McKinsey and Company, the Macquarie Group Foundation and AlphaBeta worked together in late 2017 to understand the employment challenges facing young Australians, and potential initiatives that could address these challenges. Unemployment is a growing challenge for Australia, particularly for Australia's youth. Youth unemployment in Australia is at 12.7 per cent, up from 11.4 per cent five years ago. Within Australia's youth age group (15-29), there are approximately 450,000+ youth who are not in education, employment or training (NEET). Groups of young people who have particularly high NEET rates or are at higher risk of long-term welfare dependence include those who did not finish high school, young parents, and young people with caring responsibilities. Changes in the employment environment in Australia are complicating the landscape for job seekers. The types of skills needed for new jobs are changing, and more than 20 per cent of Australian work activities are at risk of displacement by automation by 2030.
Our research took a demand-led approach, seeking to identify suitable jobs for young people within growing sectors. We examined employment and job trends across multiple sectors and roles within Australia, to identify areas of high potential for youth. Our research identified opportunities within the Australian labour market that could have an impact on the youth employment challenge: (1) employers are demanding more skilled workers in growing areas of the economy, and are concerned about the skill gaps in their industries; (2) there are growing job opportunities across several sectors in Australia - the fastest growing industries are healthcare and social assistance, and professional and technical services; and (3) the care industry presents a particular opportunity for youth - 80,000+ new carer roles are anticipated as the [National Disability Insurance Scheme] NDIS scales, with increased opportunities for young people in these roles.
Excerpts from publication.
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