ANZSCO 2333-11 Electrical Engineer South Australia June 2015 Current labour market rating No Shortage Previous labour market rating (May 2014) No Shortage Comments Declining activity or modest growth in a range of industries that employ electrical engineers has led to subdued demand for the occupation. A high proportion of recently advertised vacancies for electrical engineers were easily filled with employers able to attract a sufficient number of suitable applicants. Survey results A Department of Employment survey of recently advertised vacancies for electrical engineers revealed that 83 per cent of positions were filled within a six week time frame, as was the case in last year’s survey. On average, there were around 67 applicants per vacancy, compared to an average of 42 in 2014. Most applicants were deemed unsuitable and so the ratio of suitable applicants per vacancy was considerably lower at 5.3, compared with 3.0 in 2014. Each of the vacancies surveyed required specific skill sets along with several years relevant experience. Despite these narrow requirements, employers generally reported minimal difficulty hiring suitable applicants. Therefore, the occupation is rated as being not in shortage. Unsuitable applicants The vacancies surveyed were from a range of industry sectors such as power generation, manufacturing, public administration and civil engineering. Employers required applicants to be degree-qualified in electrical engineering and 97 per cent of all applicants met this minimum criterion. Notwithstanding the high proportion of qualified applicants, employers reported that only eight per cent of applicants were suitable to employ. This was mainly because applicants did not have the specific technical skills or experience relevant to the particular role or industry. They also received some applications from individuals considered ‘over-qualified’ i.e. applicants with substantial engineering experience at more senior or managerial levels which employers considered inappropriate. In some instances, suitable applicants weren’t employed due to lack of agreement on remuneration. This was particularly the case with electrical engineers from the relatively high-paid mining industry. Labour Economics Office South Australia Department of Employment Demand and supply trends 1 2 3 4 ABS 2011 Census data shows that electrical engineers are employed in three main industries: electricity, gas, water and waste services (29.6 per cent); professional, scientific and technical services (29.3 per cent); and manufacturing (19 per cent). Electrical engineers working in the professional, scientific and technical services industry typically provide consulting services to other industries, such as construction and mining. The Department of Employment’s Internet Vacancy Index (IVI) data for South Australia shows that the number of internet vacancies for electrical engineers has been trending downwards over the past four years and is currently at its lowest level in at least nine years. Low demand for electrical engineers is due to a decline in electrical engineering infrastructure projects, lower activity levels in the mining industry and modest growth in the manufacturing and construction industries. In 2014, there was a 41 per cent reduction in the value of construction work done in electricity generation, transmission and pipelines1. The Australian Industry Group’s monthly survey of engineering business trends shows activity in SA manufacturing recovered to some extent over the past six months and are around historical levels. According to ABS capital expenditure survey data, investment in the SA mining and manufacturing industries grew by a modest four per cent over the four quarters to March 2015. The value of goods exported by SA’s mining industry has significantly declined over the past year and manufacturing industry exports have recorded only modest growth. The value of SA non-residential building work done in 2014 increased by around five per cent. However, the value of SA non-residential building approvals, which provides an indication of future demand, fell by 14 per cent in the year to April 2015. University training is the major source of supply to the occupation. According to the Australian Department of Education the number of undergraduate completions in electrical engineering courses in SA declined in both 2012 and 2013. Despite a fall in the number of course commencements in 2012, this was subsequently followed by a steep increase in 2013. Net overseas migration2 of electrical engineers to South Australia increased in 2011-12 and 2012-13 but was followed by a decrease in 2013-14. Similarly, there was a reduction in the number of Subclass 457 visas granted3 for the occupation of electrical engineers in 2013-14. The proportion of full-time employment outcomes4 for SA electrical engineering graduates fell in 2012 and was followed by a further decline in 2013. The 2013 result is below the long-term average. ABS, Engineering Construction Activity, Australia (Cat. No. 8762.0) (four quarter total of original data) https://data.gov.au/dataset/overseas-arrivals-and-departures https://www.immi.gov.au/media/statistics/statistical-info/temp-entrants/subclass-457.htm Graduate Careers Australia Labour Economics Office South Australia Department of Employment