Last week I was invited to speak at the annual conference of NTI Insurance’s Premium Repairers.

National Transport Insurance (NTI) is Australia’s leading transport insurance specialist and offers policy holders a national network of Premium Repairers. The unique relationship NTI enjoys with its Premium Repairer network means that repairs are carried out faster and more efficiently.

The theme of this year’s conference was Recruitment, Retention & Re-activation which aimed at discussing the current personnel challenges facing this sector of the Motor Industry.

Not surprisingly, shortage of tradespeople was a recurring theme.

One of the speakers, Troy Knox, is Executive Officer of Queensland Automotive Skills Alliance. This is a government supported company whose mission is to provide validated strategic information and advice to Government and other stakeholders on the skills and training needs of the automotive industry.

Troy’s presentation carried the clear message that the “Skills Shortage” is here to stay.

Many employers wrongly assume that the skills shortages come from 16 straight years of economic growth and the resulting increased demand for staff.

However, the chronic staff shortages are produced not by the economic times but also by changing demographic times.
It is not that demand for staff is high - but that supply, particularly of young people is low, due to the aging of our population and the relative decline in the number of young people.
Some facts on Australia’s population today:
In 1976 the median age of an Australian was 28 compared to 37 today and in a decade it will be over 40. The average age of a full-time employee has also been rising and today it sits at 40.
The growth of Australia’s population is projected to slow down even further during the next 50 years, from 1% today to 0.2% per year by 2040. In 1961 women averaged 3.5 children while today this is down to 1.8 which is below the population replacement rate of 2.1.
Australia’s working age population is in decline as a proportion of the total population. Currently for every person of retirement age (65 or over) there are 5 people in the working age population (aged 15-64). However in 4 decades for every person in retirement age there will be just 2.4 people of working age.
Over 30% of the total workforce is employed on a casual basis while for Generation Y this rises to over 40%.
There are 20,000 fewer men than women in their 30’s in Australia which is attributed to the globalisation of labour drawing men overseas.
The length pf time workers spend per employer has been in freefall for decades. In 1960 employees averaged 12 years per employer. Today the average tenure has dropped to just 4 years.
This aging population is unlikely to change as the longevity rates are rising and the trend to have fewer children later in life is continuing.
This means that labour supply will not increase yet the economy and demand is still growing.
More power in employment has shifted to employees yet the focus can’t simply be on understanding their needs to increase retention. Employers also have to ensure that Generation Y are effectively trained and managed to ensure that work outcomes and productivity are maintained.
All this presents a challenge to all employers and whilst state based organisations such as Queensland Automotive Skills Alliance are doing a fantastic job, the automotive industry as a whole would benefit from taking a national approach to provide the budgetary resources necessary to promote the image of the auto industry as an exciting and viable employment option.
Unfortunately, getting large groups of people with different agendas to co-operate isn’t easy, so individual employers must do their bit to protect their businesses and prepare for the future.

Changing the overall image of the industry is vital as is training for the future. It is surprising in times of such high skilled tradespeople shortage, that some employers are still reluctant to train apprentices!

Often, their reasons for not training are very short sighted e.g. “I don’t want to spend all that time, effort and money training people for my competitors to then poach!”
Reality is that if you train them and treat them properly they will remain loyal to you and even if they do leave, at least there will be more qualified tradespeople in the job pool which has to help everyone!

Another overlooked fact of life is that apprentices do carry out valuable work that has to be done by someone…
I was encouraged to hear that one particular employer had taken the initiative of doubling apprentices’ wages!
To me this was a simple but effective way to ensure that his apprentices were more likely to stay and more likely to value their apprenticeship opportunity.
The same employer who had taken this initiative also told us of his longest serving staff member who is about to clock up 40 years of service!

The valid comment was made that it is just as important for employers to manage and support their workers at both ends of their career path. This might mean providing training and up-skilling as they progress into a supervisory or management role; then moving them into a less demanding mentoring role to allow them to see out their working days whilst you still have access to their vast knowledge base.
Another concept that was raised was the motor industry’s overall reluctance and failure to target women as potential employees. Given that women make up 50% of the population, this failure to target them means that the industry in general is only trying to access half of an already depleted labour pool!
Whilst I encourage all members of the automotive industry to lobby their relevant associations and state bodies, I also encourage individual employers to take action personally at the local level. Don’t wait for some government funded body to deliver the answer, start by making your business somewhere that people will want to work and come up with some initiatives to spread this message throughout the community.

I have long been an advocate of holding information or “open” days to expose your business to the general community and show people that the motor industry is an exciting, modern workplace with a plethora of career opportunities.

Many job seekers overlook some rather obvious things when applying for positions and these can make a big difference as to how seriously the employer will view your application.

Two major issues generally overlooked are email addresses and telephone messages.

After spending a lot of time and effort producing a professional looking resume and perhaps even writing an effective cover letter, some job seekers let down their cause by not thinking about the little details. Email addresses for example can reveal a lot about a person.

Faced with the choice of interviewing dave.smith@hotmail.com.au or dodgydave@hotmale.com.au I know which one I’d choose. The “fun” email address might be great for your mates but is not appropriate for job applications! Get yourself a “serious” email address for “serious” occasions - it’s easy and just common sense!

Telephone messages are another area that job seekers fail to consider at her peril. These days, 99% of telephone contact seems to be via mobile phone and most mobile phone companies offer a choice of message bank and missed call services.

I am not a big fan of missed call services as most people seem to ignore it unless they know the number…

My advice to job seekers using missed call services is to return all calls or change to a voice mail service whilst you are actively applying for jobs.

Those using voice mail / message bank services need to ensure their message is clear and “professional”. Cute or comedy messages are probably great for friends but not really what potential employers want to hear…

On the subject of telephones, job seekers should remember that the primary objective of their application / resume is to get the potential employer to call you and invite you for an interview. It is reasonable to expect that this will happen during what is commonly referred to as “business hours” and it is in your interest to answer all calls in friendly and professional way. It doesn’t need to be over the top; a simple “Hello, this is Dave speaking” is fine and much better than “yeah…”.

The worst impression you can give when answering a phone call is that you are still asleep, especially if it’s 11am! If you had a big night and need to sleep to midday, simply switch your phone off and let the voice mail do its job. Also, don’t answer the phone if you can’t talk openly or safely; let the caller leave their message and return the call when it’s appropriate.

This is one question you can almost guarantee that you will be asked in a job interview situation and you really need to be ready with a sensible answer!

I constantly hear candidates preface their answer to this question with the words “Well I’m actually very happy in my current position but…”

Upon hearing these words, many employers start asking themselves “If they are that happy with their current job then why are they here?”

It sort of destroys the credibility of whatever follows and can seriously undermine the applicant…

So what is a “good” answer?

The candidate should have already asked themselves this question prior to applying for the job in the first place. Once they’ve acknowledged their real motives it won’t be too hard to re-package the answer in a positive way for the interview situation.

So why do people apply for job? Lots of reasons including:

1. Currently unemployed for whatever reason and need work
2. Change of personal circumstances e.g. relocated from another suburb / city / state / country
3. Seeking career advancement
4. Change of circumstances with current employer e.g. change of business philosophy / change of ownership / downsizing of business
5. Seeking better income
6. Dissatisfaction with current employer
7. Seeking new career direction e.g. moving from trade to admin role
8. Need a new challenge

You can see from these few examples that the answer to the question “Why have you applied for this job?” needs to be specific to the individual and their situation and should try to address as many of the employer’s potential concerns as possible.

Let’s look at the following examples:

The position: A Sales Management position with a high volume business.

The employer’s criteria: A proven track record in a sales management role, the ability to manage people in a larger volume operation, good people skills, strong IT skills, CSI focus..

The applicant: A 2IC in a smaller operation who is keen to advance their career.
To this end they have undertaken and completed a management course at the local TAFE and feels ready for the challenge. The applicant is familiar with the potential employer’s computer system and is also very strong on CSI.

In this instance a reasonable answer to the “Why have you applied for this job?” question would be:

“When I accepted my original sales role with my present employer, it was always my intention to advance my career into sales management.

That’s why I accepted the 2IC position after my first year, even though it effectively meant longer hours and a slight reduction in overall income.

I was able to work closely with my manager and have learned a lot from him over the past 2 years.

I have recently completed formal management studies and see this position as a fantastic opportunity to implement what I have learned both on the job and as part of my management course.

Over the past 2 years I have assumed total responsibility in the manager’s absence which has given me a chance to hone my people management skills.

Also, I believe that my strong customer service focus - evidenced by a number of awards - combined with my enthusiastic approach, excellent communication skills and strong understanding of your IT systems will allow me to succeed in this role.”

The answer doesn’t always need to be so long winded - if you are simply looking for a workplace closer to home then that’s the answer you need to give. It wouldn’t hurt to add a little bit about how exciting it would be to not only work closer to home but to also work for such a well regarded employer!

It is important not to overly “bag” your existing employer no matter how much they deserve it. It makes employers very nervous and could give the impression that the applicant is a high maintenance whinger!

Perhaps if your relationship with your existing employer has broken down you could say something like: “After x happy years with my current employer, I now find that they wish to pursue a course that is at odds with my career goals so I am investigating my options, especially with well regarded employers like yourself”

About a hundred years ago, back when I worked in a retail automotive dealership, the “dream” jobs were with the distributor or manufacturer.

To me, the Zone Managers, or whatever they were called, seemed to have pretty cushy jobs without the day to day “brain damage” of the “retail” environment.

No doubt they too had their challenges but you know the old saying about “greener grass”…

Although the majority of recruitment we undertake is for retail dealers, occasionally we do some work for a distributor seeking someone with a retail background to move into the wholesale environment.

These jobs normally generate a high level of interest which suggests that dealership guys still find the prospect of a distributor job just as desirable as I did all those years ago!

The more things change, the more they stay the same!

But whilst a lot of retail based people want to make the transition, when the opportunity arises, sometimes the “price” is just too high.

Let me explain…

It’s a bit like trades level personnel moving off the tools and struggling to leave behind the “hourly rate mentality”.

Most manufacturers / distributors work on pretty inflexible salary budgets, especially when it comes to entry level roles. Remember, if you have a large number of people in a National Team, there needs to be a certainly level of parity in regard to remuneration.

One of the biggest problems potential wholesale employees face is the loss of benefits such as company cars. Other challenges that can be faced is the need for extensive business travel. This can seem pretty exciting until you’ve done it for a while and then it just becomes a bit of a drag.

A new role requiring long hours away from home can also be a strain on your spouse and can have negative impact on your overall family life.

The “moral” of the story is this:

1. If you are considering a move from retail to wholesale, think carefully before you make the change.
2. Do your sums and work out if you can REALLY afford to take a pay cut and / or sacrifice other benefits.
3. Think about any business related travel and how it will impact on your life, health and family.

If you can afford to make the move and are up for the challenge, then go for it as you will open up a whole new world of exciting career options!

Candidates can benefit significantly from having a strong relationship with recruiters who specialise in their particular industry or discipline.

However, it is important for job seekers to understand that not all recruiters operate in the same way and this can affect the type of interaction / relationship a candidate has with a recruiter.

From a recruiter’s perspective there are 3 basic types of candidate:

1. The applicant applying for a current assignment
2. The applicant who might be suitable for future assignments
3. The applicant you will never place because they simply don’t fit the market niche in which you operate

Most recruiters will focus on the “type 1″ candidate as current assignments must always receive priority. The “type 2″ applicant will generally be asked to submit a resume and might also be invited to attend a general “get to know you” meeting. The “type 3″ candidates will be politely advised that the recruiter can’t help them and possibly referred to someone else.

Some recruiters rely heavily on pro-actively marketing specific candidates to potential employers. Whilst we have used this method in the past, we now prefer to focus on actual assignments rather than “reverse marketing” of applicants .

My personal “objection” to the pro-active marketing of applicants is that it perpetuates the mentality of employers “tyre kicking” rather than committing to actual recruitment assignments.

We invite job seekers to register on our database and encourage them to monitor the current vacancies section of our website. In many cases we will send email or snail mail Job Bulletins to suitable applicants listed on our database to make them aware of actual assignments that might be of interest to them or someone they know.

In building a positive relationship with recruiters, job seekers will benefit from taking a long term view. A career might cover 30+ years and a good relationship with an industry specific recruiter can be a great resource of not only job opportunities but general career advice and information.

It is always good to make face to face contact with a recruiter but job seekers need to be flexible and not necessarily expect recruiters to be immediately available at your convenience for a general chat.

Once you have made contact and established a relationship with a recruiter, you will often be told things that perhaps you don’t want to hear. Remember that recruiters must attempt to deliver to their clients whatever it is their clients want. Sometimes these requests are reasonable and other times they are not. Most recruiters will try to encourage employers to look at a variety of options but at the end of the day, the customer is always right!

Over my 17 years in automotive recruitment I have met thousands of job seekers but placed hundreds. Some of the best candidates I have met I’ve never been able to place. This doesn’t mean that I don’t “like” or “rate” the candidates, it simply means that the correct number of random elements has not yet aligned to produce the right job in the right place at the right time for particular applicants. 

The best advice I can offer any job seeker in regard to building a positive relationship with recruiters is to keep in touch. This doesn’t mean harassing the poor recruiter every second day, more like a monthly or quarterly phone call, an email with updated contact details or resume. Simply keep reminding them that you’re still there!

In the past, L J Williams & Associates has published a quarterly newsletter specifically for the benefit of candidates. Enthusiasm for this offereing was never that high, especially when considering the effort involved. For this reason, I have decided to replace the quarterly newsletter with this blog.

The objective of the blog will be to offer commentary on a wide range of issues affecting the automotive job market and job seekers in general.

Your feedback is most welcome!

I think most Service Managers and others responsible for staffing automotive vehicle workshops are well aware of the current “candidate short” job market.

Waiting for things to get “better” is something only the genuinely foolish and delusional would see as a solution, because there are no positive signs that the situation will do anything other than worsen in the near future.

I believe that there are two fundamental conditions preventing the automotive trades shortage from “fixing itself” :

1. Continuing high levels of employment
2. Lack of interest / desire in young people to enter the trade

After a decade or more of parents discouraging their children from pursuing trades in favour of tertiary education in other areas e.g. Information Technology, people are now beginning to see the desirability of pursing trades, especially in the building sector.

Recent anecdotal comments suggest that it is much easier to attract applicants for an apprenticeship in the building industry than in the automotive mechanical area.

It’s impossible to know for sure why this situation exists. My theory is that the motor industry is no longer seen as “sexy” by young people whereas years of TV shows dedicated to home renovation and garden makeovers has significantly increased the profile of the building trades.

Maybe the various Motor Industry employer groups should commission a TV show to focus attention on the opportunities available in the various automotive trades? Some sort of Backyard Blitz meets Pimp My Ride???

Salary levels are another big issue for the automotive trades when compared to other industry sectors and there isn’t any quick answer to that problem. For pay rates to increase significantly, labour rates must also go up and there will be the inevitable adverse reaction from customers to any sizeable price rises.

In the meantime, employers seeking Mechanics or other tradespeople must adopt an on-going systematic approach.

The first step to successfully recruiting Mechanics is to put yourself in the shoes of the candidates you are hoping to attract. Think about how mechanics traditionally go about the job search process. My experience suggests that most tradespeople either have a job or they don’t.

Unless they are looking to move into a different job role e.g. Mechanic to Service Advisor, it is unlikely that they are monitoring newspapers, job board or registering with recruiters. 

Most Mechanics will start job searching only when a change occurs in their existing situation. Some of the things that motivate this action include:

1. Change in residential status e.g. currently living and working in western suburbs but buys new house in outer SE
2. Change in ownership or management of current employer
3. Business failure of current employer
4. Desire to change working hours due to change of family circumstances e.g. new baby might motivate desire to work afternoon shift to allow more time at home in the mornings
5. Dissatisfaction with current salary and / or working conditions

When one of these or some other trigger point is reached, the Mechanic will begin to actively search for another job. Generally, their objective is to find another job ASAP and it is unlikely that they will have a detailed “plan”.

It is fairly safe to assume that the “standard” response for a Mechanic seeking a new job would be any one or more of the following:

1. Phone call to friends or other potential employers, especially direct competitors of existing employer
2. Monitor major online job boards such as Seek, Mycareer, Careerone
3. Monitor ads in daily papers i.e. Age and Herald Sun
4. Monitor local newspapers - ads in local papers are often seen by Job Seeker’s spouse
5. Make contact with personnel recruiters

Once they have made the decision to seek alternative employment, most Mechanics will act quickly whic means that employers must be willing to do the same. These days, most applicants will not be willing to put themselves out too much so the employer needs to be prepared to be flexible in regard to carrying out interviews and decisive when it comes to making job offers.

Even when the employer does all the right things they still still expect to be “messed around” by Job Seekers. People accepting and then reneging on job offers is now common place and it is not unheard of for applicants to simply fail to arrive on the agreed start date and for it to be virtually impossible to contact them to find out what’s going on…

When devising an advertising campaign to attract Mechanics, employers need to ask themselves: “What’s “special” about the job I’m offering?” If answered honestly, sometimes the only real “difference” about your vacancy is the location but as we discussed earlier, location is a very real trigger for Mechanics to seek a new position.

Most Job Seekers responding to ads for Mechanics will want to know:

1. Who is it?
2. Where is it?
3. How much is it?

Given the potential applicant some accurate information on wages can save all parties a lot of frustration and wasted time. I suggest quoting a range that covers lowest to highest but then stressing a REALISTIC number that would most likely apply as a starting rate for that particular applicant. Most Mechanics expect to be able to earn extra money from overtime and / or incentive schemes and employers should clearly communicate their position in regard to these matters.

Ultimately, employers seeking to recruit Mechanics need to understand that life is always changing. For this reason it would be foolish to spend a lot of money placing a big display ad in one issue of Saturday’s paper/s thinking that it will generate sufficient applicants because, most likely, it won’t! Instead, plan on smaller, regular adverts across a range of days and different media and don’t always wait until someone leaves to start looking!