Things have changed in the land of defence industry workforce.
The DSR of 2022 caused much uncertainty in defence industry and slowed the strong growth in workforces experienced since 2016.
Whilst worker demand in some areas remains very strong, namely AUKUS Pillar 1, naval and land acquisition and GWEO (Guided Weapons and Explosive Ordnance), outside of these areas we are seeing a drop in demand for workers, and in some cases, downsizing of workforces.
So how do you maintain or grow workforce capability during such uncertainty? These four recommendations will help you retain your current workers and position you well for busier times.
1) Don’t rely on worker movement
Organisations that anticipate growth in the coming years may be planning a ‘build it and they will come’ approach. This approach will only have a chance of succeeding if a suitable talent pool is already available in a given location.
The Australian defence sector workforce has demonstrated time and again that it will not relocate en-mass for work.
Therefore, a thorough understanding of where the required workers are in Australia, their numbers, availability, salary expectations, and eligibility to hold a security clearance are important for planners. Understanding the potential level of competition for workers is also critical.
2) Stand out from the crowd
Gone are the days when salary + superannuation cuts the mustard from an employee value proposition (EVP) point of view.
Kinexus data shows that when it comes to job satisfaction, workers value interesting work, flexible work and remuneration.
Graph 1. This graph presents the salary survey respondents’ opinion when asked, ‘What has the most impact on your job satisfaction?’. Respondents were ask to select their top five. For more information on the Kinexus salary survey and broader methodology, please see Defence Industry Insights 10th Edition.
Build a compelling EVP – and… (and this bit is important)… live it. Ensure your business values, mission statement and aims permeate each business area. There’s no point saying you offer flexible work when a request is met with rolled eyes or excuses.
Promote your EVP at every opportunity, both formally and informally. Weave it into every stage of your recruitment process and really encourage staff to shout about it. But remember, you need to live your EVP, otherwise your employees will be telling a story you don’t want out there.
Building and living a compelling EVP is important even if you’re not currently hiring. Creating a strong EVP helps foster employee contentment, reduces attrition and sets you in good stead for workforce growth.
3) Invest in upskilling your current workforce
Whilst some organisations aren’t in a position to hire more people, there are still ways to drive workforce capability.
Investing in upskilling existing staff has two main advantages:
Improved productivity
Improved retention
Identify areas of interest for current staff members and make that a focus for professional development. Happier, higher-skilled and more productive workers will stick around longer and the good culture created will help attract people when the market changes.
4) Engage contractors
Workforce capability can be conveniently supplemented by hiring contractors.
Contracting offers flexibility to both employer and worker. As an employer, you can choose the length of contract, the location the work is completed in and be very prescriptive of the skills and experience you are looking for.
Contractors tend to have extensive experience in their specialism and can provide unique perspectives formed over years of working in different environments.
The diversity of thought that contractors bring, unique expertise and a break from what can feel like a never-ending cycle of salary increases, make hiring contractors a great way to get work done without locking in overhead costs.
We’ve written a blog on this topic alone, and have a contractor rate card that can fill in lots of gaps. Find both for free at these links: Blog | Rate Card
For more information on how to protect the workforce you have got and bolster your workforce capability, get in touch.
