaders and observers will meet in the second summit organised by the council to discuss long-term solutions to major issues facing the country.



The focus this year is on tax reform, long-term health funding and workplace skills shortages.



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