Growth, Skills & Maori. Presentation to Maori, Industry and Training Summit Te Wananga o Aotearoa 11 September 2003

Transcription

1 Growth, Skills & Maori Presentation to Maori, Industry and Training Summit Te Wananga o Aotearoa 11 September 2003

2 Business NZ - Who we are 5 regional associations 53 industry and sector affiliate organisations Collectively represent 76,000 businesses

3 Why do we get up in the morning? Improving the sustainable growth rate of the New Zealand economy A sustainable economic growth rate requires a long-run, comprehensive growth strategy

4 NZ s economic performance A rising tide lifts all boats NZ s economic growth performance over the last 1/2 century has not been sufficient to ensure the standard of living we expect for our people. GDP has a real and lasting impact on the lives of all of us.

5 How GDP really counts If we had been able to retain our position of 3rd most wealthy nation in the OECD, we would be 45% wealthier. If we had simply kept pace with Australia, we would be 30% wealthier. We could afford 30% more spending on health & education without a tax increase.

6 A Growth Strategy Changing Gear December 2001 Sorting the Basics Fostering Innovation Growing the Skills Smarter and Better Business

7 Changing Workforce Tightening Labour market 13-year lows in unemployment 16% of firms cite labour / skills shortages as the single biggest constraint on expansion (highest since records began) Despite this, Maori unemployment is still high 10.4% compared with 4.7%

8 Changing Workforce 2 Aging population Median age for the whole population is predicted to rise from 35 to 39 by 2021, and 44 by 2051 Maori median age is predicted to rise from 22 to 27 by Changing ethnic composition While Maori are at present 15% of the population, 25% of children and young people aged 1-14 are Maori.

9 Changing Skill Needs Diversity of careers Flexibility, adaptability, lifelong learning Greater literacy and numeracy demands Increasing complexity of traditional jobs New customer service expectations Higher quality assurance / safety standards

10 Skill needs in the workforce 80% of the workforce of 2013, and 60% of the workforce of 2023, are already in the workforce. 25% of the NZ population aged have no qualifications at all; for Maori this figure is 45%. Only 18% of Maori aged have a post-school vocational qualification, compared to 42% of the total pop.

11 Literacy & numeracy International Adult Literacy Survey 1996: 20% of the NZ s working age population had very poor literacy (Level 1) For Maori this figure is closer to 35%. A further 20% of the population had poor literacy not sufficient to function effectively in the workplace.

12 Size of the challenge 20% of the NZ s working age population (15-65) is 600,000 people. that s the number of people with very poor literacy and numeracy. Approximately 1/6 th of these people are Maori. There are 785,000 people of working age with no qualification at all. 123,000 of these are Maori. A further 770,000 have only a school qualification. 63,000 of these are Maori.

13 Priorities for Skills Fix the undertow, so we can ride the knowledge wave Workplace learning Adult literacy and numeracy Compulsory education outcomes Tertiary sector relevance and partnership

14 Workplace learning Increase skill levels in the current workforce, by increasing the number of people involved in industry training from 80,000 to 160,000 per annum and significantly increase the number of people with industry skill standards, by 2005.

15 skill new zealand Tripartite initiative Business, Unions, and Government Building on current achievement (2002): 106,000 in industry training, 17% Maori 4,300 modern apprenticeships, 15% Maori Over 2 million NQF credits achieved 24,000 employers involved in industry training, providing $38 million in cash contributions

16 skill new zealand A target of 250,000 people in formal workplace learning by If 20% of these people were Maori, this would be 50,000 people per year. $800,000 over 4 years, supporting $120 million per annum of delivery spending. A key component of the skill new zealand campaign is workplace literacy.

17 Adult Literacy Eliminate very poor literacy and numeracy in the population (i.e. reduce the number of people with IALS Level 1 literacy to fewer than a statistical margin of 5%) by 2010.

18 Literacy in the Workplace Literacy is a major and growing issue in the workplace. Employers are increasingly taking responsibility for literacy issues - but can never address the whole problem. 11% of employers in the 2003 Business NZ skills & training survey were offering literacy & numeracy training.

19 Building Capacity More Than Words NZ Adult Literacy Strategy National Qualifications for Adult Literacy Practioners Adult Literacy Quality Mark (ALQM) for Literacy Providers Adult Literacy Achievement Framework (ALAF) National Literacy Coalition

20 Integrated Delivery We need to set clear targets for literacy gains. Delivery of literacy and numeracy need to be integrated into other programmes: Industry training Modern Apprenticeships Gateway / School outcomes Training Opportunities / Youth Training Foundation programmes at tertiary institutions Only through integration can we reach the numbers necessary.

21 School Outcomes Improve the outcomes of compulsory education so that all completing compulsory education achieve basic literacy and numeracy standards and attain at least NCEA Level 1, by 2005

22 2001 School Leavers 53,000 young people left school in % of them over 9,000 left with no qualification. For Maori this figure was 33.4%.

23 NCEA Results 2002 Only 80% of 3rd year secondary students were able to meet the literacy and numeracy requirements - after 11 years of compulsory education. Results where literacy and numeracy skills were applied were much better than those where they were assessed in an academic context.

24 Broadening Curriculum Gateway - 50% of all schools will eventually participate ITOs & Industry Associations working with schools Recent research in South Auckland on achievement for Maori and Pacific young people gives us hope that our target can be achieved if we have high expectations for achievement, and don t accept failure

25 Tertiary Relevance Improve the relevance of postcompulsory education, by more rigorous quality assurance, greater partnership with business, and a greater proportion of learning taking place within industry and on the job, by 2005.

26 Charters & Profiles Identifying and listening to stakeholders Building real partnerships with stakeholders Collaboration between providers & ITOs Links to the Tertiary Education Strategy Skills for a Knowledge Society, Foundation Skills, meeting the needs of Maori and Pacific peoples.

27 Bringing it all together: Maori and business Maori and Maori business face the same challenges as the rest of business only more so. Maori business needs what every other business needs: An environment that encourages and enables business growth Clear business strategy A skilled and motivated workforce Good management

28 Growth is as critical for Maori as everyone in New Zealand. Skills are key to growth, as is an environment for business to make good use of those skills. Business and Maori must work together on both growth and skills in their and the nation s interest.