Covid-19 Update
Covid-19 brought about worldwide unprecedented times during 2020. Australia, although having dealt with Covid-19 relatively well compared to other parts of the world, has not passed unscathed. The closing of International boarders, strict social distancing and quick response has helped the country maintain a tight hold on the pandemic. However, the overall effects are still being felt by most.
The pandemic has radically affected Australia’s labour hire market. There has been an exceptional fall in employment. A dramatic drop in hours worked. A significant increase in underemployment. A record number of people leaving the labour force, and job vacancies falling to the lowest level in over a decade.
Repercussions
Australia is set to face a very weak labour market over the coming years. Over 700,000 Australian and visa holders that have left the country or cannot return due to borders closures. Mandatory quarantine is still required, and there is no sign of international borders fully reopening.
Young workers and major cities have been the worst hit from a labour perspective and Sydney is not exempt from this. The Sydney labour hire market has seen an exceptionally large decrease in the number of workers available for each role.
The Construction industry had employed 1.2million people pre-pandemic, which equates to 9% of the entire Australian workforce. With a reported 82k jobs each quarter last year being lost in the industry. Despite being faced with social distancing and site shutdowns, construction has been one of the industries that has traded throughout the tough times. The Government’s JobKeeper payment also greatly benefited the industry, with over 80% of construction businesses registering for the scheme. This has given companies peace of mind during the uncertain times.
Overall, thousands of jobs have been lost and the lives of many Australians greatly altered. Despite this, Australia is still doing better than most other nations and we are all hoping to be back to ‘normal’ soon.
The effects to our Clients and Candidates
In March 2020 lockdown was enforced upon the country and a lot of people lost their jobs. Some businesses were forced to close, whilst others had to abide to extreme safety measures to ensure the health of all.
Clients
Construction companies faced very uncertain times with delayed projects, which meant site planning became even more difficult. Alpha Force Labour Hire’s clients were initially hit with shutdowns, delays and strict social distancing measures. This meant they could not continue with the same amount of workforce as before. Many new clients turned to us for casual labour on a day-by-day basis instead of taking someone on permanently.
Alpha Force has also seen a large increase in new clients due to other labour hires failing to fulfil their workforce needs.
The flexibility Alpha has offered to our clients, has been in their own words; ‘invaluable’ during these tough times. Allowing them to increase and decrease the workforce at short notice. Carry less fixed costs as well as reduce the costs of skilled labourers and tradesmen on site.
Candidates
Candidates were also faced with a large amount of uncertainty, with unemployment at record highs and job vacancies at the lowest in a decade. Alpha Force managed to keep all our existing staff busy throughout the period with regular work. During this time, we have also sourced many new candidates who are still with us today.
In recent months however, new candidates have been harder to come by as the full effects of the weak labour market take hold. We are having to work double to source the right skilled labourers and tradesmen for the position compared with this time last year. With further visa’s set to expire throughout the year this issue is not going away.
Staff retention has been and will continue to be key during this time to ensure we service all our clients. Paying good rates, and offering regular work has meant we have been able to support numerous individuals to continue their visa’s in Australia.
Covid-19 & beyond for the Labour Hire Market
Since the lockdown was lifted Alpha Force has had a large increase in new enquiries for hire. Unfortunately, at the same time the labour market itself has taken a massive decline due to border closures. We have been managing this shortage well, going that ‘extra mile’ to ensure we still service our clients.
Skilled labourers and tradesmen are demanding higher wages due to the increased demand vs low supply of labour. This has not been an easy challenge, but we continue to manage this with our clients support.
Light at the end of the tunnel
We have welcomed back face-to-face interviews, which enables us to gain a better assessment on each new candidate before placing them. This ensures we always match the correct candidate to the job, all for a FAIR PRICE.
The reopening of borders is important to help the construction industry and particularly the Labour Hire Market. This will allow projects to resume at full capacity and be a benefit to the whole construction industry. However, we also appreciate the health and safety of all is paramount to Sydney, Australia and the World.
The last year has been tough for all of us. If it has shown us anything, it’s that we have to learn to adapt and deal with uncertain situations.
We are not only thankful to our loyal partners and great clientele, but all our solid base of skilled labourers and tradesmen who have been working hard every day.
Alpha will continue to source the right candidates for all positions during the year. As the boarders start to reopen, we will continue to do so with a more positive Labour Market behind us.
Clients Recommendation
Alpha Force suggests all clients try to book in advance, this will ensure we can match the right candidate to the job. Booking early also increases the chance of getting the skilled worker that you prefer to work with.
We suggest that if you are happy with the performance of the Skilled Labourer or Tradesmen, then try to keep them on long-term basis. This ensures you have the same worker on site, reducing the chance of them being moved to another client.
Alpha Force Labour Hire Sydney
Our team is working hard to ensure all our clients are served with the best the market has to offer.
We have invested heavily in Personnel to continue to bring you the right candidates for the job.
If you would like to join the team or enquire about an upcoming project, please get in touch..