Training Demand Profile 2008
Tourism and Hospitality
© Skills Tasmania, 2008. All rights reserved.
This publication is copyright and further information or additional copies may be obtained from Skills Tasmania.
Note that the information, views and recommendations in this document have been obtained under contract from
industry sources as part of Industry Advisory Arrangements; they may include data or information which have not
been otherwise verified, and they should not be interpreted as being the views, intentions or policy of Skills Tasmania
or the Tasmanian Government. Reference material may include links to external web pages or documents that may
no longer be active.
Executive Summary
The tourism and hospitality industry in Tasmania is broad and diverse. This training demand
profile illustrates the perceptions, opinions and experiences of a range of operators, business
intermediaries, registered training providers and other interested parties of the Tasmanian
training sector and how well it is serving the needs of such a diverse industry.
Over 120 stakeholders were contacted. Their input has been synthesised into this report along
with background data from Skills Tasmania and other third parties.
In summary, the report found that there are some urgent and fundamental issues to be
addressed by both the training sector and the tourism and hospitality industry. Major findings
include but are not limited to:

Macro economic factors such as population change and a low unemployment rate are
impacting on the number of people available for training in tourism and hospitality.

There is substantial ‘wastage’ of training (where people are trained/qualified but do not
remain in the industry) due to a range of issues including trainee mobility, mismatch of
training to employer/employee need, perceived lack of flexibility of the National Training
Package and attractiveness of work in other industries.

Funding arrangements are perceived to be poorly matched to the characteristics of an
industry that is highly casualised with high mobility and seasonal challenges.

Perceived lack of credibility and consistency in the training system where the focus is on
assessment not delivery of skills training to participants.

Lack of engagement with owners/operators/managers in regard to their own professional
development needs to improve general contemporary business management skills. This is
reported as being a significant issue for individual businesses and the industry as a whole if
a greater number of appropriate staff are to be attracted and retained.

Administrative requirements are reported to be confusing, alienating and weighty and there
is general confusion about the roles of the players within the training system (e.g.
apprenticeship centres, training organisations and Skills Tasmania).

More liaison between industry and training providers (including vocational education in
schools providers) is required. A coordinated and strategic approach needs to be taken to
better address training, skills and professional development needs of the industry.
1
Contents
Introduction and acknowledgements
3
Scope
4
Part One
Industry Background
Part Two
Skills Shortages
Part Three
Industry Demand for Training
Size of the industry
Characteristics of the existing workforce
Normal drivers of training demand in this industry group
Changes occurring in the demand for training
Changes required to the nature of training
Target market for training
Numbers of people that need to be trained
Comments on any government funded training provision in
excess of local industry need
Recommendations for the appropriate response by the
training system
Information on training demand being met outside the
Tasmanian public system
Additional industry advice not directly related to industry
demand for training
Part Four
Assessment of Infrastructure Needs
Part Five
Information on VET in Schools and Australian
School-based Apprenticeships and Traineeships
VET in Schools
Qualifications and pathways appropriate for delivery through
VET in Schools
Development and support for VET in Schools programmes
Emerging opportunities
Part Six
Industry’s Top Priorities for the Public System
Qualifications
Competencies
System priorities
Part Seven
Higher Education
Demand for industry skills being met by higher education/could be
met by higher education
Training Demand Profile July 2008– Tourism and Hospitality
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Introduction
This document has been developed based primarily on data derived from interviewerconducted in-depth interviews. A representative purposive sample of 103 was drawn from the
Tourism Industry Council of Tasmania membership list. Other industry representatives were
also invited to participate where their input was deemed appropriate and valuable (e.g. VET in
Schools, registered training organisations, industry partners, non-members, etc). Participation
in the survey represented 64% of the sample. Participation was declined by 14% citing no
contact with, or comment to make about, the training in this industry. The remaining 22% had
either ceased trading or were not contactable.
Acknowledgements
Appreciation is extended to the representatives of the businesses and organisations who
participated and made a valuable contribution to the development of this document.
Training Demand Profile July 2008– Tourism and Hospitality
3
Scope
This training demand profile aims to illustrate the future training requirements of the Tasmanian
tourism and hospitality industry and is principally concerned with providing information
regarding broad segments. These segments include:

Hospitality

Commercial Cookery

Retail Travel/Tourism Operations

Meetings and Events

Guiding

Eco Tourism

Caravan and Holiday Parks.
The National Tourism and Hospitality Training Packages (THH02/THT02) that provide
qualifications and competency standards for the tourism and hospitality industry have recently
been reviewed. A single National Training Package, the Tourism, Hospitality and Events
Training Package (SIT07) that covers the two sectors, has now been endorsed.
Caravan and holiday parks are currently represented by the Caravan Industry Training
Package (THC04), which is currently under review.
The following table identified the principal qualifications as identified by Skills Tasmania
statistics as being in use within Tasmania. Where no or few (less than 50) enrolments have
been identified as being delivered in Tasmania since 2002, the qualification has not been
included.
Whilst this document primarily aims to indicate training needs of the tourism and hospitality
industry, background and emerging issues that have an impact on the development of the
capability of the people within the industry will also be investigated. Whilst these issues may
not be training related per se, they will have a direct influence on the ability of Tasmania’s
publicly-funded training system to provide, enhance or further develop skills for this industry.
Training Demand Profile July 2008– Tourism and Hospitality
4
Segment
Training Package
Principal Qualifications
SIT07 has recently been
endorsed and replaces
THH02 & THT02
Hospitality
THH02/SIT07
Commercial Cookery
THH02/SIT07
Retail Travel/Tourism
Operations
THT02/SIT07
Meetings and Events
THT02/SIT07
Guiding
THT02/SIT07
Eco Tourism
Caravans and Holiday Parks
THT02/SIT07
THC04
Certificate I in Hospitality (Operations)
Certificate II in Hospitality (Operations)
Certificate III in Hospitality (Operations)
Certificate IV in Hospitality (Supervision)
Diploma of Hospitality Management
Advanced Diploma of Hospitality Management
Certificate I in Hospitality (Kitchen Operations)
Certificate II in Hospitality (Kitchen Operations)
Certificate III in Hospitality (Commercial Cookery)
Certificate III in Hospitality (Patisserie)
Certificate III in Hospitality (Catering Operations)
Certificate IV in Hospitality (Commercial Cookery)
Certificate IV in Hospitality (Patisserie)
Certificate IV in Hospitality (Catering Operations)
Certificate II in Tourism (Operations)
Certificate III in Tourism (Retail Travel Sales)
Certificate III in Tourism (International Travel Sales)
Certificate III in Tourism (Tour Wholesaling)
Certificate III in Tourism (Visitor Information Services)
Certificate III in Tourism (Guiding)
Certificate III in Tourism (Attractions & Theme Parks)
Certificate IV in Tourism (Operations)
Certificate IV in Tourism (Guiding)
Certificate IV in Tourism (Sales and Marketing)
Diploma of Tourism (Operations Management)
Advanced Diploma of Tourism Management
Certificate III in Meetings and Events
Diploma of Event Management
Advanced Diploma of Tourism Management
Certificate III in Tourism (Guiding)
Certificate IV in Tourism (Guiding) [limited enrolments]
No specific qualification in this segment
Certificate II in Caravan Park Operations
Certificate III in Caravan Park Operations
Training Demand Profile July 2008– Tourism and Hospitality
Qualifications in Newly Endorsed Training
Package
Certificate I in Hospitality Certificate II in Hospitality
Certificate III in Hospitality
Certificate IV in Hospitality
Diploma of Hospitality
Advanced Diploma of Hospitality
Certificate I in Hospitality (Kitchen Operations)
Certificate II in Hospitality (Kitchen Operations)
Certificate III in Hospitality (Commercial Cookery)
Certificate III in Hospitality (Patisserie)
Certificate III in Hospitality (Catering Operations)
Certificate IV in Hospitality (Commercial Cookery)
Certificate IV in Hospitality (Patisserie)
Certificate IV in Hospitality (Catering Operations)
Certificate II in Tourism
Certificate III in Tourism
Certificate III in Tourism (Retail Travel Sales)
Certificate III in Tourism (International Travel Sales)
Certificate III in Tourism (Tour Wholesaling)
Certificate III in Tourism (Visitor Information Services)
Certificate III in Tourism (Guiding)
Certificate IV in Tourism
Certificate IV in Tourism (Guiding)
Diploma of Tourism
Advanced Diploma of Tourism
Certificate III in Events
Diploma of Events
Advanced Diploma of Events
Certificate III in Tourism (Guiding)
Certificate IV in Tourism (Guiding)
No specific qualification in this segment
5
Part One
Industry Background
The Tasmanian tourism and hospitality industry has experienced a period of consolidation
since rapid growth in the late 1990s. Driven largely by the series of Tourism 21 Strategic
Plans, revenue from tourism and hospitality has risen to over $1.3billion1, up from a total of
$568 million as reported in 19962 (not inclusive of intrastate spending). Visitation to the state,
too, has grown significantly and currently stands at around 824,100 (as reported by the
Tasmanian Visitor Survey, December 2007), up from around 480,000 in 19943.
Contributing around 7% of GSP, tourism and hospitality currently employs around 23,000
people (this is direct employment and does not include another 16,000 or so indirect jobs),
or 9% of the workforce4. This represents considerable growth from the estimated 18,300
people employed in 19985.
Moving forward, Tourism Tasmania expects the Tasmanian tourism and hospitality industry to
continue to grow, albeit more conservatively than experienced in the recent past. Tourism
Tasmania’s targets for projected visitor expenditure by 2010 total over $2.6 billion per annum,
including expenditure by intrastate, interstate and international visitors. This equates to around
1.3 million interstate visitors and 220,000 international visitors per annum.
Growth in visitation, revenue and employment are important factors impacting on the provision
of training in this industry. As the global, national and intrastate market has grown, matured
and become more sophisticated, it has expected our industry to move with it. Demands
regarding quality, service provision and product offering have impacted on both businesses and
employees, and in many ways, drive the need for a professionally skilled workforce, including
all personnel from owners and managers to the frontline.
All Tourism 21 strategy documents have identified the need to continually invest in the skills
and capabilities of the tourism and hospitality workforce. The 2007-2010 plan cites that it is
important to “Deliver on the Promise” through the provision of professional training, the
Tourism Tasmania, 2008. Tasmanian Visitor Survey, Year End 2007.
Tourism Tasmania, 1997.Tourism 21. A Strategic Business Plan 1997-2000.
3 Ibid
4 Tourism Tasmania, 2007. Tourism 21. Strategic Business Plan 2007-2010.
5 OPCET, 2003. Tourism and Hospitality Training Demand Profile, 2003.
1
2
Training Demand Profile July 2008– Tourism and Hospitality
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development of career opportunities and provision of consistent, year round employment. This
indicates that capability must not only be thought of as a frontline imperative, but also as a
business management imperative that includes access to contemporary business management
development opportunities for those who own and manage businesses in this industry.
The current strategy document also recognises and encourages global exposure through the
use of technology such as search engine marketing and intelligent online distribution methods
for the Tasmanian Tourism and hospitality products. This, too, will require skill development as
the industry and its personnel move from a business world of long lead times, paper-based
systems and isolated product-management systems to one of short lead times, global exposure
and digital processes.
Other core strategies of the current Tourism 21 document include the creation and effective
marketing of a highly desirable destination and ease of access to, within and around Tasmania.
Improved infrastructure, product quality and major events
It has been known for some time that the sophistication level of our visitors is rising and, in turn,
their demands focus more on quality and breadth of experiences. Thus, greater emphasis has
been, and will continue to be, placed on the visitor’s holistic experience of Tasmania. This has
been communicated strongly via the tourism ‘brand’ but the brand promise must be met by the
actuality of experiences, including high quality food and beverage, accommodation,
activities/attractions and events (e.g. Targa Tasmania, AFL, 10 Days on the Island and V8
Super Cars, Agfest).
Currently, there is over $800 million worth of tourism development planned or underway. This
includes accommodation development, attractions and infrastructure developments6.
Quality of product and service delivery is imperative in this industry. In many ways there is little
to separate the product provided to the visitor and the people delivering it. Often the product in
its entirety rests on the quality of interaction with industry personnel (e.g. in the provision of a
guided tour). This illustrates the critical importance of finding the right people with appropriate
skills.
6
Tourism Tasmania, Personal Contact, 12th May, 2008
Training Demand Profile July 2008– Tourism and Hospitality
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However, Tasmania, like many other areas within Australia and overseas, is currently
experiencing a number of macro environmental issues. These issues are wide ranging and
threaten the growth, profitability and quality of the products and services provided by the
Tasmanian tourism and hospitality industry.
Labour market issues
One of the most pressing and potentially debilitating issues facing the tourism and hospitality
industry is the issue of labour shortages. Overwhelmingly, respondents to this research have
identified that the lack of people willing and able to work in this industry is putting pressure on
effective business operations.
In an environment of near full employment7, generally good economic conditions and growth in
demand for tourism and hospitality products and services, the demand for labour across all
industries is increasing. As work in this industry is often perceived to be of a lower status 8 than
in some other industries, traditional labour sources have found and taken opportunities
elsewhere. Active ‘poaching and headhunting’ of staff trained and experienced in customer
service roles is commonplace, especially in the call centre, retail and professional services
sectors.
Evidence suggests that many operators are struggling to find people to train into job roles.
Despite advertising and using traditional recruitment methods, many operators have reported
receiving no applicants to fill vacancies. Whilst recognising the shortage of skilled people in the
labour pool, many operators are disappointed that they are unable to find people to train into
the tourism and hospitality workforce.
This, of course, has implications for training providers who may find themselves with fewer
people to provide training to, or they may find themselves training people who may not have
the fundamental ‘soft skills’, ability or desire to work in this industry, thus preventing them from
being employable.
7
8
TCCI, Business Reporter, April 2008.
ANU4 Status Scale.
Training Demand Profile July 2008– Tourism and Hospitality
8
Given that the industry’s traditional source of labour is diminishing due to an aging population
and a greater level of opportunity in other industries, non-traditional sources of labour must be
considered. These include:

Women with children returning to the workforce

Mature-aged people looking for a ‘lifestyle’ job of less than full-time hours

New Australians (permanent residents)

People with disabilities but with capability to work in our industry for less than full-time
hours

Backpackers and/or short-stay visitors wanting seasonal or short-term work.
Many other industries have been actively targeting the non-traditional labour pool for some
years and are ahead of the tourism and hospitality industry regarding the provision of training,
flexible work arrangements and differing workplace arrangements to accommodate the needs
of these groups of workers. It is imperative that the tourism and hospitality industry becomes
aware of and accepts these alternatives to the traditional labour pool if they are to be attracted
to, trained for and employed in this industry to alleviate the current (and future) labour crisis.
Looking to the near future, should it go ahead, the Gunns Pulp Mill will place a further strain on
the available labour supply. It is suggested that labour will be drawn from all industries,
including the traditional tourism and hospitality labour pool.
So too, ‘big box’ retail
developments, especially in the south of the state, will also draw people from the tourism and
hospitality industry.
The Demographic Change Advisory Council (DCAC) discussion paper9 suggests that this will
start to be seen in 2010; however, the impacts are already being experienced among many
industries. The following graph taken from the DCAC discussion paper illustrates why the
tourism and hospitality industry in particular needs to look to alternative sources of labour. Our
traditional labour pool (18 – 35 year olds) is currently shrinking and will not be replaced.
Demographic Change Advisory Council, 2007. Demographic Change in Tasmania: challenges and
opportunities, Tasmanian Government.
9
Training Demand Profile July 2008– Tourism and Hospitality
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This is further exacerbated by migration from the state. The following graph illustrates how the
majority of migration from Tasmania occurs in the traditional labour pool. The red line indicates
that in 2006/07, the number of people in the 15-35 age brackets leaving Tasmania has
increased compared to 2005/06 and 2003/2004 figures, suggesting that the gains made in
arresting the ‘labour drain’ of the late nineties are being lost.
Training Demand Profile July 2008– Tourism and Hospitality
10
Source: ABS Migration 8210.0 various years and tasmanianjobs.com, 2008
Ageing population and ageing workforce
The Tasmanian population is ageing. The DCAC identifies that Tasmania is ageing at a more
rapid pace than the rest of Australia, and as our population ages, the workforce participation
rate goes into decline, thus offering fewer people for employment.
However, our businesses are ageing too and it is likely that in the near future, many of our
business owners and managers will be retiring. This has implications for training in business
management. Succession planning and skilling the next generation of managers is imperative.
Not only do our current managers need the skills to ready their businesses for sale or
succession, the personnel coming through need both a worthwhile career path and
contemporary business management skills to step up into an ownership or management role.
Where business owners do not have the capacity to sell their businesses or develop an
appropriate business plan, the industry may lose inventory. Small and micro businesses are
particularly susceptible in this regard.
Turnover and attrition
Traditionally, turnover and attrition within the tourism and hospitality industry is high. Research
commissioned by the Tourism and Transport Forum reported that turnover in hotels can be as
high as nearly 51% for operational employees and around 39% for managerial staff. These
figures are significantly higher than all other Australian industries (e.g. retail 28%,
Training Demand Profile July 2008– Tourism and Hospitality
11
manufacturing 19%, education 13% and personal and other services 19%10). Whilst this
research is confined to hotels, the reasons cited for people exiting the workplace or the industry
altogether (e.g. limited career opportunities, lower pay and better working conditions) are
common across all sectors of the tourism and hospitality industry, except retail travel.
Whilst it has been known for some time that turnover and attrition are issues for this industry,
until the current pressing labour and skills shortages, there has been a pool of people to
replace those who leave. That pool of people is now substantially diminished.
Again, training and development of managers and supervisors in contemporary workplace
practices may ease the problem, by improving the general management of businesses and
providing improved human resources practices, flexible working arrangements and career
pathing.
Reducing staff turnover is good business practice too, given that it has been estimated that it
costs around 1.5 times11 their annual wage to replace a frontline employee. For small and
micro businesses in particular, this can have an enormous impact on profitability.
Contemporary training issues for the industry
The introduction of the Training Package as a foundation element for the delivery of
competency based training has allowed a more flexible and ‘industry friendly’ mode of delivery.
However, criticism still exists regarding the means by which training is delivered. The Skilling
Tasmania Policy Consultation Report suggests that employers in general are still dissatisfied
with the lack of ability to access training on the job, by flexible means or at a time that suits
their business. Whilst there are some legitimate reasons for delivering training outside of the
workplace, the competency-based system, holistic assessment practices and ability to deliver
on a unit-by-unit basis supports a creative and flexible approach to skills development. Many
small registered training organisations (RTOs) provide flexible training and assessment
services as they do not rely on institutionalised delivery means. However, at the time of writing,
the major public provider of tourism and hospitality training, Drysdale Institute, is embarking on
a widespread initiative to move training delivery into workplaces rather than in a simulated
environment, as a response to industry demand.
ABS 2006, Labour Mobility Australia, cat. No. 6209.0, ABS, Canberra.
Department of Economic Development, 2007. Better Workplaces Employer Resource Kit. Tasmanian
Government
10
11
Training Demand Profile July 2008– Tourism and Hospitality
12
Barriers to utilisation of the Tasmanian training system
Other issues that impact on the accessibility of skills/capability development for people within
the tourism and hospitality industry include:

Communication
o
Operators find the current training system and training options confusing and
overly complicated, with some suggesting that it prevents them from
considering formal training as it is too difficult and time consuming to access
funding, to sign up a trainee or to get the training they want (i.e. what operators
want and what the RTO wants to provide is often at odds.).

Perceptions of quality of outcome/lack of confidence in the system
o
Some operators have suggested that they cannot rely on the ‘piece of paper’
to determine the skills of a job candidate as they often find that the individual is
not capable of undertaking the tasks for which they have been
certified/qualified. It could be argued that this is reflective of a system that
values (and is funded on) the delivery of qualifications rather than the explicit
delivery of skills and capability to meet industry/employer needs.
o
The prevalence of ‘tick and flick’ assessment has created a perception that
RTOs lack credibility. The current competency-based system is thoroughly
focussed on assessment rather than the delivery of training and is reliant on a
‘self directed’ approach from the trainee. However, there also needs to be a
focus on the needs of the industry in regards to broader skills delivery and
capability building for the longer term, not just on assessing people on the
skills they need for the job they have now. It could be argued that this
approach served the industry well when unemployment was high and there
was a need to transition individuals into work quickly, due to high
unemployment.
However, the context of the business environment has
changed markedly with no corresponding movement in the national training
system.
o
During the Skilling Tasmania Policy Consultation process it was noted that
employers in general are still not satisfied with the overall quality of training
delivered. This has been recognised and aims to be addressed by the
introduction of AQTF 2007 which is said to be more focussed on outcomes
during the auditing of RTOs. However, it has been argued that the new
regulatory system is still overly bureaucratic and fails to measure quality
Training Demand Profile July 2008– Tourism and Hospitality
13
through proxy mechanisms, as ‘quality’ can be a highly differentiated and
heterogeneous concept.
Given the fact the basic competency-based
framework has not changed, neither have funding arrangements. The new
AQTF 2007 system has been likened to ’shifting the deckchairs on the Titanic’.
o
The Institute of Skills Trade Excellence has recently begun a star rating
system for RTOs which is based on independent assessment of training
quality but it remains to be seen how and if this independent process delivers
greater confidence in the quality of training delivery and assessment.)

Meeting industry need
o
There is a widespread belief that training providers do not deliver what
operators want/need and there is a gap between what is delivered and what is
needed in a ‘real life’ operation. There is also distrust due to a perceived lack
of rigor of the assessment-only method of skills development, where there is
very little evidence of actual training to achieve skills development. Whilst this
may be a legitimate means of recognising existing skills it is not seen as a
satisfactory means of developing new skills and capabilities.

Access to funding
o
Reports suggest that operators find it hard to get through the administrative
process required to access funding for training.
o
It is also suggested that in order to access funding, full qualifications need to
be undertaken whereas ‘skills clusters’ might be more appropriate. However,
these are not recognised as discrete qualifications within the training package
or funded through direct funding arrangements to employers (e.g. user choice
provisions).
o
Funding for continuing training beyond Certificate III level may not be available
for those who have undertaken training elsewhere, despite the fact that they
need to progress to a higher level qualification (i.e. an inability to access
funding for ‘life long learning’).
Training Demand Profile July 2008– Tourism and Hospitality
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
Higher level managerial/supervisory training for existing staff/management
o
Restrictions on time, access to flexible options and a perceived lack of
customisation of learning are preventing ongoing learning once individuals
reach supervisory or managerial levels.
o
A general lack of understanding of contemporary managerial skills/
abilities/knowledge is a barrier to recognition of need (e.g. people ‘don’t know
what they don’t know’) and therefore creates a barrier to a development of
demand.
o
Lack of confidence in the options of available training and providers of that
training.
o
There is a general malaise in regard to recognising the importance of
improving managerial capability. This is especially so among those operators
whose business is part of their ‘lifestyle’ choice.
o
Industry intermediaries and business associations widely reported a noticeable
reticence among managers and owners to admit that a deficiency in their own
skills/ability/knowledge may exist. This was given as a possible reason for the
lack of impetus among operators to seek assistance (e.g. training, mentoring,
business coaching).
Training Demand Profile July 2008– Tourism and Hospitality
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Part Two
Skill Shortages
Whilst skill shortages have been reported in Tasmania in the tourism and hospitality industry for
some time, there are other macro-level impacts that are exacerbating the current difficulties
operators are reporting about finding staff.
Tasmania has a population that is aging at a rate more rapid than any other state in Australia.
The workforce is also aging and it is anticipated that within the next two years (perhaps
sooner), Tasmania will see more people leaving the workforce than entering it. This has never
been experienced before. Add to these factors the general shift away from tourism and
hospitality (in general terms) as an attractive industry for new entrants due to opportunities in
other industries, the difficulties now encountered by operators in finding qualified, skilled and
‘personable’ staff go beyond training and skill development in isolation.
It has been reported from all sectors, that whilst there is a skill shortage, the most critical issue
is that of employability skills for this industry: having practical skill is not sufficient. Given the
type of work undertaken, personality, communication abilities, attitude, work ethic, a friendly
nature and a desire to undertake work outside ‘normal’ working hours is imperative. Whilst
these qualities are highly subjective and relatively unquantifiable, they are consistent with the
needs of industry across jurisdictions and the difficulty in finding suitable people exists across
Australia and, indeed, in many other countries that rely heavily on tourism and hospitality as an
economic contributor. It can be argued that the reason why it has become more difficult to find
suitable people for the industry today is the shrinking of the labour pool in general, competition
from other industries and the relative unattractiveness of conditions within the tourism and
hospitality workplace.
The State and Territory Skills in Demand Lists – Tasmania12 indicates that the following statewide shortages exist

Chef

Cook

Pastry Cook
12
http://www.workplace.gov.au/workplace/Publications/ResearchStats/LabourMarketAnalysis/SkillsInDemand/Statea
ndTerritorySkillsinDemandLists-Tasmania.htm
Training Demand Profile July 2008– Tourism and Hospitality
16
The following table summarises the skills shortages that respondents to this research have
experienced.
Occupation
Chef
Cook
Not an attractive job
Reasons for perceived skills shortages
High demand in industry
Perceived skill deficiency

Reports of paying wages in excess
of the individual’s capability just to
attract them, poaching of staff

Reports of paying wages in excess
of the individual’s capability just to
attract them
Pastry Cooks
Kitchen Hands
Food & Beverage

Especially in regional areas

Especially in regional areas

General shortage


(high turnover, high absenteeism)
Front Office


Housekeeping

Gaming



Long hours, relatively low pay, high
stress

Vacancies often not advertised,
recruitment agencies &
headhunting are common

Especially in regional areas and
for seasonal work
Management
Tour Guides
Travel Agents
Caravan Park
Staff

Costing and control, menu compilation,
general kitchen management skills,
hygiene and OH&S

General level of cooking skills, ability to
cook to quantity, hygiene and OH&S

Especially in regional areas,
competing with larger properties

Hygiene, general employability skills

General employability skills, basic f&b
skills, customer service skills, sales
skills

General employability skills, admin and
IT skills, familiarity with online/
e-commerce applications, sales skills

General employability skills

Difficulty in getting licences quickly,
general employability skills, customer
service skills, sales skills

General business management, HR,
marketing and e-commerce

General customer service, product
knowledge, knowledge of Tasmania as
a product, employability skills

Customer service, employability skills,
selling skills, travel experience

Customer service skills, employability
skills, IT skills
Meeting and
Events
Legend:

Employability skills
 Critical issue
 Major issue

Creating difficulties, but addressed by acknowledging deficiencies
Training Demand Profile July 2008– Tourism and Hospitality
17
Typically, operators in regional areas reported difficulty in finding staff across occupations and
are particularly affected by high turnover due to seasonality factors.
Operators in general reported addressing skills/labour shortage issues by taking on unskilled
people and providing ad hoc workplace training, using personal networks to fill vacancies as
required, modifying operations to accommodate lower skill levels/diminished workforce and
filling vacancies with under-skilled people out of ’desperation‘.
It was reported, as is often the case in this industry, that practical skills can be trained and
developed by anyone: it is the underpinning personal skills and abilities that form the
foundation of a functional tourism and hospitality employee who is in high demand, but in short
supply.
The newly-endorsed National Training Package has employability skills embedded within
qualifications. It remains to be seen whether this measure addresses the issue of general
‘work readiness’ and the personal skills deficiencies that have been reported.
Training Demand Profile July 2008– Tourism and Hospitality
18
Part Three
Industry Demand for Training
Tables used in this section represent the Tasmanian proportion of national statistics on the
constitution of the tourism and hospitality industry. Whilst these data give an overall indication
of the profile of each sector, variations in job role classification, definitions of part-time and
casual work and differences in overall business characteristics in Tasmania will have an impact
on the accuracy of the data for Tasmania as a whole.
Size of the industry
Given the indistinct nature and the distortion of a clear demarcation between much of the
tourism and hospitality workforce, the estimation of the size of the industry is indicated as a
whole.
It is estimated that approximately 23,00013 people are employed in the tourism industry
(including hospitality). The majority of businesses in this sector are small (less than twenty
employees) and micro (less than five employees), with a highly casualised workforce operating
in a business environment that can be subject to seasonal fluctuations (i.e. traditionally, the
Tasmanian tourism and hospitality industry experiences a softening of activity during the winter
months).
Labour turnover across the board is usually high. Estimations of between 20% and 100%
per annum were reported among Tasmanian operators. This not only has a cost implication for
businesses, it also impacts on the ability and willingness to provide training and development
for staff and management. Where there is a perception of a lack of return on investment in
training and development, spending or training effort will be curtailed.
So too, as in other states, the level of formal management education among owners and
managers is low, with many respondents of this research suggesting that they have no formal
qualifications in generic business or industry-specific management, nor a desire to seek to
formalise their capabilities or extend their capability with further education or professional
development.
13 13
Tourism Tasmania, 2007. Tourism 21. Strategic Business Plan 2007-2010.
Training Demand Profile July 2008– Tourism and Hospitality
19
Recent consolidation of hotels within business groups, especially in the north-west and south of
the state, has seen a move to a centralised-management business model rather than the
independently-owned and managed property model traditionally in practice in Tasmania.
This will see much of the marketing, human resources management, planning and finance
functions removed from the individual property manager who may become more of an
operations manager, dealing only with day-to-day issues of the property. However, an
economy of scale may lead to greater use of training services for frontline and supervisory
staff, with a cap at the development of supervisory skills, as upper management or strategic
skills may not be required at the property level.
Recruitment practices are typically traditional with many operators utilising basic newspaperbased advertisements. However, widespread discontent with advertising due to the lack of
responses and perceived poor quality of applicants has lead to a greater reliance on word of
mouth, informal networks, ‘poaching’ from other operators and to a lesser degree, the use of
recruitment agencies. A lack of understanding of contemporary human resources practices,
recruitment processes and current labour market challenges may be an underlying issue here.
The minority of respondents who engage recruitment consultants (including Job Network
agencies) have also expressed frustration at the difficulties encountered with finding suitable,
adequately-qualified and skilled staff – especially in the cookery trades and in management.
Respondents have also identified a general increase in applicant demands for better
remuneration and conditions, despite no perceived corresponding increase in professional
qualifications or ability of those applicants. This is indicative of a labour market where supply is
at a premium and operators are no longer in a position to deny such requests, due to a state of
’desperation‘ for staff. This is also illustrated by turnover. Respondents have suggested that
staff are able to readily move jobs if a better offer is made elsewhere (often outside of this
industry), thus driving up demands for better pay and conditions still further.
Again, a
misunderstanding of, or misapplication of, contemporary human resources management skills
may be an underlying issue here.
The use of group training is typically concentrated within larger properties or small to medium
enterprises that engage group training apprentices to alleviate skills shortages over peak
periods.
Training Demand Profile July 2008– Tourism and Hospitality
20
Hospitality and Tourism
Characteristics of the existing workforce
Hospitality operations in Tasmania, for the purposes of this report, are considered to be those
businesses that provide food, beverage, gaming and accommodation services around the
state.
Tourism operations are those businesses that provide attractions, tours and guiding, meetings
and events and retail travel services. For the purpose of this report, accommodation providers
other than hotels are included as tourism operators (including caravan and cabin
accommodation, bed and breakfast, and short stay accommodation). Much of the tourism
sector is made up of micro businesses (less than five employees) that are largely owner
operated.
Typically, there is a concentration of hospitality businesses in the major gateway centres
(Hobart, Launceston and Devonport) and within destination regions such as Cradle Mountain,
Strahan, East Coast/Freycinet Peninsula, the Huon and Tasman Peninsula.
Tourism
operations often have a presence (either physical or by way of representation) in gateway
‘shopfront’ locations and may operate within major centres and in regional and remote areas.
Typically, tourism operators are micro businesses.
(See Tourism Tasmania’s regional tourism marketing strategy
http://www.tourismtasmania.com.au/pdf/2007_tasind_regionalmarketingstrategy.pdf)
Training Demand Profile July 2008– Tourism and Hospitality
21
A workforce ‘snapshot’ of the Tasmanian tourism and hospitality sector
Job^^
Estimated
numbers #
Gender
Mix
Attrition
%/year
Club Managers
(licensed premises)
216
70% M
30% F
1.4%
Hotel/Motel
Managers
491
61% M
39% F
14.6%
Restaurant and
Catering Managers
1372
46% M
54% F
13.4%
Hotel Service
Supervisors
120
42% M
58% F
8.1%
Gaming Workers
221
57% M
43% F
10.6%
Bar Attendants
1405
46% M
54%F
33.4%
Waiters
3083
22% M
88% F
36.1%
Chefs
1734
75% M
25% F
19.9%
Cooks
1209
42% M
58% F
19.8%
Kitchen hands +
1010
42% M
58% F
26.5%
Bakers and Pastry
cooks +
54
81% M
19% F
21.2%
Caravan Park and
Camping Ground
Managers
80
55% M
45% F
12%
Travel Agents &
Tour Guides
735
28% M
72% F
23.8
Notes:
Employment Status *
94% FT 6% PT
Average hours worked
45.3
92% FT 8% PT
Average hours worked
60
75% FT 25% PT
Average hours worked
49.9
74% FT 26% PT
Average hours worked
35.1
77% FT 23%PT
Average hours worked
39.1
44% FT 56% PT
Average hours worked
39.3
23% FT 77% PT
Average hours worked
39.5
82% FT 18% PT
Average hours worked
44.8
57% FT 43% PT
Average hours worked
40.3
26% FT 74% PT
Average hours worked
38.6
85% FT 15% PT
Average hours worked
45.2
92% FT 8% PT
Average hours worked
59.7
78% FT 12% PT
Average hours worked
39.8
Age
Distribution
72.1% 35-55+
Median age
45
73.5% 25-54
Median age
43
78.7% 25-45
Median age
41
81.2% 20-44
Median age
31
73.2% 20-44
Median age
34
60.2% 20-34
Median age
24
69.4% 15-24
Median age
21
75.5% 20-44
Median age
34
48.6% 15-34
Median age
35
(bi-modal
distribution)
50% 15-24
Median age
25
72.9% 20-44
Median age
31
90.1% 35-55+
Median age
46
56.8% 25-44
Median age
35
Figures based on ABS Labour Force Survey, Australia - 2006
^^As defined by DEEWR Job Outlook
+Proportion
as allocated to accommodation, cafes and restaurants.
#As suggested by Tasmanian proportion of DEEWR reported national figures
*Part-time labour includes casual labour figures
**Workers employed in hotel gaming venues may be represented as bar attendants or waiters
Training Demand Profile July 2008– Tourism and Hospitality
22
Normal drivers of training demand
The demand for training in tourism and hospitality springs from both the employment and
labour supply sides. It should be noted that employers are more likely to prefer and mostly
expect prospective employees to come to them ‘job ready’ and may only anticipate providing
‘top up’ training, which is largely provided in-house. Responses to this research indicated that
operators are more likely to deliver no formal training at all or only that required for compliance.
(See below. Where formal training beyond compliance was offered, it was likely to be a mix
[often ad hoc] of formal and informal training across Certificate II – IV levels, in partnership with
either or both public and private RTOs.)
There are reasons for this, including:

The cost of training is seen to be an issue, given the highly casualised nature of the
industry (‘why train when they’ll leave anyway?’) – whether that be due to having
employees out of the workplace or in-house delivery by other staff. Also, there is a
general lack of confidence in the system to provide return on investment for the
training dollar. That is, there may be no clear link between training and productivity
gains, especially where an assessment-only pathway is implemented to gain
qualifications. Essentially, people are qualified for what they already know and
therefore, they may not be a measurable return to the business.

A general lack of ability of the training package to meet their needs, given that only
full qualifications are funded through user choice provisions: so if an employer only
wants a certain set of skills developed, they are more likely to provide it on an ad hoc
basis in-house to keep their costs down.
This research suggests that the major drivers for training on the employment side are as
follows:

Legislative compliance – training in units such as:
o THHBFBO9B/SITHFAB005A (commonly known as) Responsible Service of
Alcohol.
o THHADG03B/SITHGAM006A (commonly known as) Responsible Service of
Gaming or the unaccredited equivalent provided in Tasmania by the Australian
Hotels Association.
Training Demand Profile July 2008– Tourism and Hospitality
23
o Gaming-related training (e.g. Keno, TAB, electronic gaming machine operative
courses etc.), much of which is provided by Network Gaming.
o Occupational health and safety, much of which is provided outside the public
system by specialist educators.
o Food hygiene.
o First aid, much of which is provided outside the public system by specialist
educators such as St John’s Ambulance.

Up-skilling of existing staff
o Australian Government training incentive funding has prompted operators to
access Certificate III and Certificate IV level training for employees moving into
supervisory and managerial levels. However, this seems to be confined to
larger operators and in hospitality in particular, group-owned and operated
properties (hotels).
o It is interesting to note that some operators are opting to utilise other training
packages for generic skills development of experienced staff. In particular, the
use of the Business Services Package at a Certificate IV level (e.g. Certificate
IV in Business) provides generic business management competencies. These
can be tailored to a hospitality application and provide a direct entry to the
qualification without the need to have completed units embedded within the
Certificate IV from lower level qualifications as in the Hospitality Package.
That is, the individual can save time and money by accessing the
competencies required (e.g. business planning, HRM, marketing) without
having to seek RPL (recognition of prior learning) or training/assessment for a
range of competencies that they may already have.
Also, it has been
suggested that the needs of bottle shop operations are not effectively met by
either the Hospitality Package or the Retail Package because a blend of the
two is required. Whilst this is possible with the flexibility to import units, it is
suggested that RTOs are not willing or able to offer such a hybrid.

Labour turnover and attrition
o The hospitality sector, in particular, has one of the highest levels of labour
turnover of all industries. Average hotel turnover has been measured at nearly
49%, with operational staff turnover at 50% and management turnover at just
over 39%. This compares very unfavourably to the national turnover average
Training Demand Profile July 2008– Tourism and Hospitality
24
of 22%.14 Research for this report found turnover among hospitality operations
mirrored these findings, with one respondent reporting turnover of operational
staff at 100% due to seasonality factors.
o Whilst turnover is high, it is usual for hospitality workers to move within the
industry. However, attrition is cause for concern. Operators reported that
trained workers were leaving their employ for work in other industries, moving
interstate or being retrained for other occupations due to dissatisfaction with
work in the industry. So whilst people are being trained, many do not make it
to work in the industry as they become disenchanted during the process of
being trained for this type of work. Again, little research has been completed
on this issue in Tasmania, but is similar to research conducted elsewhere.

Employment of ’less than ideal‘ staff
o The current labour market challenges have lead to operators engaging staff
who would not, in previous years, have been considered suitable for
employment due to skills deficiencies. This has lead to short-course hospitality
skills-specific training such as coffee-making skills, bar skills and
housekeeping skills. However, evidence15 suggests that much of this training
demand is being met by private providers or being delivered ‘in-house’ by
operators and their more experienced staff.

Increasingly astute customer base
o Access to information, a better educated travelling public and an increasingly
sophisticated domestic customer is creating demand for training in regard to
the overall provision of appropriate customer services and broad-based visitor
experiences in both tourism and hospitality. Again, this demand is not being
met by currently available training options. Respondents overwhelmingly
suggested that customer service elements and more ‘esoteric’ and intangible
attributes such as personality, manners, understanding of their own area or
region, friendliness and other basic employability skills are not addressed by
training delivery or the training package framework. A very common lament
among operators is that they can train practical skills but the raw material is
just not available.
14
15
TTF Australia, Labour Turnover & Costs in the Accommodation Industry. November 2006.
No reliable data exists to quantify delivery of private training given the lack of mechanisms to collect such data.
Training Demand Profile July 2008– Tourism and Hospitality
25
(This may be eased somewhat, given that employability skills are now
embedded within the Hospitality and Tourism Training Package.)

Technology
o A very strong and emerging need is that of information and communications
technology (ICT). Global competition, e-commerce, digital distribution and
inventory-management methods are increasingly becoming an important
element of even the smallest tourism and hospitality business operation.
However, industry reports that current training options have not met the need
to date16. This is possibly due to a general but diminishing ignorance of the
importance of applications to businesses (particularly micro businesses).
Research for this report suggests that the major drivers for training on the labour supply
(i.e. people seeking training) side come from people seeking training prior to entering the
tourism and hospitality workforce. These segments are as follows:

School leavers
o A diminishing number of school leavers is seeking to be employed in the
hospitality industry in particular and are undertaking courses to gain
employment.
These courses range from short courses of unit clusters
(e.g. food and beverage, kitchen operations, guiding) to full qualifications such
as Certificate III and IV level courses that may articulate into the Advanced
Diploma level qualifications.

Mature age people
o People looking for part-time work to support a lifestyle in retirement or preretirement are undertaking short courses to gain employment in the industry.
This is particularly so in regional areas where casual and seasonal
employment can meet the needs of a mature labour source.

Job Network clients
o It has been reported that a proportion of people seeking to undertake training
are doing so as a means to meet the requirements of case management under
income support provisions. Whilst this may deliver skilled people to the
industry, respondents believed that applicants for work coming via this
pathway often need a greater level of support in other work-related matters
At the time of writing Skills Tasmania and the Tourism Industry Council of Tasmania are embarking on a
programme to address this training issue.
16
Training Demand Profile July 2008– Tourism and Hospitality
26
such as literacy and numeracy, basic work skills and lifestyle support in order
to create ‘job ready’ candidates for customer service roles.

International students
o A growing proportion of students accessing training through the public system
in Tasmania are from overseas. This delivers a labour source that may
provide skilled labour for the term of their stay. Whilst many may suggest this
is just short term, the length of tenure of domestic university students is, in
many cases, the same as overseas students at around three to four years.
Changes occurring in the demand for training
Given the issue of labour shortages in Tasmania, greater emphasis is being placed on
employability and ‘soft skills’ (e.g. friendly personality, accommodating nature, appropriate
manners, adequate communication skills and good ‘work ethic’) associated with the delivery of
tourism and hospitality products and services. This is not new and is evidenced by similar
responses from operators in the 2004 Training Demand Profile.
However, whilst operators reported difficulty in finding suitable people in 2004 they were able to
find prospective employees with requisite ‘soft skills’ from a larger pool of applicants. Today
that pool has largely disappeared. This is evidenced by a consistent and almost universal
indication that whilst technical skills can be trained, people applying for jobs in the industry, by
and large, do not have the underpinning personal skills to be developed into hospitality
workers, even with training. So too, whilst individuals are reportedly presenting with hospitality
qualifications, many have little in the way of the ‘soft skills’ required and are therefore
unemployable. The overwhelming message from operators (across the board) is to focus on
developing employability skills during training and attract those with the fundamental personal
abilities to deliver hospitality products and services.
Given that the physical availability of people for training overall is diminishing and competition
for ‘personable’ people is very strong from other industries, it is doubtful that training on its own
will provide a panacea, even though the new National Training Package now has employability
skills embedded within it. Operators and industry bodies are suggesting that RTOs need to
focus on who is being trained as well as what skills are being trained in order to deliver a ‘well
rounded’, suitable candidate for employment in this industry. This is a major underpinning
challenge.
Training Demand Profile July 2008– Tourism and Hospitality
27
Other issues regarding changes in the demand for training include:

ICT
o Many operators and staff do not have the skills within their organisations to
meet the current and future demand of e-commerce including digital
distribution methods, online marketing and inventory control.
This is a
pressing need, given the importance of this method of doing business in a
global economy.
It has been reported that operators, particularly micro
businesses, either do not recognise the importance of developing skills in this
area or are intimidated by the prospect of declaring their skills need and/or
accessing training to develop requisite skills.

Managerial skills
o Industry bodies as well as larger operators indicated that there is a lack of
availability of people with contemporary managerial skills. This cuts across
this sector from general management to departmental management
(e.g. reception/office management, housekeeping and food and beverage), as
well as higher level kitchen operations. This may be indicative of a move by
industry and training providers to focus on skilling the ‘front line’ to Certificate II
and Certificate III level, to meet the perceived skills shortages within entry level
occupations during the late nineties and early this century. However, a
general lack of interest and motivation in continuing to develop skills in
managerial occupations by industry and individuals has lead to a pressing
need for capability building in this area.

Differing needs of learners
o The industry will need to focus on non-traditional sources of labour
(e.g. women returning to the workforce, mature age workers, non-English
speaking individuals) and therefore the way that training is offered in terms of
delivery style, time, location and structure will need to be customised.
Changes required to the nature of training
There are several pressing issues regarding the delivery of training for tourism and hospitality
operators. Some are matters for RTOs and industry to negotiate; others are more complex,
requiring a deviation from currently accepted models of funding and training provision structure
and governance, and may impact on the national agenda for VET training.
Training Demand Profile July 2008– Tourism and Hospitality
28

Flexibility
o The issue of flexibility of training delivery continues to be prominent for this
industry. On the job, assessment and delivery is a basic requirement. Private
providers are perceived to be more nimble than their public counterparts
regarding delivery on site and being willing and able to deliver where, when
and as often as the client/learner needs. A move away from classroom-style
delivery for most practical training is required. (At the time of writing, the major
public provider, Drysdale Institute, is moving toward this model.)
However, it is clear that the ‘tick and flick’17 assessment-only method of achieving
qualifications is reported to be inadequate in delivering practical skills and
underpinning knowledge. Operators have suggested that they expect actual training,
not just assessment, given that in some cases operators/management are unable or
unwilling to spend the time passing on skills to their staff to training package
requirements. So too, some operators do not have the requisite skills themselves
and rely on trainers to deliver skills development. This is where the reliance on the
workplace to deliver or support skills development as a pathway to assessment-only
practices is highly flawed and is contributing to a lack of confidence in the whole
training system.

Greater knowledge and use of customisation by RTOs
o It has been reported that much of the training available is generic and not
suited to the industry or to the workplace. Greater effort and understanding on
the part of RTOs can eliminate this criticism.
For example, one respondent suggested that she had difficulty in finding
relevant training for bottle shop operations, given that neither the hospitality
training package nor the retail training package offers a qualification in bottle
shop operations. Her training need has thus far gone unmet. However, there
is very little effort involved in customising a Certificate III in Hospitality, for
example, to meet this need, given that there is room to import units from the
Colloquialism applied to the granting of qualifications for no real effort on the part of the assessor and perhaps
no real learning or skill development on the part of the trainee.
17
Training Demand Profile July 2008– Tourism and Hospitality
29
retail training package and an ability to deliver hospitality units such as Sell
Products and Services and Receive and Store Stock in a bottle shop context.
Few public or private providers write their own materials as it is costly and
often not recoverable from the client. This leads to generic and sometimes
outdated materials (e.g. workbooks, assessment materials) being used as
support mechanisms for training, thus the lack of creativity and flexibility.

Managerial professional development.
o Whilst there is a clear need for ongoing professional development past
Certificate IV level (as identified by employers and industry intermediaries),
there is little engagement from employers or those employees who may have
been in the industry for some time.
All higher-level vocational training
(i.e. Advanced Diploma level) is delivered by TAFE mostly in an institutional
context. This is not appropriate for people working in the industry full time (as,
typically, management would be). So too, text book delivery is not appropriate
for this cohort either. A clear message from respondents to this research
suggests that any managerial professional development should:

not be called training. This cohort does not think they need training,
they need ’assistance to improve their businesses’

not be delivered in a group situation.
Revealing that one has
knowledge or skills gaps is intimidating and belittling for this cohort.
One-on-one mentoring is preferred

be flexible - delivered when they want it

relevant and customised to their business and individual needs

contemporary – matched to what is going on in their context today

assessed in context and using normal business operations as a form
of project work (e.g. assess business planning by doing a business
plan, not an assignment)

not based on a full qualification but on skills clusters (e.g. marketing,
human resources management, business planning, etc.)

be delivered by people who are credible, experienced and respected
by the industry.
Training Demand Profile July 2008– Tourism and Hospitality
30
These issues are indicative of the broader needs of small business in general. See
Dawe, S. & Nguyen, N. 2007. Education and training that meets the needs of
small business. A systematic review of research. NCVER.

Skills clusters
o Given the highly transient and seasonal nature of the Tasmanian tourism and
hospitality industry, it is common for trainees to move employers before their
nominal two or three year training contract is complete. Whilst transfer of the
contract to a new employer is possible, it is often not undertaken. Thus,
qualifications may go uncompleted.
The introduction of funded skills clusters is a highly-supported method of
circumventing the issue of transience.
That is, rather than funding full
qualifications, funding should be available for the completion of unit clusters
that fit together to form a practical vocational outcome such as bar,
housekeeping or events coordination. It would be possible over time to collect
enough skills clusters to form a full qualification that would not be contingent
on remaining with a single employer for the full term of the training/assessment
for that qualification. Also, where certain skills are not available in one
operation/business, they may be achieved by moving on to another as people
move around the industry.

Funding individuals rather than employers for portability over time
o Given the mobility of the tourism and hospitality workforce, it makes sense that
funding follows the individual to complement the skills cluster suggestion.
Funding individuals, perhaps through a regulated voucher system, avoids the
issue of repeat commencement payments if a trainee fails to complete one
qualification and then moves on to commence another, perhaps with a
different employer. It also allows for higher level qualifications to be funded in
cluster form over a period of time or for those people who only need
recognition of current competency, to bring them up to say, a Certificate IV
level with actual training to an Advanced Diploma level qualification.
Training Demand Profile July 2008– Tourism and Hospitality
31

Funded training for casual employees
o Whilst a pilot programme for funding casual traineeships has been, in theory,
available to employees and employers, few, if any, employers know about it or
have accessed the programme. The reasons for this need to be investigated
and rectified, given the high proportion of casual labour in this industry.
Effectively, not making funding available for casual employees is contributing
to the issue of turnover and perpetuating the erroneous perception that work in
hospitality requires low or no skills. (Skills cluster funding or funding for
individuals would alleviate the limitations of only funding full- or part-time
employees. Casual employees could pick up their training and take it with
them to the next or concurrent employer and add to their skills/training
inventory over time.)

Direct employer group funding
o Funding employer groups to engage their own RTO to provide requisite skills
would reduce wastage and ensure tailoring to not only the individual employer
needs but the broader industry need too. Tailoring training becomes more
cost effective and client focussed for the RTO, as costs of customisation can
be spread over a number of clients. Wastage is then minimised as only what
is required is delivered. (A pilot programme delivering ICT skills is currently
underway under the auspices of the Tourism Industry Council of Tasmania.)

Move away from funding only for full qualifications
o The current funding model is clearly not flexible enough for this industry. Full
qualifications are long-term commitments and do not suit an industry that is
highly seasonal, highly casualised and highly mobile. Funding models for
shorter, sharper more customised skills development need to be considered.
And whilst this is provided through the Tas Skills model, this programme has
been, at times poorly supported by both industry and RTOs alike. Reasons for
this should be investigated.
Training Demand Profile July 2008– Tourism and Hospitality
32
Target market for training
The target markets for training are like the drivers for tourism and hospitality training, two fold.
There is the demand for training from those seeking training from outside of the workforce (e.g.
pre-employment training) and those currently inside workforce. The identified markets are:

School leavers (a diminishing market)

Mature age/career changers – a market that should be pursued more vigorously to
expand the labour pool available to hospitality operators. This market includes:
o Mature workers/retirees
o Women with children returning to work
o People who may have a disability but are not incapable of working in a tourism
or hospitality environment. Those willing and able to work less than full-time
hours and who may be in need of occupational rehabilitation from injury or
illness can provide stability and loyalty, even though employed for seasonal or
casual/part time periods

International students – a growing market, especially as the market for international
education from India and Asia is expanding.
Markets inside the hospitality workforce include:

Casual employees (if funding/support can be sourced)

Permanent employees seeking traineeships/apprenticeships for ongoing or initial
skills development

Management – whilst there is a critical need, particularly for hospitality management
professional development (Certificate IV level and above), there is little actual
demand from this segment. This is most likely due to the individual’s (perhaps
erroneous) perception that they do not need training and/or the perceived difficulty in
accessing, funding and completing professional development in a hospitality context.

Owner/managers – ICT training/general business skills.
The emerging
importance of online inventory management and e-commerce in general, requires
skilling in this area across the industry. It is also recognised that there is a proportion
of small/micro business owners who do not possess sufficient general business
management skills. This may be the case where people have taken on a tourism or
hospitality business as a ‘lifestyle’ choice.
However, the ability to market the
business, operate the business and provide requisite services does not come by
Training Demand Profile July 2008– Tourism and Hospitality
33
osmosis. Often it needs to be learned. Unfortunately, it is not until their business is
suffering (and by association, perhaps the Tasmanian brand) that they seek
assistance.
Numbers of people who need to be trained
Given the large number of people undertaking tourism hospitality training from Certificate I to
Advanced Diploma level, the difficulties in finding skilled, qualified and appropriately motivated
people to staff the sector are not to do with training per se. It can be argued that there is no
shortage of publicly- and privately-funded hospitality training in Tasmania.
This research, published research in general, hospitality literature and that of previous
Tasmanian training demand profiles indicate that whilst literally thousands of people are being
trained in Tasmania, suitability for work in this industry, demonstrated skill level and desire to
remain in the industry is deficient.
There are, however, other elements to this argument than just training. Turnover and attrition
rates suggest that whilst individuals have qualifications in tourism and in hospitality in
particular, they do not remain in the industry. This has broader implications that go beyond the
scope of this report and into the current workplace proper, where working conditions,
management methods, human resources practices and industrial arrangements will have a
bearing.
Simply put, rather than a skills shortage, Tasmania is experiencing a general labour shortage
and skills wastage. That is, people trained and/or qualified for the tourism and hospitality
workforce either never commence employment within industry occupations or leave, perhaps
for better options elsewhere.
The following tables provide some indication of how this issue is compounded by attrition from
tourism and hospitality training before qualifications are completed. Please note that these
data represent the most common qualifications in this industry, not all training delivered in this
sector.
Training Demand Profile July 2008– Tourism and Hospitality
34
Hospitality Enrolments and Completions 2002-2006#
Qualification*
Commenced+
Completed+
% Completed+
Cert I in Hospitality (Operations)
651
382
58.7%
Cert I in Hospitality (Kitchen Operations)
978
596
60.9%
Cert II in Hospitality (Operations)^
14282
2647
18.5%
Cert II in Hospitality (Commercial Cookery)
1472
467
31.7%
44
22
50%
Cert III in Hospitality (Operations)^
5257 (-978)@
1747
40.7%
Cert III in Hospitality (Commercial Cookery)
2619 (-380)@
699
31.2%%
79 (-3)@
23
30.2%
127(-63)@
50
78.1%
53
9
17%
Cert IV in Hospitality (Supervision)^
1057(-123)@
495
53%
Diploma of Hospitality Management
57
20
35.1%
Advanced Diploma of Hospitality Management
280
185
66.1%
25409
7342
28.9%
Cert II in Hospitality (Patisserie)
Cert III in Hospitality (Patisserie)
Cert IV in Hospitality (Commercial Cookery)
Cert IV in Hospitality (Patisserie)
Totals of these selected qualifications
(expected completions)
+ These
data must be read with some caution given the lack of clarity in regard to duration of course/traineeship
*Or equivalent where qualification names changed due to introduction of new package (2002)
# Does not include private fee for service training. Statistics not collected
^ Includes pre 2002 package operational qualifications (e.g. food and beverage and accommodation)
@ Indicates new enrolments that would not have been expected to complete during the data period
(Source of raw statistics: Skills Tasmania).
To provide a context for these statistics, data from the National Centre for Vocational Education
Research report on Tasmanian completions (2006) indicates completion rates of training
contracts (trainees commencing in 2001)18.
For example, the following traineeship completions were reported as per ASCO
classifications19:

Construction (e.g. joiners, plumbers, bricklayers, carpenters)
62.5%

Elementary service workers (e.g. laundry workers, car park attendants)
70.4%

Automotive tradespersons (e.g. mechanics)
70.1%

Intermediate service workers (some tourism and hospitality occupations included)
(e.g. personal care consultants, fitness instructors, dental assistants)
65.1%
NCVER, 2007. Australian vocational education and training statistics: Apprentices and trainees 2006 –
Annual. Australian Government, Canberra.
19 Australian Standard Classification of Occupations
18
Training Demand Profile July 2008– Tourism and Hospitality
35
Tourism Enrolments and Completions 2002-2006#
Qualification*
Commenced+
Completed+
% Completed+
Cert II in Caravan Park Operations
9
3
33.3%
Cert III in Caravan Park Operations
12
1
8%
Certificate I in Tourism (Aust Indigenous
Culture)^
Certificate II in Tourism (Sales Office Ops) &
(Attractions and Theme Parks) > ^
Certificate II in Tourism (Guiding)^
45
10
22.2%
526
114
21.7%
70
28
40%
Certificate II in Tourism (Operations)
1927
854
44.3%
Certificate III in Tourism (Meetings and Events)^
137
120
87.6%
Certificate III in Tourism (Retail Travel Sales)^
212
60
28.3%
Certificate III in Tourism (Int’l Retail Travel
Sales)^
Certificate III in Tourism (Tour Operations)^
314
210
66.9%
23
2
8.7%
6
3
50%
Certificate III in Tourism (Visitor Info Services)^
193(-13) @
129
68.3%
Certificate III in Tourism (Attractions and Theme
Parks)^
Certificate IIII in Tourism (Guiding)^
167 (-25) @
40
28.2%
573(-111) @
241
52.2%
Certificate III in Tourism (Operations)
556(-67) @
158
32.3%
Certificate IV in Tourism (Sales and Marketing)^
206
125
60.7%
Certificate IV in Tourism (Operations)
186
171
91.9%
Certificate IV in Tourism (Team Leading),
(Guiding), (Natural and Cultural Heritage)> ^
Diploma of Tourism (Marketing & Product
Development )^
Diploma of Event Management^
107
77
71.9%
98
93
94.9%
479
198
41.3%
Advanced Diploma of Tourism Management^
343
308
89.8%
Totals of these selected qualifications
(expected completions)
6043
2945
48.7%
Certificate III in Tourism (Tour Wholesaling)^
+ These
data must be read with some caution given the lack of clarity in regard to duration of course/traineeship
>Where qualifications have low enrolments they have been combined for the purposes of reporting only
*Or equivalent where qualification names changed due to introduction of new package (2002)
# Does not include private fee for service training. Statistics not collected
^ Includes pre 2002 package qualifications
@ Indicates new enrolments that would not have been expected to complete during the data period
(Source of raw statistics: Skills Tasmania).
Training Demand Profile July 2008– Tourism and Hospitality
36
These data clearly show that attrition from tourism training is high and very high from hospitality
training.
Less than a third of people undertaking hospitality training complete their
qualifications and just under half in tourism. There are a number of reasons for this:

Retention is typically higher where training is delivered in an institutional setting
(e.g. Advanced Diploma level and hospitality and in Certificate IV and above in
tourism qualifications).

People move on to other work or study in other occupations as they find that the work
is not what they expected or find opportunities elsewhere (e.g. retail, call centres).

Employees on traineeships/apprenticeships move employers and do not transfer their
training agreements.

Time constraints on trainees/apprenticeships in the workplace place pressure on
people and they do not complete their qualification successfully (e.g. employers not
allowing trainees work time to complete required assessments).

Individuals are hired into workplaces before they complete their institutional training
(this is increasingly occurring with VET in Schools students).
As indicated in the five years depicted in the preceding tables, much of the training effort
(94% of enrolments in the highlighted qualifications in hospitality and 79% in tourism) was
directed to entry level and operational qualifications (Certificates I, II and III). Whilst this has
aimed to skill our operational staff, less emphasis has been on managerial or supervisory level
qualifications.
This may go some way to understanding why there is a reported skills shortage at the
management level but it does beg the question that if 10,287 people have been qualified within
the public system (and there is anecdotal evidence that the private sector trains as many
again20), why does Tasmania have such difficulty finding people to work in the tourism and
hospitality sector?
If the public system can qualify a number of individuals representing nearly half of our current
hospitality and tourism workforce in each five year period, and with the private system, nonaccredited training and partial completions of qualifications adding to that figure too, how can
there be either a labour shortage or skills shortage in this state? Perhaps the answer lies in
20
ACPET, Unpublished account, 2007
Training Demand Profile July 2008– Tourism and Hospitality
37
labour turnover and attrition and diminishing contemporary managerial skills of the sector in
general. Further concerted qualitative research should be undertaken on this issue.
It appears that there is not a shortage of training per se; perhaps it is more an issue of training
people suited to the industry, coupled with a lack of interest in ongoing training/professional
development at the managerial level.
Comments on any government-funded training provision in excess of local industry
needs
The above table suggests that whilst there is much training being delivered, there is still an
industry need for skilled staff with the required ‘soft skills’ for customer service and related
roles.
In essence, there is not an excess of local industry need, but perhaps an excess of training that
does not meet industry need. This is a complex issue as the industry is dynamic with rapidly
changing needs, and much of what industry communicates that it needs is ‘esoteric’ and
difficult to train ‘into’ people (e.g. friendliness, work ethic, the ‘right’ personality or attitude).
This said, there is a need for better communication and liaison between industry, industry
bodies, government agencies (e.g. Skills Tasmania and the Department of Economic
Development) and training providers. This will go some way to bridging the gap between what
is needed, what and how it is delivered, how it is promoted and what is funded to develop the
capability of the industry as a whole, rather than just delivering qualifications to people who
may not make long-term use of use them.
Recommendations for the appropriate response by the training system
Some recommendations have been made implicitly elsewhere in this document. However,
data as distilled from interviews with stakeholders suggests the following:

Investigate and take action regarding the high attrition rate from tourism and
hospitality training. This should be a priority given the skills wastage that may be
occurring and the focus should be on traineeships/apprenticeships delivered in the
workplace.

Undertake a thorough destination study to investigate where tourism- and hospitalitytrained people find work (inside or outside the industry). This should be focussed on
generating an indication of skills wastage from this industry (i.e. how much training is
provided and not utilised in the industry) and why this might occur.
Training Demand Profile July 2008– Tourism and Hospitality
38

Encourage RTOs to better implement employability skills development and improve
the rigor of assessment against the learning outcomes in the new package dedicated
to developing these skills.

Encourage the public system to liaise with industry and other stakeholders. This is a
difficult task as whilst industry representatives often say they want to be involved and
consulted, they often do not have the time and energy to invest in initiatives designed
to capture their input.

Industry must be encouraged to take a more proactive and supportive role in the
development of skills for their own businesses. No RTO is capable of delivering
100% job-ready candidates for all businesses.

Develop initiatives to encourage owners/managers to develop their own skills to meet
contemporary business management demands. Whilst training and development has
been available, the uptake of Certificate IV and above qualifications/units has been
traditionally very poor.

Recognise the needs of managerial-level learners and develop a mentoring approach
to professional development outside the qualification structure (e.g. delivery of skills
clusters, rather than full qualifications or even accredited training).

Encourage the public system to move more training to the workplace without
diminishing the rigor of assessment. Provide actual training on the job, not just
assessment. Employers may not be in a position to provide training to staff (either in
terms of time, motivation or requisite skill). Therefore, more workplace training
should be conducted by qualified, industry-capable trainers.

Partner RTOs with stakeholders such as industry bodies and government
departments to better develop a coordinated tripartite approach of training, business
development and funding.

Review the funding arrangements to better meet the needs of the industry, the
learner and the employer and streamline the administration to access support.

Create a ‘level playing field’ for all RTOs with a broader competitive bid arrangement
for publicly-funded training provision. Evidence suggests that some RTOs have
reduced the quality of their services in order to compete with the subsidised delivery
model of TAFE. Skills Tasmania should look to more of a brokerage arrangement,
with TAFE competing on a commercial basis for public funds. Perhaps the Tasmania
Tomorrow reforms might determine whether this suggestion could be implemented?
Training Demand Profile July 2008– Tourism and Hospitality
39

Institute a funding model that provides funds to peak industry bodies to engage and
instruct an RTO to deliver customised, targeted and properly identified (through a
skills gap analysis perhaps) training and assessment programmes direct to
employers. This would generate incentive for the industry to be more involved and
ensure that the outcomes required are delivered by the RTO, individual employers
and trainees as a cohesive group. This may include developing key performance
indicators that are client driven, not national training system driven, to build greater
credibility in training and to move toward a model that improves return on investment
for the training dollar.
Training Demand Profile July 2008– Tourism and Hospitality
40
Information on training demand met outside the Tasmanian public system
There are currently over 60 RTOs represented on the National Training Information Service as
having tourism and/or hospitality units or qualifications on their scope in Tasmania. Many of
those are micro to small businesses. There is no shortage of availability of organisations to
deliver tourism and hospitality training. However, there is a shortage of data to determine how
much training is delivered outside the publicly-funded system by RTOs. Anecdotally, the
Australian Council of Private Education and Training has suggested that perhaps the private
sector delivers as much as the public system in both accredited and non-accredited training.
This, however, cannot be substantiated given the lack of data.
It is clear that tourism and hospitality operators are delivering their own training in-house with
all respondents suggesting they do some form of on-the-job training in-house without the aid of
professional trainers.
One respondent indicated that they had engaged an RTO from regional Victoria to deliver a
qualification from the Caravans and Holiday Park Training Package. This is a concern as it
was suggested that no Tasmanian provider could be found to deliver it, despite there being no
reason why it could not be delivered by a Tasmanian provider with the qualification on their
scope of registration.
The VET in Schools programme is providing a vocational pathway from school to the
workplace. In 2006, 610 students undertook some form of tourism and hospitality training at
school or at college level.
Typically delivering Certificate I and II level qualifications, larger operators suggested that VET
in Schools programmes provide good access to candidates, but there has been some criticism
of the level of capability and motivation to work in the industry that students are presenting with.
This will be discussed in Part Five.
UTas offers Bachelor of Business Administration courses of study in both hospitality and
tourism management. However, only one respondent suggested that they/the industry needed
people qualified to that level, further adding weight to the suggestion that managerial level
qualifications and the development of contemporary management capability is not valued by
the industry in general. Please see Part Seven for more detail on higher education.
Training Demand Profile July 2008– Tourism and Hospitality
41
Additional industry advice not directly related to industry demand for training
One of the most debilitating issues currently facing the industry is the macro level changes to
the Tasmanian economy, workforce and demography. Very few operators have a clear
understanding of the potentially disastrous impacts that an aging workforce, an aging
population and a failure to adequately skill industry staff will have in the very near future.
Anecdotal evidence suggests that businesses have reduced capacity in their trade because
they are unable to find staff to provide services to customers. This situation will not right itself.
A clear message should be delivered to operators through Skills Tasmania in concert with
industry bodies that if the industry is to reach targets set down in Tourism Tasmania‘s Tourism
21 Strategy Document, the industry needs to develop capability, from the top down.
A more professional industry, prepared and able to face contemporary business environment
issues, will only come about through the provision of a focussed, coordinated and determined
approach to skill and capability development.
Skills wastage, current industry working
conditions and outdated general management practices will not serve the industry well in the
short term and may prove to be detrimental to the long-term viability of many Tasmanian
operations.
Training Demand Profile July 2008– Tourism and Hospitality
42
Part Four
Assessment of Infrastructure Needs
Given the move away from classroom delivery of much of the training in this industry, bricks
and mortar infrastructure will come to play a diminishing role in the future.
Instead,
infrastructure development should be focussed on equipment to facilitate more flexible delivery
arrangements (i.e. training in the workplace by trainers, not just assessment that relies on skill
development by osmosis in the workplace only) such as electronic delivery of materials and
digital support mechanisms for trainers and assessors in the field.
A greater level of mobility will also facilitate delivery in regional areas of Tasmania as the
dependence on a physical training institution is not required. Professional development for
trainers and assessors may be required in certain quarters to facilitate a shift from classroombased delivery to more workplace delivery.
Trainers may need to shift from a teaching mode to a mentoring mode to deliver professional
development as distinct from training for higher-level qualifications at managerial levels. This
requires a different skill set and may require professional development too.
In regard to training and skills development that may still require bricks and mortar
infrastructure, the Drysdale facilities around Tasmania meet requirements. In a move toward a
more level playing field of competition, private RTOs have access to public infrastructure
(e.g. training facilities, libraries, online access centres) on a cost recovery basis. This should
be considered as the capacity of the public facilities may be more efficiently used outside the
current Drysdale delivery schedules. Again, this is something that should be addressed as part
of the Tasmania Tomorrow agenda.
Training Demand Profile July 2008– Tourism and Hospitality
43
Part Five
Information on VET in Schools and Australian School-based
Apprenticeships and Traineeships
School-based Apprenticeships and Traineeships
Respondent awareness of Australian School-based Apprenticeships and Traineeships (SBT)
was very low, with only two respondents in hospitality operations having an awareness of the
availability of this form of traineeship. It is clear from this response that marketing of SBT has
failed to gain traction. So too, it is the opinion of one respondent that SBT is counterproductive
to retention in the school system and is difficult to administer from a school perspective, as well
as an industry perspective.
However, it was widely believed that the age of school-based trainees was a factor preventing
take up of the opportunity amongst operators. This was particularly so for operators who
require a level of maturity higher than school age people (e.g. smaller licensed premises, tour
operators and vineyards). Despite this, other operators such as restaurants and hotels would
consider the option at Certificate I or II levels only, given the right person.
VET in Schools
Qualifications and pathways appropriate for delivery through VET in Schools
Typically, VET in Schools programmes offer Certificate I or II level qualifications in hospitality
(food and beverage or kitchen operations) and tourism. Given the requirement for national
recognition of qualifications issued via VET in Schools, the pathway is open to higher level
qualifications in the workplace or by way of institutional delivery (i.e. into Certificate II or higher
qualifications). This is seen to be appropriate as long as the learning is supported by industrycompetent teaching/training staff. Higher level qualifications are not appropriate given the
limited ‘life experience’ and work experience of students.
Development and support for VET in Schools programmes
Whilst VET in Schools programmes have been criticised for their perceived lack of ability to
produce ‘job ready’ candidates for industry, they offer an important ‘taster’ for work in the
industry. It could be argued that some operators do not provide support during placements to
encourage students to pursue a career in the industry, instead seeing VET in Schools students
as disposable unpaid labour, rather than potential staff.
Training Demand Profile July 2008– Tourism and Hospitality
44
In regard to VET in Schools programmes, it was widely believed that whilst they offer an
important pathway into the industry, making arrangements to accommodate the needs of
students on premises was a burden that smaller (especially micro) businesses were unable to
meet (i.e. supervision, administration, offering useful outcomes).
For larger operators,
particularly in hospitality, VET programmes offer a useful pathway into work with operators in
this sector, suggesting that it is a valuable source of potential candidates and an important
entrée to the industry for young people. One respondent indicated that they had hired two
cookery apprentices from the one college at the end of 2007. Another indicated that he would
rather give time to VET in Schools students than those from other public RTOs as they were
much better prepared for the workplace in terms of employability skills.
However, there is much to be done in order to develop the linkages between industry and VET
in schools. Most importantly, the relationship needs to be perceived as a two-way street in
which industry has a greater role to play. VET in Schools providers are willing, able and
motivated to encourage greater liaison between programmes and industry but are often
constrained by the limited time and effort that industry operators have to give to school-based
programmes.
Despite the need, operators are unaware of any coordinated approach to the development of
closer linkages to schools. Whilst Industry Liaison Officers exist within the Skills Tasmania
framework to provide a link between VET in general and industry, they do not and cannot fulfil
the role required to adequately create and maintain tightly-bound connections between VET in
Schools and industry. This conduit needs to be resourced across the state in order for a
coordinated approach to be developed and maintained. It would make sense to engage peak
industry associations in any initiative undertaken.
Emerging opportunities
The continuing labour shortage in this industry provides VET in Schools with a perfect
opportunity to deliver candidates to industry. However, closer liaison needs to be fostered in
order for a better ‘fit’ between industry needs and training delivery at this level.
Training Demand Profile July 2008– Tourism and Hospitality
45
So too, industry needs to be more accommodating and provide a more supportive environment
in which skills development can take place. Honours research conducted by a UTas student21
found that many operators failed to provide training or training support to VET in Schools
students and conditions of work whilst on placement were enough to turn students away from
hospitality, in particular, to other vocational aspirations. In a labour market such as it is now,
the industry cannot afford to lose interested and motivated individuals to other occupations.
School-based apprenticeships and traineeships first need to be marketed effectively to raise
awareness of their application before opportunities can be identified.
Simpkin, T. 2005. Antecedents, Expectations and Early Career Experiences. The mental making and
unmaking of hospitality careers. Honours Dissertation. UTas.
21
Training Demand Profile July 2008– Tourism and Hospitality
46
Part Six
Industry’s Top Priorities for the Public System
Research for this Training Demand Profile suggests the following priorities for the public
system:
Qualifications

There appears to be no issue with the qualifications on offer: the major perception
among operators is that qualifications are often not synonymous with the individual’s
ability to achieve the outcomes they should (i.e. cost a menu, provide customer
service, sell the product).
Competencies

There is no doubt that the overwhelming priority regarding competencies is the
development of employability skills and ‘soft skills’. VET in all its forms has to build
practical skill upon a foundation that creates a wholly competent person for this
industry, not just a person with practical skills.

Rigor in assessment is perceived to be lacking as operators report a lack of
confidence in the system due to qualified people presenting with an inability to
perform basic tasks for which they have been deemed competent.

Competencies of trainers are an issue. Greater credibility needs to be built and
confidence in the training providers needs to be developed if the training system is to
be taken seriously by operators.

The public system has a role to play in developing the general business management
competencies of industry players if the industry is to move forward as a highlyprofessional and successful global player.

ITC skills of operators need to be developed in order to meet the demands of a digital
age.

Customer service skills fundamentals are perceived to have been forgotten. The
underpinning ‘reason for being’ of the industry has to be embedded within all
qualifications from Certificate I to Advanced Diploma level qualifications.
Training Demand Profile July 2008– Tourism and Hospitality
47
System priorities

Generate a 21st Century flexible delivery system that supports practical and ‘soft skill’
development with flexibility, customisation and relevance to industry in all parts of
Tasmania, including regional areas.

Move toward partnerships with industry players (e.g. Hotel Grand Chancellor Hotel
School, Mis en Place programme with Pure Tasmania) to generate synergies of reallife workplace learning.

Funding arrangements were designed for an economy just emerging from recession
and high unemployment. We exist in a totally different environment and funding
options should reflect that.

Operators suggest that mandatory ‘on the job’ experience should be built into the
delivery of qualifications in order to develop employment-ready competencies.

Develop truly ‘life-long learning’ opportunities by encouraging the development and
funding of skills clusters for portability over workplaces and time and into managerial
level occupations/qualifications.

Streamline the whole system to provide a ‘one stop shop’ for training, funding,
administration, support and employment services. It is a common comment that the
system is too hard to navigate and there are too many players (e.g. AACs, RTOs,
Skills Tasmania) and the language is foreign to operators.
Training Demand Profile July 2008– Tourism and Hospitality
48
Part Seven
Higher Education
Demand for industry skills being met by higher education/could be met by higher
education
Given the size of the typical tourism and hospitality operator in Tasmania (i.e. micro to small)
there is no perceivable demand for higher education level qualifications. Unlike interstate or
overseas there is, realistically, only one operator in Tasmania large enough to offer graduate
level employment.
All other operators would not, and do not, demand university level
qualifications. This is undoubtedly contributing to the undervaluing of higher level and postVET qualifications by an industry characterised by owner/operators who do not hold formal
qualifications in tourism, hospitality or business.
However, articulation is available only from the Drysdale Institute of TAFE-delivered Advanced
Diploma of Hospitality Management and the Advanced Diploma of Tourism Management.
Credit transfers into the UTas Bachelor of Business Administration undergraduate programmes
(BBA [Hospitality Management] and BBA [Tourism Management]) allow students to undertake
a truncated version of the course and it can be completed within 18 months instead of three
years.
The following chart indicates enrolments for the undergraduate courses at UTas in the recent
past.
BBA Enrolments 2003-2008
35
30
25
20
Hospitality
Tourism
15
10
5
0
2003
2004
2005
2006
2007
2008
Training Demand Profile July 2008– Tourism and Hospitality
49
The decline in enrolments in 2007 is indicative of a move by previous institute management to
concentrate on front-line skills rather than higher level qualifications at Drysdale Institute.
Graduates of these degrees have highly variable destinations. Unfortunately, whilst destination
studies are completed they are not short cycle and therefore data is unavailable for this cohort
of students.
However, anecdotal evidence suggests that their career outcomes are highly variable. Some
remain in the industry, some travel away (interstate or overseas), some move into other
occupations (e.g. HR, marketing, teaching, fire brigade, accounting or pursue self employment
outside of the industry). Given that no HECS fees are payable on the VET component of this
degree (two years duration) and only payable for 18 months of the UTas component, some
students have reported that it is an inexpensive way to acquire a university degree to move into
other occupations.
There is also the issue of disparity between the competency-based system of delivery of
training at the VET level and the theory-based delivery of knowledge at the university level
(e.g. ability to efficiently research and accurately reference material, ability to write in an
academic fashion). A greater degree of cross over needs to be managed to allow a more
streamlined transition from one to the other, to reduce ‘culture shock’ and improve opportunities
for success in the university environment.
Opportunities may become available to other RTOs offering the Advanced Diploma level
qualifications if the VET Fee Help provisions are implemented to allow trainees to access
financial support for higher level qualifications with articulation into higher education institutions.
The change of government recently has ‘muddied the waters’ regarding the implementation of
this initiative.
Training Demand Profile July 2008– Tourism and Hospitality
50