RailCom Pty Ltd ABN 46 126 752 449 The Executive Officer, Education and Training Committee, Parliament House, Spring Street, East Melbourne 3002. RE: Inquiry into the skills shortage in the Rail Industry. Dear Sir / Madam, Background: My name is Frank Feldman and I have spent the last thirty five years associated with the rail industry (resume attached) and have extensive experience within the Rail Infrastructure (construction and maintenance) sector. My work history, in the last ten years within a rail organisation, involved staff development programs to deliver skills sets (competence) that managed staff succession, business sustainability, and legislative compliance. The problems that I encountered are as listed below with these issues underpinning general issues regarding skill shortages within the rail industry. The issues outlined below are personal concerns within the Rail Infrastructure sector. Business failing to manage the age demographics that has impacted the industry over the last ten years and rail industry businesses failure in understand the impacts of the age demographics in 2009. Failure of business to understand the technical knowledge and skills sets to manage a modern rail system post 2000. Management systems (training) and competence within the rail sector are generally engineering based and not reflective of practical work processes and fail to allow for innovation. Training and assessment has been centred around managing Safety Management Systems, impacting on change, innovation, and skills development. Disconnect between the various rail industry bodies. Presently skills council (TLI), RTO’s, ITSRR, appear not have a progressive road map outlining technical skills and competence that allows industry to address issues such as natural skills and competence progression, succession planning, modernising rail sectors, improving industry image, aligning skills across the various rail sectors. Traditionally the rail sector, and to a general extent, the manufacturing industry, have been a traditional dumping ground for people failing in the education system. This coupled with the Engineering Management, attitude and style, has devalued the role, technical skills, competence, and experience that is required to manage a modern rail system. This issue can be directly related to the present situation regarding the Transport and Logistics Training Package. Failure of the rail sector, in many cases, to adopt the national training package guidelines and maintain a structured training approach. Rail sector managing budgets by cutting training budget allocations, hence failing to meet long term skill sets and holistic risk management practices. The national competency system is out of alignment with the requirements of the rail sector. The traditional “vertically integrated” rail systems are now not representative of modern rail. Many smaller service providers and singular service providers are now operating in the industry. The present training package has not recognised this change, hence competence is difficult to achieve and qualifications are being issued, in many cases that fall short of modern work place practices. (The rewrite for rail infrastructure is presently being undertaken, however to date will not address this issue.) The TLI Training package fails to provide succession for rail infrastructure staff and is disjointed. Certificate I, II & III in the rail infrastructure sector is misleading in the industry and can be achieved with no technical rail orientated skills or qualifications. The Training Package fails to cover the industry major tasks, that is, certification of major work processes, in line with the requirements of legislation. There is a complete separation between RTO’s and Skills Councils and determination of competency requirements and updates. Integrated rail businesses tend to manage their industrial relations and risk management issues ahead of managing the requirements of the training package. Remuneration verses skills, technical knowledge, work load, locations of work, personal risk, and physical work are a major factor in staff retention and attraction. 2 The introduction of a competency based system in the early 1990’s seen most rail infrastructure organisations move away from a structured training position. This has impacted the industry where there is now approximately a fifteen (15) year training gap and the majority of the “old skills trained” are now the age demographics impact. This issue is a major influence regarding the various State Governments ability to meet the planned Rail Infrastructure development programs required in the future. It is highly recommended that, as part of recruitment and retention, and the viability to build a modern rail sector, that a trade program be introduced within the rail infrastructure sector. It should be considered that this trade qualification would include the following: 1. Rail Infrastructure Track. 2. Rail Infrastructure Structures. 3. Rail Infrastructure Mechanical Signalling. It is very easy to criticise perceived failures within systems, however as part of a personal commitment to drive change, I have ventured to the private sector in setting up a training, assessment and consultancy organisation, predominately focused on the Rail Infrastructure sector. The success, to date, with this business can be largely attributed to the personal knowledge of shortfalls within the industry and an ability to promote and influence change to address these shortfalls. Initiatives that are being undertaken include: Promoting a Trade qualification within the Track, Structures, and Mechanical Signalling areas of Rail Infrastructure. Development of integrated, uniform and progressive pathways as part of business methodologies. Development of training and assessment packages that reflect “on the ground” outcomes whilst meeting OHS and legislative requirements. Maintaining a national approach in the development of training and assessment materials. Promoting a national training package for the rail infrastructure sector. Influencing the development of learning centres in Victoria, NSW, and South Australia through business contracts, contacts, and business methodologies. 3 Yours sincerely, Frank Feldman Director RailCom Pty Ltd EMail: frank.feldman@railcom.com.au 4