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June 2015

BCITO launches provocative promotion

02 Jun 2015, Industry Updates

With NZ’s construction boom now hitting $100 billion1, the Building and Construction Industry Training Organisation (BCITO) has gone all out to promote apprenticeships

Early in April, BCITO launched an edgy campaign aimed at raising awareness of the career opportunities available in construction due to a skills shortage across the country.

“Since 2012, our construction sector has grown by nearly 9%, in contrast to the wider economy, which has grown around 2.5%. This has never happened before. Construction is now one of the fastest growing parts of the economy, predicted to grow at 3.2% per annum until at least 2017,” said BCITO chief executive Ruma Karaitiana.

“The downside of this is that we are now short of professional tradespeople, and there seems to be a lag in the employment market’s response to the opportunity. While nearly a third of school leavers are going off to university, less than 7% are entering trade apprenticeships2. We’re trying to change that.”

Mr Karaitiana said BCITO is looking for people who are driven to succeed and want to be managers. This means targeting career seekers, who may be considering alternative academic pathways, and putting BCITO’s messages in front of them.

“One of the key issues we’re honing in on with this promotion is student loans. We’ve always been a little perplexed by the ‘elephant in the classroom’ that is the $14 billion of student debt plaguing many learners. The average domestic student’s debt in 2014 is up 57% on 20113, to almost $25,000.

“Our apprentices don’t have student loans, they have jobs.”

Clear career pathways

BCITO-Street-Poster-Office

BCITO hopes it’s tongue-in-cheek marketing campaign will attract motivated school leavers into trade apprenticeships

Recent BCITO research shows that 98% of graduated BCITO apprentices are in full-time employment. Of those, 32% expect to progress into supervision or management in the next two years, and 27% see themselves starting their own business.

“Compare some of these numbers to other pathways, and we’ve got a very positive proposal. By comparison, only 56% of graduates with a Bachelor’s degree get a job a year after graduating. Now we just need to get the word out.”

BCITO’s “It’s Not” recruitment drive aims to do just that. It’s a tongue-in-cheek campaign underpinned by some real truths, challenging misconceptions around construction trades. Adverts will be placed in digital, outdoor and print channels.

“This is the biggest recruitment drive we’ve done in a long time,” said Mr Karaitiana. “We are going to push a few boundaries, but in a fun way. In competing head-on with other tertiary institutions, we are coming up against marketing budgets that are huge in comparison to our own. We hope that by pushing a few buttons, we’ll attract attention and hopefully draw public interest to what is a $100 billion issue.”

 

“This is a unique period of long peak activity, which will allow someone beginning on the journey to get there and ensure they are established and insulated against any recessionary period to come

 

What happens after the boom?

There are concerns that many builders and their apprentices may face unemployment when the building
boom ends.

Mr Karaitiana said forecasts out to 2020 predict demand remaining high and sustaining peak industry demand.

“Any forecasts beyond a five-year horizon are unreliable, but all of the factors in play in Auckland seem to indicate high demand persisting as far as 2025.”

While there will continue to be cyclical declines, which may differ from region to region, Mr Karaitiana said there are two important things to consider:

When times get tough and construction employers reshape their businesses for hard times, it is the highly productive, trained, qualified and licensed staff who are retained.

Forecasts show that this is the best time in recent history to get into the industry; complete an apprenticeship and get established.

“This is a unique period of long peak activity, which will allow someone beginning on the journey to get there and ensure they are established and insulated against any recessionary period to come.”

 

National Construction Pipeline Report, October 2014
Ministry of Education
3 New Zealand Union of Students’ Association, September 2014 Statistics used in this document have been sourced from the relevant Government agency, NZUSA or BCITO research.


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