THE PATH TO BEING AN EMPLOYER OF CHOICE
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Transcript of THE PATH TO BEING AN EMPLOYER OF CHOICE
THE PATH TO BEING AN EMPLOYER OF CHOICE
LYN RUSSELL PSMCHIEF EXECUTIVE OFFICER
THURINGOWA CITY COUNCILDEPUTY PRESIDENT LGMA QLD
NATIONAL DIRECTOR LGMA
THE CHANGING CULTURE OF LOCAL GOVERNMENT
LOCAL GOVT. EMPLOYEE. 1980 LOCAL GOVT. EMPLOYEE 2007• Enforcer of policy• Rules and regulations• Protect the Council• Risk averse• Bureaucrat• Subordinate• Delegated authority• Impersonal• Reactive• Specialist• Avoid change• Do things right
• Problem solver• Guidelines• Respect the customer• Risk manager• Team member• Stakeholder• Empowered• Customer oriented• Proactive• Generalist; multi skilled• Embrace change• Do the right things
HOW ORGANISATIONS ARE RESPONDING
• Being organised differently• Employing and paying people differently• Being managed and led differently• Developing new workforce policies• Training and developing workers in new
ways and new skills
MANAGEMENT / LEADERSHIP IS CHANGING
NOW NEEDS TO MANAGE• Independent professionals• Dispersed workforce• Contingent workforce (casuals, temps,
contractors)• Disillusioned workforce• Non-committed workers
NEEDS NEW LEADERSHIP SKILLS IN:• Communicating vision• Flexible strategy and tactics• Motivating workers
MANAGEMENT / LEADERSHIP IS CHANGING
ATTRIBUTES OF MANAGERS AND LEADERSMANAGERS LEADERS
PlanReactAccommodateDistant relationshipGroup orientationFormalImpersonalCoerceControlTransactAvoid changeAvoid riskDo things correctlyFollow a planStabilisePosition powerMonitor
EnvisionActInitiateFace-to-face contactIndividualised orientationInformalPersonalEncourageDelegateTransformThrive on changeTake risksDo the correct thingsCommunicate a visionAdvancePersonal powerEmpower
NEW MODELS OF LEADERSHIPRESULTS-BASED LEADERHIP
KEY ELEMENTS(Ulrich, Zenger, Smallwood, Harvard 1999)
DEMONSTRATE PERSONAL CHARACTER
(habits, integrity, trust, analytical thinking)
MOBILISE INDIVIDUAL COMMITMENT
(engage others, share power)
ENGINEER ORGANISATIONAL CHANGE
(build teams, manage change)
SET DIRECTION(vision, customers, future)
THREE CRUCIAL HR CHALLENGES FACING LOCAL
GOVERNMENT1. The ageing population2. Changing workforce expectations3. Labour and skills shortages
POPULATION AGEING – 4 DIMENSIONS
Numerical ageing– Increase in numbers of elderly due to
increased life expectancy– 5000 people now over the age of 100 (500 a
few years ago). Will generate huge demand for services and local jobs
Structural ageing– increase in proportions of elderly – caused by
low/falling birthrates
Natural decline– More elderly than children, therefore more deaths
than births
Absolute decline– Inability of replacement migration to replace the lost
births and increased deaths
POPULATION AGEING – 4 DIMENSIONS
Therefore, labour market entry/exit ratio goes negative in 2017.
Options1. Accept2. Buffer – plans, policies, improved
conditions3. Celebrate – population ageing is full of
opportunities
POPULATION AGEING – 4 DIMENSIONS
Indonesian Demographics
FemaleMale Indonesia 2005
Population (millions)Source: US Census Bureau
FemaleMale
Australian Demographics
Australia 2005 FemaleMale
Population (millions)Source: US Census Bureau
LOCAL GOVERNMENT DEMOGRAPHICS
Winter 2004, organisational survey: 5,000 staff from:Blacktown, Burwood, Camden, Cessnock, Dungog, Gosford, Gwydir, Liverpool, Newcastle,
Richmond Valley, Rockdale, Rous Water, Shellharbour, Singleton, Tumut, Yass
1 Regional NSW Council
LOCAL GOVERNMENT DEMOGRAPHICS
POPULATION, PRODUCTIVITY AND PARTICIPATION
• Population, productivity and participation are the fundamental equation of skills shortage and the ageing society
• We either have to increase our population, raise our productivity or increase participation rates if we want to continue to grow
• In reality increasing participation rates is the key, but it will bring unique challenges, as we have to learn how to work with a more diverse workforce (aged, disabled, long term unemployed, ethnic, indigenous etc)!
POPULATION, PRODUCTIVITY AND PARTICIPATION
WHO CAN AFFORD TO RETIRE?
• Average superannuation holding for Australian is $62,000
• 9% will mainly rely on superannuation• 51% will work part time
Newspoll Australian Superannuation Association 2004
WHERE HAVE THE WORKERS GONE?
• Annual net new entrant to workforce now is 160,000 p.a.
• By 2010 it will be 75% less or little more than 40,000 p.a.
• By 2015 it will fall to 20,000 p.a.• Businesses will have to recruit from non-
traditional areas to sustain their workforce!The Australian, September 18-19 2004, Vartina Nissen, Manpower Australia
AGEING POPULATION IMPLICATIONS
• Need for more and different services• Sea change and tree change• Access and equity issues, transport• Seniors policy/mechanisms• Community wellness• Strategies for inclusion• Impact on volunteerism
THE CHALLENGES
• Staff turnover; what level is acceptable, and what are we paying to replace our staff?
• Effective recruitment strategies• Retention strategies: holding on to our
good people• Poaching staff versus “growing our own”• Is skilled migration a solution?• The impacts of baby boomer retirement
THE OPPORTUNITIES
• Training?...TAFE, Australian Technical College, traineeships, cadetships, on-the-job?
• Skilled migration….but why aren’t local employers using it?
• Industry restructuring, technology, innovation
• Workforce planning and succession planning?
• Being an “employer of choice?”• Selling our lifestyle and “sea change”?
THE OPPORTUNITIES
EFFECTIVE RECRUITMENT STRATEGIES
• Ensuring selection and promotion is based on merit, not seniority or other factors
• Using defined selection criteria to assess and compare candidates
• Using selection panels to ensure a balanced approach
• Ensuring panels are well briefed and competent
• Getting a second opinion on candidates– Referees– Psychological tests
• Giving feedback to unsuccessful candidates
EFFECTIVE RECRUIMENT STRATEGIES
RETENTION STRATEGIES
REWARDS ARE CHANGING• Broad banding• Fee based contracts• Bonuses• Competency based arrangements• Profit sharing• Non-monetary rewards• Self-managed benefits
RETENTION STRATEGIESTHE RISE OF THE “GOLD COLLAR” WORKER• New skills in short supply• Workers who can name their price• Suits independent contractors• Challenge of attracting and retaining such
workers• The increasing importance of employer
reputation / attitude to workers• Importance of good “people policies” and
strategies
POACHING STAFF vs “GROWING OUR OWN”
• Price of poaching
• Demise of investment in training (apprenticeships, cadetships etc)
• Advantages of “home grown” workers
BRINGING IT ALL TOGETHER
The skills crisis in local government now requires strategic action to be taken at four levels:
1. National level – ALGA/LGMA/professional associations/Federal Government
2. State level – LGAs, LGMA, professional associations, State agencies
3. Regional level – ROCs, shared services, strategic alliances, informal arrangements
4. Council level
BRINGING IT ALL TOGETHER• There is a need for a full understanding of
the size and complexity of the skills shortage issue across local government – through research, surveys, taskforces
• There is a need for implementation of remedial strategies in the short, medium and long term
BRINGING IT ALL TOGETHER
• Potential short term solutions includes:– Skilled migration programs– Graduate recruitment programs– Training courses for para-professionals– Sharing resources across Councils– Using Local Government Week to build brand
awareness of local government as a career destination
– Improving remuneration packages
BRINGING IT ALL TOGETHER
• Potential medium/long term solutions include:– Developing image marketing strategies for
local government– Promoting careers in local government– Entry level programs – “growing our own”– Flexible exit strategies for older workers
• Employment of target groups – women, workers with disabilities, NESB
• Greater investment in training and development
• Succession planning• Restructuring to achieve internal
efficiencies, including process improvements and greater use of technology
BRINGING IT ALL TOGETHER
NATIONAL SKILLS SHORTAGE COMMITTEE INITIATIVES
Priorities identified in addressing the skills shortage issue:– Image marketing for local government– Becoming an “employer of choice”: eg.
Flexible work arrangements, pay, work and family initiatives, merit
– Growing our own people – traineeships, cadetships, entry and exit strategies, upskilling
• Progressive leadership approaches, inclusive, transformational, inspirational
• Giving staff greater autonomy
NATIONAL SKILLS SHORTAGE COMMITTEE INITIATIVES
NATIONAL INITIATIVES UNDERWAY
• National Skills Shortage Committee comprises all national professional bodies in local government
• Members have put in funding to employ a project officer
• A draft national strategy has been completed in 2007 and is seeking implementation funding
QLD Professional Staff Recruitment Working Group – State funding
to employ a project officer to help develop a skills formation
strategy for local government
EXAMPLES OF SKILLS INITIATIVES: STATE LEVEL
REGIONAL INITIATIVES
• Local government graduate programs – clusters of Councils
• Regional Organisations of Councils – partnership with university to offer engineering cadetships
• Shared services arrangements eg. Armidale/Dumaresq strategic alliance
COUNCILS WORKING TO BECOME EMPLOYERS OF
CHOICEProviding guidance/checklists on good HR
practices in:• Workforce analysis and planning• Succession planning• Merit based recruitment and selection• Diversity management• Work and family balance strategies
• Enterprise bargaining• Remuneration strategy• Performance management• Career planning and development• Consultative mechanisms• Workplace health and safety/zero harm
COUNCILS WORKING TO BECOME EMPLOYERS OF
CHOICE
• Employee wellness• Flexible work policies and practices• Work redesign• Optimising technology• Leading change• Employee assistance and safety nets
COUNCILS WORKING TO BECOME EMPLOYERS OF
CHOICE
• Employee relations• Investment in flexible learning and
development strategies• Leadership development• Measuring HR outcomes
AND……..walking on water too……..!
COUNCILS WORKING TO BECOME EMPLOYERS OF
CHOICE
SO, IF YOUR ORGANISATION ISN’T YET AN EMPLOYER OF
CHOICE……?1. ADD VALUE• Actively participate in corporate planning
processes and continually put skills and ageing issues on the agenda (eg. During SWOT analysis)
• Submit useful discussion papers/agenda items to your executive team
• Arrange for visiting speakers to attend meetings to educate on key issues
2. BE A PLAYER• Actively participate on corporate committees
and project teams to ensure HR dimensions of projects are addressed
• Nominate HR staff for internal and external recognition awards, leadership programs etc. and say what good things they are doing
SO, IF YOUR ORGANISATION ISN’T YET AN EMPLOYER OF
CHOICE……?
3. KEEP LOOKING OVER THE NEXT HILL• Keep up to date with emerging trends, best
practices, and what progressive organisations are doing, and regularly feed that back to your leaders
SO, IF YOUR ORGANISATION ISN’T YET AN EMPLOYER OF
CHOICE……?
4. NEVER STOP LEARNING• Keep up to date via professional development,
formal and informal training, mentoring, reading, study tours, conferences etc. Be a role model!
SO, IF YOUR ORGANISATION ISN’T YET AN EMPLOYER OF
CHOICE……?
QUESTIONS/DISCUSSION