The challenge
With approximately $15 billion of significant construction projects forecast over the next 15 years, the Ministry of Social Development (MSD or the Ministry) and Dunedin City Council, along with key regional stakeholders and industry, wished to understand regional labour supply and demand.
Who were the key regional stakeholders?
Key stakeholders involved in this project were Dunedin City Council, Clutha District Council, Waitaki District Council, Central Otago District Council, Queenstown Lakes District Council, Ngāi Tahu, the five Otago Regional Economic Development Agencies, Otago Chamber of Commerce, Otago Southland Employers Association and the Ministry of Social Development who was the representative government agency for this project.
The solutions
BCITO and partners Infometrics and Martin Jenkins successfully responded to the request for proposals to identify industry demand:
- Planned and proposed construction projects (e.g. the redevelopment of the Dunedin Hospital) across the region over the next 15 years;
- Labour market forecasting including industry skills and training demands across the Otago region (including Queenstown Lakes, Central Otago, Clutha, Dunedin and Waitaki).
The project was intended to create visibility over the skills and trades required by industry over 15 years and any potential supply and demand issues, pressures and needs. The outcome of the project was the preparation of a report and underlying flexible model (which can be adjusted for different assumptions) that set out industry demand over the 15-year period.
Project considerations
The report and model took account of a separate report on training supply (being led concurrently by the Otago Chamber of Commerce) which created visibility over current local workforce capacity and resulting opportunities.
Together the two projects created visibility over demand and supply and informed options for industry, training providers, councils, government agencies and others on potential activities, projects and measures.
Outcome
The project provided options on issues facing the wider construction sector including recruitment, training and upskilling of workers in construction and associated industries.
In November 2019 the project team presented three regional updates on the Otago & Southland Construction Workforce Forecasting Project.