ANZSCO 3322-11Australian Capital Territory

Painting Trades WorkerSeptember 2017

LabourMarket Research and Analysis Branch

Department of Jobs and Small Business

Current labour market ratingShortage

Previous labour market rating (September 2016)Shortage

Comments

Relatively strong construction activity in the ACT is driving demand for painting trades workers. Employers attract small applicant fields and have difficulty filling their vacancies.

Survey results[1]

  • The labour market for painting trades workers remained tight in 2017.
  • Only 37 per cent of surveyed vacancies were filled.
  • There was an average of 2.6 applicants per vacancy, of whom just 0.5 were regarded as suitable.
  • While most unfilled vacancies resulted from a lack of suitable applicants, in a small number of cases employers could not reach agreement with the successful candidate on the terms of employment.
  • Shortages are common in this labour market, evident in seven of the past ten years, including the last three (Figure 1).

Figure 1: Proportion of vacancies filled (%), average number of applicants and suitable applicants per vacancy (no.), Painting Trades Worker, ACT, 2007 to 2017

Source: Department of Jobs and Small Business, Survey of Employers who have Recently Advertised

Key to ratings: S = Shortage NS = No shortage

Employer Requirements

  • Most surveyed employers sought trade qualified painters.
  • Very few applicants, however, held the relevant formal qualification, and a number of employers relaxed this requirement after not attracting any qualified applicants.
  • Some employers considered trade experience to be more important than qualifications.
  • An Occupational Health and Safety induction white card is a prerequisite to work on construction sites in the ACT. In addition, employers commonly required applicants to have Elevated Work Platform tickets, asbestos awareness training and their own tools.
  • Half the employers attempted to fill multiple vacancies, with some seeking up to five painting trades workers.
  • Most surveyed employers worked across both the residential and commercial sectors on new construction and maintenance projects.

Unsuitable Applicants

  • Around 80 per cent of applicants were regarded as unsuitable.
  • Applicants were most commonly considered to be unsuitable because they lacked experience.
  • In addition, applicants were typically unsuitable if they
  • were not trade qualified
  • lacked certifications such as an Occupational Health and Safety white card or asbestos awareness training.

Supply and Demand Trends

  • Demand for painting trades workers is influenced by activity in the construction industry, particularly building construction. The value of building work done has fallen in the ACT, but remains relatively strong,supporting the demand for these workers.
  • Residential building decreased by 3.0 per cent over the year to June 2017, while nonresidential building fell by 16.3 per cent over the same period.[2]
  • The decline in residential building was largely driven by a decrease in new apartment construction, while residential alterations and additions also fell. This fall was partially offset by an increase in new house building.[3]
  • The formal qualification for entry to this trade is a Certificate III in Painting and Decorating, commonly gained through the completion of an apprenticeship.
  • Apprenticeship numbers are relatively low in the ACT, averaging around 17 commencements and 7 completions per year over the past five years.[4]

Outlook

  • The outlook for the construction industry in the ACT is mixed, but there is some evidence to suggest that activity will moderate over the next year.
  • ABS data showthatthere is a solid pipeline of residential work in the ACT, with the number of dwelling approvals increasing strongly over the first half of 2017, although they remain below the peak recorded in September 2016.[5]
  • The Housing Industry Association (HIA)expects that new dwelling commencements will fall by 2.0 per cent in 2017-18(with large falls in multi-unit construction offsetting growth in house construction), before rising by5.6per cent in 2018-19. Renovation activity is expected to be positive, with growth of 8.6 per centin 2017-18 and 3.1per centin 2018-19.[6]

LabourMarket Research and Analysis Branch

Department of Jobs and Small Business

[1]The methodology underpinning this research is outlined at Skill Shortage Research Methodology | Department of
Jobs and Small Business - Document library, Australian Governmentand can also be accessed by the QR code.

[2]ABS, Construction Work Done, Australia, Preliminary, June 2017, chain volume measures, seasonally adjusted

[3]ibid

[4] NCVER, Apprentices and Trainees, March 2017, estimates (limited to a Certificate III in Painting and Decorating)

[5] ABS, Building Approvals, July 2017, trend

[6] HIA, New Housing Outlook, March 2017