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West Coast Profile Part 2

VIEWS: 11 PAGES: 65

									SKILLS TASMANIA



West Coast Regional Profile




Part 2: Industry, Business and Training Profile




                     Commercial-in-Confidence
TABLE OF CONTENTS
INTRODUCTION......................................................................................................... 4

MINING AND SUPPORT TRADES .............................................................................. 5

External Operating Environment .................................................................................. 5
  Consultation: Henty Gold ........................................................................................ 8
  Consultation: Setori Engineering ........................................................................... 10
  Consultation: Alma Drilling .................................................................................... 11

Regulatory Environment ............................................................................................ 12
  Consultation: John Kirwan and Associates ............................................................. 15

Human Capital Management...................................................................................... 16
  Consultation: Henty Gold ...................................................................................... 17
  Consultation: Copper Mines .................................................................................. 19
  Consultation: TAFE Tasmania ............................................................................... 20

WILD FISHERIES AND AQUACULTURE ................................................................... 23

External Operating Environment ................................................................................ 24

Regulatory Environment ............................................................................................ 28

Human Capital Management...................................................................................... 30
  Consultation: Australian Maritime College .............................................................. 31
  Consultation: Seafood Training Tasmania ............................................................. 32
  Consultation: John Kirwan and Associates ............................................................. 34

Synopsis ................................................................................................................... 35

TOURISM AND ACCOMMODATION ......................................................................... 36

External Operating Environment ................................................................................ 37
  West Coast Municipality Tourist Projects ................................................................ 38
  Consultation: Federal Hotels and Resorts (Strahan) ................................................ 40
  Consultation: Anchordown ..................................................................................... 41
  Consultation: Castaway Holiday Apartments ........................................................... 42

Regulatory Environment ............................................................................................ 43


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                                                       Page 2 of 65
Human Capital Management...................................................................................... 44
  Consultation: Tourism Council of Tasmania ........................................................... 45
  Consultation: Federal Hotels and Resorts .............................................................. 47
  Consultation: JobNet ............................................................................................. 52

Synopsis ................................................................................................................... 53

SMALL BUSINESS ENVIRONMENT.......................................................................... 54

SYNOPSIS ............................................................................................................... 57

THE IMPACT OF ECONOMIC AD COMMUNITY DEVELOPMENT ON THE WEST
COAST ..................................................................................................................... 58

West Coast Infrastructure Projects ............................................................................. 58

West Coast Community Capacity Building Projects ..................................................... 59
 Tasmanian Community Fund.................................................................................. 59
 Community Support Levy ....................................................................................... 59
 Sustainable Regions Program ................................................................................ 60

Bell Bay Pulp Mill....................................................................................................... 63

Forestry Agreement ................................................................................................... 65

Synopsis ................................................................................................................... 65




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                                                       Page 3 of 65
Introduction
The analysis of census data identified the key industry and employment
trends for the West Coast localities. These data suggested a continuum
of industries that sustain the viability of West Coast localities. This
continuum identifies resource based industries at one end and service
industries related businesses at the other.

Percentage of people employed via broad industry groupings

             Resource                                                             Service
             Mining       Mining      Government       Retailing,                 Tourism
                          Support      Services     Accommodation,             Experiences
                          Trades                   Cafes, Restaurants
Queenstown      12.6                      6.1              8.5
Rosebery        18.6        2.8           4.7              4.0
Tullah          13.7        8.7                            6.0
Zeehan          23.4                      3.2              6.4
Strahan         5.0         8.9                                         18.1
             Mining     Commercial    Government       Retailing,                 Tourism
                          Fishing      Services     Accommodation,             Experiences
                                                   Cafes, Restaurants
             Resource                                                             Service


The second part of this report examines the operating environment of
both resource and service based businesses. Key business drivers that
affect skill and training demand are identified. These drivers can be
broadly classified as changes in the:
      1. Industry or business external operating environment;
      2. Regulatory environment; and,
      3. Internal business operating milieu.


The impact of change drivers on organisational human capital
management and requirements are identified across the industry
continuum. Examples of how individual businesses are responding to
change drivers are highlighted in case study exhibits.

The report concludes by providing a high level industry perspective on
how community factors such as infrastructure and demographic trends
are impacting on skill and training requirements.
                   Mining and Support Trades

Tasmania's mining and mineral industry employs over 3,500
Tasmanians directly and generates another 10,000 indirect jobs and
pays more than $190 million a year in wages and salaries.

The industry generates over $710 million of export sales and accounts
for over $1,365 million worth of sales shipped through Tasmanian Ports.
Historically Tasmania has produced gold valued at around $1 billion in
today's value.

A diverse range of commodities are exported, including ores and
concentrates of iron, copper, lead, zinc, tin, gold, high grade silica and
tungsten, as well as refined zinc and aluminium and ferro-alloys and
cement.

Tasmania is the major supplier of ferro manganese to the Australian
steel industry and produces more than 10 percent of Australian copper.
The in-ground value of discovered minerals is estimated to be over
$31,000 million.


External Operating Environment
Changes in the external operating environment can create a need to
train or retrain staff. Some examples of external operating changes are:

   Political Changes:         Government policies and
                              priorities
                              Funding
                              Legislation or regulation

   Economic Changes:          Resource availability
                              Consumer demand
                              Competition

   Demographic Changes:       Availability of qualified labour
                              Labour costs/wages
                              Ageing Population

   Technology Changes:        Introduction of new technology
                              The Internet


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                               Page 5 of 65
The following section provides a snapshot of changes in the
external operating environment at an industry level. How
changes are effective businesses is illustrated through a series
of case study exhibits.

Tasmanian Minerals Council (2005) has identified the following trends
affecting the operating environment and skill requirements of mining
enterprises:

    Since 1999 there has been an increase in the profitability of
     mining enterprises. This trend is expected to continue for at least
     another 2-3 years.

    The Tasmanian mining industry deals with 575 businesses.
     Because of the increasing demand for minerals in for example
     India and China, the mining supply chain is also likely experience
     a period of economic growth.

    The employment structure of the Tasmanian mining industries is
     changing. A flexible firm business model that employs a core
     workforce and out sources work to contractors has been an
     emerging trend.

             The number of employees in the mining industry
              decreased from 2646 in 1999/2000 to 2417 in 2004/2005.
              This represents a -9 percent loss of over a six year period.

             The number of contract however has increased from 988 in
              1999/2000 to 3598 in 2004/2005. This represents a 20
              percent increase of over the past six year period.

In the West Coast Municipality four mine sites are operational:

   1. Placer Dome Asia Pacific- Henty Gold

   2. Zinifex Rosebery Mine

   3. Intec Hellyer Metals Ltd - Hellyer Mine

   4. Copper Mines of Tasmania Mt Lyell Mine

Mine sites which have creased operations in the West Coast
Municipality are:

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                                Page 6 of 65
   1. Renison Mine which cased operations in June 2003; and,

   2. Savage River Mine which in ceased operations in 1996.

At a statewide level mining exploration projects which may impact on
West Coast labour market include two local projects (Allegiance and
Zinifex) and three intrastate projects:
      Allegiance Mining has completed a feasibility study for the
       Avebury nickel project. A nickel mine and processing plant with a
       value of $94 million is to be built near Zeehan. Site work started in
       December 2005 and the first nickel is expected to be produced in
       the third quarter of 2007;

      Major explorations in the Mount Read Volcanics being undertaken
       by Zinifex Limited, Newcrest Operations Limited, Bass Metals
       Limited, TasGold Limited and Saracen Metals Proprietary Limited;

      Van Dieman Mines PLC is investigating the feasibility of
       commencing mining at two alluvial tin, gold and sapphire
       operations in the Pioneer-Gladstone area, northeast Tasmania;

      Australian Tungsten Pty Ltd has commenced a full feasibility
       study into resuming scheelite production on King Island and has
       lodged a development application to commence a 600,000 tonne
       per year, ten-year mining operation in early 2007; and,

      Tasmanian Titanium Proprietary Limited is scheduled to resume
       heavy mineral sand mining at Naracoopa on King Island.




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                                Page 7 of 65
Consultation: Henty Gold
                                                                          Annual Revenue- $11 Million (AUD)
The business operating environment
of Henty Gold mine is summarised in                                       Products- Gold and Silver
Figure 1.
                                                                          Structure- Australian Public Company,
The Henty mine lease expires in                                           Registered as Barrick (Henty) Limited
2008 and although exploration for
new deposits continues in lower                                           Business Life Cycle- Maturing-Declining
levels of the mine, the return on                                         Business phase
investment to date has been
negligible.                                                               Employees- 107 FTEs, 60 contractors

With the impending lease expiring, Henty is hiring contract labour to
replace employees who exit. International gold and silver have
fluctuated and Henty‟s current production targets are down when
compared with the 2003-2004 and 2004-2005 financial years.
                     Technological




                                                               Internet                        Henty Positive Impact
                       Changes




                                                                                               Henty Negative Impact
                                                           Technology
                           Demographic Changes




                                                   Population Changes


                                                      Qualified Labour


                                                         Labour Costs


                                                  Resource Availability
                           Economic Changes




                                                    Consumer Demand


                                                          Competition


                                                 Legislation/Regulation
                           Political Changes




                                                    Government Policy


                                                    Government Funds




 Figure 1: The external operating environment for Henty Gold Mine



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                                                      Page 8 of 65
Consultation: Copper Mines
                                                                           Annual Revenue- $140.1 million in 2004-
The external operating environment of                                      05, a 37 percent increase from the
Copper Mines is summarised in Figure                                       previous financial year. Increased
2.                                                                         revenue due to strong global demand.
Copper      mines   reported     strong
international demand for copper                                            Products- Copper Concentrate
concentrate.      Even though their
production volume has not changed                                          Structure- Copper Mines of Tasmania Pty
since the 2004-05 financial year, there                                    Ltd are the current operator of the Mt
has been a 37 percent increase in the                                      Lyell mine, is a wholly owned subsidiary
market value of copper concentrate.                                        of Sterlite Industries (India) Limited,
Social trends such as the increasing                                       which, in turn, is a subsidiary of Vedanta
preference for people to commute from                                      Resources PLC.
the North West municipality and made
the recruitment of qualified labour more                                   Business Life Cycle- Growth phase
difficult. Consequently more reliance
has been placed on contract labour.                                        Employees- 160 FTEs, 100 contractors
                      Technological




                                                                Internet                  Copper Mines Positive Impact
                        Changes




                                                                                          Copper Mines Negative Impact
                                                            Technology
                            Demographic Changes




                                                    Population Changes


                                                       Qualified Labour


                                                          Labour Costs


                                                   Resource Availability
                            Economic Changes




                                                     Consumer Demand


                                                           Competition


                                                  Legislation/Regulation
                            Political Changes




                                                     Government Policy


                                                     Government Funds



   Figure 2: The external operating environment of Copper Mines




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                                                       Page 9 of 65
Consultation: Setori Engineering

Setori Engineering provides contract                                        Annual Revenue- $4,500,000
labour hire to mining businesses. They
currently do not employ apprentices or                                      Products- Manufacturer Contractor
trainees,   however     previously the
business was a Registered Training
Organisation.                                                               Structure- Australian Proprietary Company,
                                                                            Limited by Shares

Setori is competing with larger labour
hire firms and perceived increasing                                         Business Life Cycle- Established
competition associated with labour hire                                     business
as having a negative business impact.
Despite the negative impact of labour                                       Employees- 55
costs and availability, there is strong
industr demand for contract engineering
services.
                       Technological




                                                                 Internet
                                                                                            Setori Engineering Positive Impact
                         Changes




                                                                                            Setori Engineering Negative Impact
                                                             Technology
                             Demographic Changes




                                                     Population Changes


                                                        Qualified Labour


                                                           Labour Costs


                                                    Resource Availability
                             Economic Changes




                                                      Consumer Demand


                                                            Competition


                                                   Legislation/Regulation
                             Political Changes




                                                      Government Policy


                                                      Government Funds




   Figure 3: The external operating environment of Setori Engineering




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                                                       Page 10 of 65
Consultation: Alma Drilling
                                                                             Annual Revenue- unknown
Almac Drilling is a small business and
has flexibility to respond to changes in                                     Markets- West Coast Municipality and
market direction.       Whilst most of                                       Interstate
Almac‟s work is within the West Coast
Municipality, the business also has                                          Structure- Australian Proprietary Company,
interstate contracts (Figure 4).                                             Limited by Shares


Almac Drilling has also successfully                                         Business Life Cycle- Established
procured     government        contracts.                                    business
Furthermore the demand for resources
in China and India has had a positive                                        Products- Boring, Drilling Contractor,
impact on business revenue and the
demand for drilling services is strong.                                      Employees- 12

Almac currently has no apprentices or
trainees.
                        Technological




                                                                  Internet
                                                                                                 Alma Drilling Positive Impact
                          Changes




                                                                                                 Alma Drilling Negative Impact
                                                              Technology
                              Demographic Changes




                                                      Population Changes


                                                         Qualified Labour


                                                            Labour Costs


                                                     Resource Availability
                              Economic Changes




                                                       Consumer Demand


                                                             Competition


                                                    Legislation/Regulation
                              Political Changes




                                                       Government Policy


                                                       Government Funds




   Figure 4: The external operating environment of Almac Drilling




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                                                    Page 11 of 65
Synopsis

The external operating environment for resource based businesses
varied according to the products being mined. The demand for mining
copper and zinc on the West Coast, for example, is being driven by
global demand. Gold and silver prices on the other had have fluctuated
and Henty Mine operations are in a „declining‟ business phase.

Skill and labour shortages were reported by most mining and contract
businesses as having a negative impact on operations. Increasingly
workers in the mining industry have opted for contract employment
arrangements. However, none of the businesses surveyed reported a
reason for the aforementioned trend.

Contributing to the labour and skill shortage issues were social and
demographic factors. For example;

      Poor quality housing stock and rental accommodation has
       resulted in mine workers living outside the West Coast
       Municipality and commute to work.

      A lack of education beyond Year 10 and a preference not to board
       children has resulted in people choosing to reside outside the
       West Coast Municipality and commute to work.

      The partners of professional people working in mining (such as
       environmental scientists, geologists and engineers) have trouble
       finding suitable work in the area. Thus professional people are
       choosing to commute to the West Coast and reside in localities
       such as Penguin.

      A lack of social and other infrastructure results in a high turnover
       of professional and vocational employees. A lack of childcare and
       public transport for example is a barrier for the partners of mining
       finding suitable employment.

One business however, Alma Drilling, reported no labour attraction or
retention problems. This small business has a stable labour force and
the average tenure was seven years.
Regulatory Environment
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                               Page 12 of 65
Licensing and regulatory controls can apply to the range of work
environment layers in the mining industry (Figure 5):


                       Work
                      Practices


                                                   Regulatory
                    Work Places
                                                  Environment
                                                  Requirements


                  Work Equipment




                      Workers                     Occupational
                                                   Licensing




            Figure 5: Scope of licensing and regulatory control

For vocationally trained miners (e.g. open cut, underground and
processing) there are no occupational licensing requirements.

Work equipment however may require a certificate of competency under
the Workplace Health and Safety Regulations 1998 (S.R. 1998, No. 152)
SCHEDULE 5 - Specified tasks requiring a certificate of competency.
Competency certificates are required for:

      (a) scaffolding, dogging and rigging, including –

      (b) crane and hoist operation,

      (c) pressure equipment operation

      (d) fork-lift truck operation, excluding pedestrian walk behind or
          pallet trucks;
      (e) order-picking fork-lift truck operation

      (f) Mine winder operation.




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                                  Page 13 of 65
Consultations with Workplace Standards Tasmania, revealed that there
no impending changes to schedule 5 of the Workplace Health and
Safety Regulations 1988 that would impact on the mining industry.

In terms of the workplace, employers have a duty of care around
occupational health and safety and consequently to provide training in
first aid, confined spaces and risk management competencies.

The Tasmanian mine industry typically contract Tracmin (a Registered
Training Organisation in Western Australia) to conduct mine safety
training. The safety training program is known as MATCSTA 1 (Mining
And Resource Contractors Safety Training Association- which is a not
for profit peak body) and is a „ticket‟ that is recognised across 85 percent
of Australian Mines as a minimum job entry requirement. Like a first aid
certificate MATCSTA certificates are valid for two years and require
renewal.

A consultation with Tracmin revealed that there are no anticipated
changes to the MATCSTA course as the result of legislative or
regulatory requirements.

Accredited vocational training is the preferred method for which mines
ensure work practices meet occupational health and safety
requirements.    This training is discretionary, however employers
encourage workers to undertake accredited vocational training for
performance and risk management reasons.




1
 In Tasmanian the MATCSTA accredited trained is Marcus Taylor, from
TAFE Tasmania.


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                               Page 14 of 65
Consultation: John Kirwan and Associates
Kirwan and Associates specialize in safety related training for industry
sectors such as mining, aquaculture, forestry and food processing.
Table 1 provides a summary of Kirwan and Associates registration
scope of registration and the units of competency for which occupational
health and safety related training is delivered in the West Coast
Municipality. Kirwan and Associates reported that most of their training
demand is based on composites of skill sets rather than qualifications.

  Table 1: Regulatory training delivered to mining support occupations
Industry Job Roles                      No.               No.
                                        Businesses        Individuals
         Electricians
         Plumbers
  Mining Refrigeration and Air-                 3               20
         conditioning Mechanic
         Administration Assistants


The skill sets for which training has been delivered to mining industry is
presented in Table 2.


  Table 2: Competency skill sets related to workplace regulatory
  requirements

TDMMR1901A       Safely handle and stow explosive and flammable materials
TDTD197B         Shift materials safely using manual handling methods
TDTF197B         Follow OHS procedures
TDTF397B         Implement and monitor OHS procedures
MTMMP4           Follow safe work policies and procedures
MTMMP70B         Participate in OH&S risk control process




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                               Page 15 of 65
Human Capital Management

There are a variety of approaches for human capital or workforce
development (Figure 6). This section explores those strategies used by
mining enterprises to retain, develop and manage their human resource
functions. The following section focuses on three key human resource
(HR) functions:
   1. Workforce Planning
   2. Selection and Recruitment
   3. Human Resource Development (namely, training and career
      development)




             Figure 6: Facets of human capital management




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                             Page 16 of 65
Consultation: Henty Gold
Human Resource Planning

Henty Gold Mine does not undertake         Workforce Planning- Not currently in place
formal workforce planning.       The
business does not have a Human             Vacancy rates- 11.5 percent
Resource Information System and is
unable to track key employee               Recruitment strategies- Attrition program in place
characteristics    such   as    age,
qualifications and tenure.       The       Qualifications, skills and training initiatives- 56
business does however have an              employees without qualifications undertaking a
electronic payroll system and tracks       Certificate III in Metalliferous Mining
costs      and  full-time  equivalent
establishments (FTEs).                     Human Resource Development Programs- Leadership
                                           program, Safety Champions Program and Frontline
                                           Certificate IV (12 employees)
Currently there are 107 FTEs, as well
as 60 contractors hired from Setori        Annual Human Resource Development Budget-
Engineering.    The business has 7         Unknown
female FTEs and the remaining
                                        Human Resource Development Evaluations- None
employees are all male. The average     undertaken
age and tenure of employees is
estimated at 45 years and 5 years respectively. Because approximately
50 percent of the employees are replaced every 5 years, there is no
apparent evidence of an ageing workforce. Furthermore it was reported
that because the work is physically demanding it is common for people
not to work beyond 54 years of age.


Selection and Recruitment
The business recruited approximately 5 people in 2005-06 financial year.
Staff turnover rate was 11.5 percent and 22 people exited the business
during the 2005-6 financial year. Recruitment methods include contract
labour firms, newspaper advertising and word-of-mouth.

Employee attraction strategies focus on promoting the nature features of
the West Coast as a lifestyle choice. For example, Henty mine tries to
attract professional and vocationally trained workers who are interested
in bushwalking and other outdoor recreational activities.

Human Resource Development Programs
Training is delivered mostly on the job where possible. Exceptions are
courses such as First Aid which are classroom based. Training needs


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                              Page 17 of 65
are aligned to business regulatory requirements and workplace
standards.
A loss control (safety) management training and development
continuous improvement system was launched in the 2004/2005
financial year. The training and development system was based on
Placer Dome Corporate standards. The program included implementing
risk management systems and training, developing safety conscious
leadership, and identified safety champions.     The outcomes of this
training are being evaluated on a continuous basis against key
performance indicators such as accident and injury rates.

Henty does not undertake succession planning, career development or
similar human resource development programs.            However it is
embarking on leadership training. Twelve people have been identified to
undertake a Certificate IV in Frontline Management. This will be
delivered in house by a Registered Training Organisation via workshops
and assessed through workplace assignments. Recognition of current
competency may be offered to other employees who can gather
evidence through a portfolio approach.

Whilst some apprentices and trainees are employed, Henty prefers to
source skilled contract labour. This is because the current mining lease
expires in 2008.
In terms of vocationally based training, Henty Gold cannot provide an
exact head count, but estimates that 20 of the 107 employees have
completed an accredited qualification.

Henty Gold currently employs a second year Electrical apprentice and a
third year Mechanical apprentice. In terms of traineeships, however,
Henty has negotiated for Business and Employment to deliver a
Certificate III in Metalliferous Mining to 56 eligible employees. A part of
this negotiation, Business and Employment will provide a training
coordinator onsite on a full-time basis.

Henty Gold mine does not track training costs or have an allocated
training budget. Rather training for legislative or regulatory requirements
is an accepted as an operational cost. Henty Gold also delivers training
to contract labour to meet regulatory compliance requirements. Internal
records are maintained regarding the training delivered, as a risk
management strategy.




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                               Page 18 of 65
Consultation: Copper Mines
Human Resource Planning                     Workforce Planning- Not currently in place
Copper mines employ 160 contractors
                                            Vacancy rates- Approximately 10 percent
and 100 FTEs. Eight contractors and
another eight FTEs are female, the          Recruitment strategies- None
remaining workforce is male.
                                            Qualifications, skills and training initiatives- Multi-
Selection and Recruitment                   skilling
Eighteen people exited the business in
the 2005/2006 financial year; however       Human Resource Development Programs-
only 10 people were recruited. This         Professional Management Development and
deficit was back filled using contract      vocational traineeships.
labour, the business would however
                                            Annual Training Budget- $300,000.
rather have employed personnel.

Human Resource Development
Training relating to regulatory and compliance issues is delivered in-
house. The focus of this training is on foreseeing risk and taking
preventative actions to avoid occupational health and safety issues. The
training is targeted at building a „safety mindset‟.

Programs are in place for succession planning, career and leadership for
graduates.     The object is to train managers for overseas mining
operations. In particular, Copper Mines is targeting degree graduates in:
    Geology
    Metallurgist
    Mechanical engineer
    Environmental scientists

For vocationally trained staff, Copper Mines is encouraging multi-skilling,
In terms of multi skilling workers are given the opportunity to gain
qualifications in for example underground mining as well as competency
sets around transport.

In the last two years the business has had three apprentices; 1
mechanical engineer and 2 electrical engineers. The business will
employ additional apprentices when the current ones complete their
agreements.

In the 2006/2007 financial year, Copper Mines has identified 50 people
for training in the Certificate III in Metalliferous (Processing). Their
preferred training provider is TAFE Tasmania.


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                               Page 19 of 65
In the 2005/2006 financial year $300,000 was expended on employee
training and development. This amount excludes, for example, the costs
associated with backfilling positions.

Consultation: TAFE Tasmania
TAFE Tasmania delivers training and assessment services for 27
qualifications in the Metalliferous Training Package.

Currently TAFE Tasmania has about 175 people on Metalliferous
training package related traineeships and apprenticeship. Approximately
115 in the open cut mining area and 80 in the mineral processing (some
people are represented in both industry areas).

Current Training Delivery is as follows:

      Zinifex at Rosebery about 70 people doing Certificate III in
       Underground Mining and Mineral Processing; and,

      Barminco has 12 people doing the Certificate III in Underground
       Mining and Mineral Processing.

In the 2006-07 financial year, TAFE Tasmania anticipates training
delivery contracts with:

      Henty Gold Mine who have approximately 60 workers undertaking
       the Certificate III in Metalliferous Mining Operations
       (Underground); and,

      About 10 mangers from number Henty Gold Mine will undertake A
       Certificate IV in Mine Operations (which has units that map to
       Frontline Management).


Future training opportunities for TAFE Tasmania include:

      Renison Mine is anticipated to recommence operations in 2006-
       07 and will require delivery of qualifications from the Metalliferous
       training package: and,

      Allegiance Mining at Trial Harbour will be mining nickel and could
       require training in DRT21103Certificate II in Drilling - Water Well



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                               Page 20 of 65
TAFE Tasmania reported that for all mining operators the preferred
method for training delivery is on the job. However much of TAFE‟s
training uses an auspiced assessment model (training existing mining
workers as the specialist who conduct the workplace assessment) with
TAFE doing the RTO compliance paperwork.

TAFE Tasmania ran a Pre-Employment Mining Course in Queenstown in
2005. This course bundled competencies into skill sets from the
Certificate II in Open Cut Mining, Certificate II in Underground Mining
and the Certificate II in Mineral Processing. The outcome was as
follows:

       Two locals (residents of the West Coast) attended the pre-employment
       course. All other participants travelled from Devonport and Hobart -
       they recognised it as an entry pathway into the mining industry. About
       85% of the course participants have secured employment after
       successfully completing the training and assessment requirements (a
       number were employed on a contractual basis with Skilled
       Engineering).
                                                                  Mike Jack

TAFE Tasmania reported that 180 people have completed their mining
qualification from the West Coast since 2001 and that only three of
graduates were female.         TAFE Tasmania identified the following
barriers around training delivery for the West Coast Municipality:

      Because the West Coast is an Isolated area and most training
       needs have to be accessed through Burnie;
      Induction Programs (MATCSTA) are only held at Beaconsfield or
       Rosebery and difficult for West Coast residents to access;
      Finally, a lack of transport (bus service between West Coast
       Towns) makes delivering group training difficult. Often training
       sessions are cancelled because group sizes are too small.

Synopsis
Human resource (or manpower) planning is not common practice within
West Coast mining businesses. The mining businesses interviewed did
not have a human resource information system or access to employee
demographic information. Businesses did however tract recruitment and
attrition rates. These were approximately 10 percent across the major
employers.



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                                Page 21 of 65
In terms of selection and recruitment strategies Henty Gold uses the
Internet and newspapers and promotes the natural environment and life
style choices.    Copper Mines on the other hand, promotes an
international career pathway for university graduates interested in
developing management skills.

For vocationally trained workers Certificate III qualifications from the
Metalliferous training package were the most frequently delivered
training course.      The assessed training needs for vocational
qualifications were as follows:

Business             Qualification                           Numbers
                     Certificate IV Frontline Management        12
Henty Gold Mine
                     Certificate III Metalliferous Mining
                                                               56-60
                     Operations (Underground)
                     Certificate III Metalliferous Mining
Copper Mines                                                       50
                     Operations (Processing)
Setori Engineering   None                                          nil
Hellyer Mine         Not Known



The reported enrolments were as follows:

Current Enrolments
                     Certificate III Metalliferous Operations
Zinifex                                                             70
                     (Underground and Processing)
                     Certificate III in Metalliferous Operations
Barminco                                                            12
                     (Underground and Processing)




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                              Page 22 of 65
                     Wild Fisheries and Aquaculture

As a state-wide industry the Fishing and Aquaculture sector contributes
an estimated $280,000,000 to the Tasmanian gross production of
$1,136,000,000, and $373,000,000 to the value added food production
of Tasmania $2,091,000,000 2. Salmonid production from the Macquarie
Harbour region on the West Coast contributes approximately 11% to
Tasmanian‟s total Salmonid production.

The Fishing and Aquaculture industry on the West Coast of Tasmania is
represented by two sectors:

          1. Wild Catch
          2. Marine Farming
Employment within these sectors covers three main occupational
grouping areas:

         Fishing sector includes work undertaken by deckhands, fishers,
          skippers of fishing vessels, managers of fishing operations,
          business managers, divers and fishing charter operators.

         Aquaculture sector includes work undertaken by field hands,
          leading hands, technicians, supervisors, quality assurance
          officers, operations managers and aquaculture business
          managers, land-based, water-based and hatchery operations.

         Seafood processing, sales and distribution sector includes work
          undertaken by basic and skilled process workers, leading hands,
          distributors, seafood retailers and wholesalers, supervisors,
          managers and seafood importers and exporters.

Australian Bureau of Statistics (ABS) data is not broken down in
sufficient detail to be very useful for determining the contribution that the
seafood industry makes to employment and regional development within
the West coast region. The information provided also tends to be
inconsistent with information collected from other sources such as the
number of boats, fishing licenses etc, and other forms of fishing
regulation.



2
    Source: DPIW- The State of Growth Report 2005-2006


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                                    Page 23 of 65
External Operating Environment
Changes in the external operating environment can create a need to
train or retrain staff. Some examples of external operating changes are:

      Political Changes:            Government policies and
                                    priorities
                                    Funding
                                    Legislation or regulation

      Economic Changes:             Resource availability
                                    Consumer demand
                                    Competition

      Demographic Changes:          Availability of qualified labour
                                    Labour costs/wages
                                    Ageing Population

      Technology Changes:           Introduction of new technology
                                    The Internet

The following section provides a snapshot of changes in the external
operating environment at an industry level. How changes are effective
businesses is illustrated through a series of case study exhibits.

The globalisation of commodity products and an increase in foreign
competition has lead to the rationalization of investment in this sector.
The structure and operation of the Tasmanian seafood industry along
the whole production chain is changing at an accelerated pace. In
response to these changes the sector has recognised the need to
increase its skills and knowledge in the area of business development:
         Understanding of the impact of climate change
         Understanding of marine resources and business development
          practices
         Understanding the economic and business environment
         Ability to apply human resource management practices
         Ability to apply best practice and quality management systems 3



3
    Future directions – Tasmanian Seafood Industry 2005/2006


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                                     Page 24 of 65
      Challenge of the industry is the maintenance and protection of
       both the marine environment and its resources.
      Showing accountability for environmental practices throughout the
       supply/value chain.
      Achieving balance between growth and environmental
       sustainability
      Creating environmentally sustainable practices and production
       technologies
      Developing standards designed to support and deliver products



The information in the following section was provided by Peak Bodies
rather than individual employers. This was because, despite persistent
follow-ups, employers were difficult to contact. Desktop research and
consultations with Peak Bodies provided the following snapshot of the
West Coast fishing and aquaculture industry.




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                              Page 25 of 65
                             Business Overview

Wild Catch (including Rock Lobster)
This industry is seasonal and fluctuates from 20 to 80 fishing vessels operating
from the port of Strahan. The number of workers in this area is unknown due to
the structure of operations

Marine Farming
46 full time equivalent staff employed on the West Coast Main businesses:

                    1. Petuna Pty Ltd – trading as Petuna Seafoods
                       Wholesale Contractors of Salmon, Trout and Shark
                       Employees: 100 Statewide
                       Annual Revenue : approximately $21,000,000

                    2. Tassal Group Limited
                       Wholesale Distributor Producer of Atlantic Salmon
                       Employees: 500 Statewide
                       Annual Revenue: approximately $100,000,000

                    3. Southern Ocean Trout Pty Ltd
                       Trout farming Operation
                       Employees: 8
                       Annual Revenue: unknown




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                          Page 26 of 65
Consultations: Australian Maritime College

There is a reportedly huge demand on the West Coast for people who
have the skills and meet the licensing requirements necessary to
operate fishing vessels and tourism ferries, charter vessels.


The globalization of commodity products and an increase in foreign
competition has lead to the rationalization of investment in this sector.
Government policy (for example changes in marine protected
environments) and regulatory environment drive the need for training
(Figure 7).


                                             GST

                             Resource Availability

                               Consumer Demand

                                      Competition

                               Government Policy

                               Government Funds

                              Population Changes

                                          Internet

                                      Technology

                                          Tourism

                                 Qualified Labour

                                     Labour Costs

                            Legislation/Regulation

                             Economic Conditions




     Figure 7: Wild catch and marine farming operating environment




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                                 Page 27 of 65
Regulatory Environment

Licensing and regulatory controls can apply to the range of work
environment layers in the fishing and aquaculture industry (Figure 8):



                       Work
                      Practices


                                                   Regulatory
                    Work Places
                                                  Environment
                                                  Requirements


                   Work Equipment




                      Workers                     Occupational
                                                   Licensing




            Figure 8: Scope of licensing and regulatory control
For vocationally trained fishing and aquaculture workers there are no
specification occupational licensing requirements. In terms of work
equipment no specific competency tickets are required.

Commercial wild-harvest fishing is a very hazardous occupation because
the sea is an inherently dangerous environment. The seafood industry
mainly uses small boats; ports are often distant from fishing grounds;
and workers are on a mobile platform, usually wet and often at night,
close to moving machinery. The fatality rate, at 89 deaths per 100,000
workers (nationally) per year, is 16 times higher than the all-industry rate
of 5.5 deaths. The seafood industry is investing more in improvements in
workplace safety and associated training.

Training directly related to regulatory environment:

      Coxswain Deck
      Coxswain Navigation


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                                  Page 28 of 65
   Coxswain Engineering
   Elements of shipboard safety
   Live transport and chemical safety
   Marine Radio Operators Certificate of Proficiency
   Wader Safety
   Fork lift license
   Deck machinery and lifting appliances
   Food Safe Handing Standards




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                           Page 29 of 65
               Human Capital Management
There are a variety of approaches for human capital or workforce
development (Figure 6). This section explores those strategies used by
mining enterprises to retain, develop and manage their human resource
functions. The following section focuses on mainly training issues
surround the fishing and aquaculture industry.




             Figure 9: Facets of human capital management




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                             Page 30 of 65
Consultation: Australian Maritime College

The Australian Maritime College (AMC) reported a high demand on the
West Coast for people who have the skills and can meet the licensing
requirements necessary to operate fishing vessels and tourism ferries,
charter vessels for example Coxswains, Master 4, Master 5 and
engineering certificates.

While AMC is training a number of Tasmanian‟s they also cater for
interstate students as well. This workforce is described as being highly
mobile (as the certification and qualifications are recognised all over
Australia). Delivering training to West Coast students may not always
result in an increased skilled workforce on the West Coast, as
experience has shown skilled workers will travel wherever the work is.

Recent growth in tourism on the West Coast has led to a demand from
for deckhands training in Strahan. Recently AMC have provided a
deckhands course that included training in: shipboard safety, first aid,
food handling safety, providing hospitality, communications etc. This
training was designed as a response to the industry requirements,
focusing on specific skill sets rather than qualifications.

Barriers to undertaking training were identified as:
      Distance and time requirements
      “ Time Off Work Factor” The Master 5 (for example) means
       weeks and possibly months away from the work environment to
       complete. People are undertaking this level of training while
       between employment as they can not take that much time away
       from work.
      Training for this sector needs to be scheduled in the off fishing
       season

Recruitment Strategies
Companies general recruit for this sector using newspaper
advertisements, but an increasing number of employers are making
contact with AMC to promote job opportunities to those students about
the graduate.

Larger companies in this sector are providing subsidized housing to
attract and retain staff. During September companies are ramping up
their operations and the work force can double at this time of year.


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                                Page 31 of 65
Consultation: Seafood Training Tasmania

Seafood Training Tasmania is an RTO and a not for profit born out of the
old Industry Training Advisory Board. The training needs were identified
as follows (Table 3):

       Table 3: Training requirements of the wild catch and aquaculture
                                 industries
         Area                          Training Requirements
                             Sector does not embrace training
                             Those working in the industry are paid a
                              percentage of the catch and are not classed as
                              employees – not eligible for funding incentives
                             Wild Catch is the worst sector (than any other)
Wild Catch
                              for deaths and injuries but these statistics not
                              reported within Workplace Standards data as
                              they are not considered employed.
                             Could really do with: OH & S Training, Sea
                              survival and Food Safe Handing Standards

                      Training is provided under the traineeship model –
                      mainly at Certificate III level
                      Training in licensing requirements:
Aquaculture –
                           Food Safe Handing Standards- identified as
salmon farming
                             high risk when standards come in May 2007
and oyster farming
                           Forklift and Coxswains

                      Currently has about 3 trainees on West Coast

                      Training is only within the regulator framework licensing
Rock Lobster          requirements:
                      Masters 4, MED2, MED3




Other skills in demand on the West Coast were identified as:

       Maritime sector (particularly in Strahan) for people with deckhand
        skills to work for the ferry operators. This is a growth industry and
        training required would be : Shipboard safety, first aid and
        communication skills

       Training in response to the licensing requirements of the Food
        Safety Standards


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                                 Page 32 of 65
Barriers to undertaking training:

      Training providers need to recognize and work around the
       industry seasons- providing training in the “out of fishing season”.

Seafood Tasmania responds to West Coast training requests by going to
the region in non fishing seasons and structuring courses to minimize
time away from work – but still find that people don’t turn up and running
programs with less than 8 participants is not cost effective.

Other Issues
The recent changes to the incentive scheme (removal of the rural and
regional incentives) has meant a loss of about $2000 per traineeship and
this will reduce those employers willing to take a new trainee on – “the
incentive isn‟t worth it now”




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                                Page 33 of 65
Consultation: John Kirwan and Associates
                                                            Registered Training
Kirwan and Associates specialize in safety related          Organisation
training to the aquaculture industry. Over the past 12
months Kirwan and Associates have delivered                 Employees- 4 FTE
occupational health and safety [and related] training
to six West Coast businesses and 25 individuals.            Specialises- Regulatory and
                                                            Legislative Compliance

This training is around regulatory and legislative skill clusters rather than
whole qualifications. Units of competency delivered to the aquaculture
industry in the 2005-06 financial year were:

   SFIAQUA310B         Oversee emergency procedures in an aquacultural
                       enterprise
   SFIAQUA405B         Develop emergency procedures for an
                       aquaculture enterprise
   SFICORE106A         Meet workplace OHS requirements
   SFIDIVE301A         Work effectively as a diver in the seafood industry
   SFIDIVE302A         Perform diving operations using surface-supplied
                       breathing apparatus
   SFIDIVE303A         Perform diving operations using self-contained
                       underwater breathing apparatus
   SFIDIVE304A         Undertake emergency procedures in diving
                       operations using surface-supplied breathing
                       apparatus
   SFIDIVE305A         Undertake emergency procedures in diving
                       operations using self-contained underwater
                       breathing apparatus
   SFIDIVE306A         Perform compression chamber diving operations
   SFIDIVE307A         Perform underwater work in the aquaculture sector
   SFIDIVE308A         Perform underwater work in the wild catch sector
   SFIFISH201B         Provide support for diving operations
   SFIOBSV303A         Collect routine fishery management data
   SFIOHS301B          Implement OHS policies and guidelines

In consultation with industry, Kirwan and Associates have adopted
blended training and assessment strategies.             For example, the
competencies of divers are developed through theoretical classroom
based sessions and then assessed and reinforced on-the-job. On the
other hand, infection control training is delivered online and competency
assessments are conducted in the workplace.



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                                Page 34 of 65
Synopsis
The West Coast Fishing and Aquaculture industry is primarily located in
the Macquarie Harbor, Strahan and represented by the Wild Catch and
Marine Farming sectors

There are three main operators involved in Marine Farming on the West
Coast and information about the Wild Catch sector is difficult to obtain
due to the nature of wild fishing operations.

The globalization of commodity products and an increase in foreign
competition has lead to the rationalization of investment in this sector.
The structure and operation of the Tasmanian seafood industry along
the whole production chain is changing at an accelerated pace.

The seafood industry is investing more in improvements in workplace
safety and associated training. The focus of training in this industry is
mainly to do with meeting regulatory requirements, ensuring safety
requirements than achieving nationally accredited qualifications. Training
is provided primarily with this focus in mind and around specific skill set
areas.

There is a high demand on the West Coast for people who have the
skills and can meet the licensing requirements necessary to operate
fishing vessels and tourism ferries, charter vessels eg : Coxwains,
Master 4, Master 5 and engineering certificates.

Barriers to Skill Development for the Fishing and Aquaculture industry
were identified as:


      Distance and time requirements
      “ Time Off Work Factor”
      Training for this sector needs to be scheduled in the off fishing
       season




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                                 Page 35 of 65
               Tourism and Accommodation

Tasmania's economy continues to benefit from a strong tourism industry.
The Tasmanian Visitor Survey results showed a record 855,100 people
visited the state in the 12 months ending March 2006, up 7% from 2005.

A key contributor to Tasmania‟s record tourism growth is the vastly
improved access to the state and keen competition between transport
carriers. Of the 855,100 people who visited the state in the 12 months
ending March 2006, 805,300 were scheduled air and sea visitors, 48,000
were passengers and crew from cruise ships, and 1,700 were navy ship
personnel.
Tasmania's visitors generate approximately $1.8 billion in expenditure
annually.
Visitor expenditure in Tasmania comprises:

      domestic visitors $983.2 million (Tasmanian Visitors Survey:
       March 2006)

      international visitors $163.5 million (Tasmanian Visitors Survey:
       March 2006)
      intrastate visitors $599 million (National Visitors Survey: Tourism
       Research)

While tourism to Tasmania continues to grow annually, the spectacular
rate of growth experienced in recent years is softening. Altered travel
patterns, increased competition and rapid technological change are
creating a new environment for the Tasmanian tourism industry.
In response to the increased availability of low-cost airfares, Tasmania‟s
visitors are taking shorter and more frequent trips, and increasing
numbers are coming here to visit friends and relatives.




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                               Page 36 of 65
External Operating Environment
Changes in the external operating environment can create a need to
train or retrain staff. Some examples of external operating changes are:

   Political Changes:         Government policies and
                              priorities
                              Funding
                              Legislation or regulation

   Economic Changes:          Resource availability
                              Consumer demand
                              Competition

   Demographic Changes:       Availability of qualified labour
                              Labour costs/wages
                              Ageing Population

   Technology Changes:        Introduction of new technology
                              The Internet

The following section provides a snapshot of changes in the
external operating environment at an industry level. How
changes are effective businesses is illustrated through a series
of case study exhibits.


The Tourism Council Tasmania identified the following factors that are
impacting on the external operating environment of accommodation and
tourism businesses across Tasmania:
      The intention of interstate people to holiday in Tasmania is
       declining;

      The growth in low cost airfares has resulted in a reduction in the
       length of stay by holiday visitors. As a consequence of the
       declining length of stay, industry yields have plateaued;

      There is however a growth in the number of people who visit their
       Tasmanian friends and relatives. These people are staying
       longer than holiday visitors;

      Total employment in Tasmania continues to grow while the
       tourism job growth rate has plateaued ;

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                              Page 37 of 65
      There is a trend for Tasmanians to holiday interstate. This is a
       result of low cost airfares; and,

      The outlook for Tasmania is for a period of relatively flat domestic
       performance with the potential for decline in the face of increasing
       competition in the domestic marketplace from other states.

West Coast Municipality Tourist Projects

Current accommodation and tourism projects in the West Coast
Municipality are:

      The Corinna Tourism Resort (Corinna) is currently under
       construction and should be completed in 2007. The proprietors
       are Tarkine Wilderness P/L (Ken Boundy) and the facility will
       provide wilderness and eco tourism experiences. The Value of
       this project is approximately 7 million (AUD);

      An initiative of the Cradle Coat Authority, the Cradle Coast
       Touring Strategy, is upgrading roadside infrastructure for touring
       in the West Coast Municipality. The value of the project is 3.5
       million (AUD) and it should be completed by late 2007;

      Cradle Coast Mining Heritage Experience Strategy (2006-2009)
       aims to build a tourism experience that recognises the West
       Coast‟s mining heritage and cultural assets; and,
      Cradle Coast Walking trails project is reviewing recreational trails
       (walking, horse riding and cycling trails) throughout the region to
       development a strategy for networked multi-use trails.

Recently completed projects in the West Coast Municipality are:

      Mulawa Management Pty Ltd (Federal Resorts) West Coast
       Wilderness Railway. The value of this project was 32 million
       (AUD); and,

      The Lady Jane Franklin 2 which is a luxury catamaran operated
       by Federal Resorts (owned by Mulawa Management Pty Ltd. The
       value of this project was 4 million (AUD).


Current tourism activity levels for West Coast Localities are contained in
(Table 4);

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                               Page 38 of 65
                   Table 4: West Coast tourism activity levels

                   Visitors Passed                        Visitors Stayed
Destination:                           Visitors Stopped                     Total Visitors
                       Through                               Overnight
Queenstown             54460                80280             44440            179180

Strahan                 5840                49090            111850            166790

Tullah                 69030                28580              8790            106400

Zeehan                 60840                57330             13130            131300

Other West Coast       24070                27760             31000            82830
Pieman
                                            8230               5780            14010
River/Corinna




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                                     Page 39 of 65
Consultation: Federal Hotels and                                              Structure- Australian Proprietary Company,
Resorts (Strahan)                                                             Limited By Shares

Federal Hotels and Resorts reported
                                                                              Annual Revenue- Mulawa Management
that the Tasmanian tourism market has
                                                                              Pty Ltd (unknown)
plateaued.

Consequently      the     business      is                                    Products- Experienced based tourism
consolidating and building its „brand‟.                                       (Strahan Village, West Coast Wilderness
                                                                              Railway, Gordon River Cruises
Labour market issues were reported to
be a significant driver of business                                           Business Life Cycle- Established
strategy.    In particular difficulties                                       business
attracting employees from the West
Coast community and high turnover
rates in some occupational groups (e.g.                                       Employees- 200
Food and Beverage Attendants).
                         Technological




                                                                   Internet                       Federal Resorts Positive Impact
                           Changes




                                                                                                  Federal Resorts Negative Impact
                                                               Technology
                               Demographic Changes




                                                       Population Changes


                                                          Qualified Labour


                                                             Labour Costs


                                                      Resource Availability
                               Economic Changes




                                                        Consumer Demand


                                                              Competition


                                                     Legislation/Regulation
                               Political Changes




                                                        Government Policy


                                                        Government Funds




   Figure 10: The external operating environment of Federal Hotels and
                                 Reports



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                                                         Page 40 of 65
Consultation: Anchordown
                                                                              Products- Accommodation &
Anchordown is a micro-business (or life style                                 Restaurants.
business) and has been trading for two years. The
                                                                              Structure- Trading Trust
business is positioned to offer boutique style
accommodation and meals.       Currently most of                              Business Life Cycle- Start up,
Anchor down‟s bookings occurred over the Internet.                            trading 2 years

Anchordown reports challenges that face most new     Employees- 2
business. Namely how to group the business,
maintaining cash flow and competition from Federal Hotels and Resorts
(Figure 11).             Technological




                                                                   Internet
                           Changes




                                                               Technology
                               Demographic Changes




                                                       Population Changes          Anchordown Positive Impact
                                                                                   Anchordown Negative Impact
                                                          Qualified Labour


                                                             Labour Costs


                                                      Resource Availability
                               Economic Changes




                                                        Consumer Demand


                                                              Competition


                                                     Legislation/Regulation
                               Political Changes




                                                        Government Policy


                                                        Government Funds




      Figure 11: The external operating environment of Anchordown




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                                                     Page 41 of 65
Consultation: Castaway Holiday Apartments

Castaway Holiday Apartments is an owner operator                                        Products- Self-Catering &
                                                                                        Accommodation services
micro business located in Strahan. The owners
have position the business to capture a self-catering                                   Structure- Sole Trader
market that wants to prepare their own meals etc.
The business is established and has started entered                                     Business Life Cycle- Established,
a growth phase.                                                                         growth phase

The business receives most of its bookings via the     Employees- 2
internet and receives customers from mainly
interstate and overseas. The owners of Castaway are experienced in
the tourism industry and have positioned their business to be „immune
for population and labour market drivers of skill change‟. The owners
attend trade and tourism events to stay abreast of industry changes
(Figure 12).
                          Technological




                                                                     Internet
                            Changes




                                                                 Technology
                                 Demographic Changes




                                                         Population Changes



                                                            Qualified Labour
                                                                                Castaway Holiday Apartments Positive
                                                                                Impact
                                                               Labour Costs     Castaway Holiday Apartments Negative
                                                                                Impact

                                                        Resource Availability
                                 Economic Changes




                                                          Consumer Demand



                                                                Competition



                                                       Legislation/Regulation
                                 Political Changes




                                                          Government Policy



                                                          Government Funds




   Figure 12: The external operating environment of Castaway Holiday
                              Apartments




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                                                       Page 42 of 65
Regulatory Environment
Licensing and regulatory controls can apply to the range of work
environment layers in the hospitality and tourism industry (Figure 13):

                       Work
                      Practices


                                                   Regulatory
                    Work Places
                                                  Environment
                                                  Requirements


                  Work Equipment




                      Workers                     Occupational
                                                   Licensing



           Figure 13: Scope of licensing and regulatory control

For vocationally trained hospitality and tourism workers there are no
specification occupational licensing requirements. In terms of work
equipment no specific competency tickets are required.
Work places however have licensing and other requirements. Examples
include meeting council requirements around the Building Code and food
handling.
Specific work practices of some job roles may however required
evidence of best practice training. Examples of the job roles affected
included:
      Tour guiding, which requires remote area first aid and search and
       rescue;
      Deckhand, which requires Coxswain Competency and Senior
       First Aid;
      Chefs, who require HASSOP training.
   Responsibility for currency of competency regulated work practices is
   an employer‟s duty of care. Employers typically keep training records
   for employee competency and contract a registered training provider
   to deliver specialist duty of care related training.


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                                  Page 43 of 65
Human Capital Management
There are a variety of approaches for human capital or workforce
development (Figure 14). This section explores those strategies used by
mining enterprises to retain, develop and manage their human resource
functions. The following section focuses on three key human resource
(HR) functions:

   1. Workforce Planning
   2. Selection and Recruitment
   3. Human Resource Development (namely, training and career
      development)




           Figure 14: Facets of human capital management




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                             Page 44 of 65
Consultation: Tourism Council of Tasmania
Tourism Council Tasmania undertook a skills development analysis in
the West Coast and the following findings and recommendations were
reported in March 2004. The Council‟s objectives were:
    1. To develop a formal for identifying skill development clusters;
       and,
    2. To develop cooperative arrangements with training providers for
       the effective delivery of training [through the framework of the
       National Tourism Accreditation Business Development Program].

The findings of this project were as follows:

   Skill development was not always the most appropriate option to help
    a business address their needs. Other options such as specialist
    advice, development of policies and procedures, performance
    management, or recruitment were often more relevant.

   Analysing the training needs of participating businesses proved to be
    difficult, as many did not want to pursue training that addressed
    knowledge and skill gaps.

   Training organisations were reluctant to tailor solutions to tourism
    business requirements (particularly in relation to the size and
    experience of the business operator).

   Businesses were slow to uptake training because it was often
    marketed poorly. For example, venues at appropriate locations
    (particularly regional), affordability, tailored courses and workshop
    times were all barriers affecting the uptake of training programs.

   Relationships and networks with local associations and organizations
    are a driver of training uptake. For example, businesses are
    reluctant to support a training course unless it is endorsed by a
    trusted organisation (e.g. local tourism association or business
    enterprise centre).




Barriers or difficulties that West Coast tourism operators reported as
reasons why they were not interested in training included:

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                                Page 45 of 65
   Lack of reliable staff to cover either managers or other employees to
    attend training;

   Operators did not understand the relationship between skilled staff,
    productivity and profit;

   Confident businesses felt that they have excellent skills- and cannot
    see how anyone else could help;

   Previously unsuccessful initiative have left a negative impression
    about the value of training interventions;

   Perceived inflexibility of training providers to be able to deliver in
    modes that are appropriate to individual businesses; and,

   Businesses did not see value in generic courses. Such courses were
    perceived as lacking relevance to individual business needs. Also,
    the lack of options in terms of times and values alienate businesses -
    businesses have the attitude that delivery factors are driven by
    training providers rather than the customer.

Tourism Council Tasmania has done some specific work on some of the
problems faced by the State‟s tourism industry as a whole and provide
the following comments.

   There is a need for a coordinated education program for the tourism and
    hospitality industry on human resource planning to focus on accessibility
    (maximizing the use of digital media) and be communicated in simple terms
    which make sense to industry.

   “Packaging” of career opportunities needs to be made more attractive to
    potential employees, and should not create unrealistic expectations. This
    should encompass better coordination with the training sector, including
    VET in schools.

   The tourism industry is characterised by a high percentage of casual
    labour, reflect the dynamics of the industry. Casual employment should
    not be a barrier to government subsidized training programs.

   Re-entry or mature-age programs should be further investigated; the
    success of such programs is highly dependent on achieving outcomes of
    the abovementioned objectives.




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                                Page 46 of 65
Consultation: Federal Hotels and                   Workforce Planning- Implementing a
Resorts                                            Human Resource Information System to
                                                   accurately apply human resource
Human Resource Planning                            accounting and planning
Federal resorts are rolling out a human
resource information system.         The           Career Planning- Implementing strategies
businesses will soon have the capacity to          to develop lateral and horizontal career
                                                   pathways between VET in schools and
track undertake human resource planning
                                                   Federal resorts
and measure key human capital metrics.
                                                   Training & Development- Positioning
Federal‟s west coast businesses employ             Federal Hotels and Resorts as a market
200 people: 55 on the West Coast                   leader in quality training
Wilderness Railway; 25 on the Gordon
River Cruises and 120 and Strahan Village.         Employees-
                                                   55 West Coast Wilderness Railway
Accurate data is available for attrition and       25 Gordon River Cruises
recruit rates for the 2005 calendar year.          120 Strahan Village

Selection and Recruitment
In the 2005 calendar year Federal‟s Strahan operation had the following
employee exit rates:
      9 full-time
      2 part-time
      12 salaried
      57 casual

Separation rates by position titles are as follows:
      28 Food and Beverage attendants (including 8 Stewards for the
       railway that have some basic guiding/interpretation
       responsibilities and require some specialised legislative/safety
       training/skills)
      5 Cleaners
      8 Kitchen Cleaning hands
      5 Engineers (train)
      1 Fireman (train)
      7 Retail/Sales
      3 Maintenance (1 x Train)
      1 Master (boat operations)

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                                Page 47 of 65
      1 On-board Supervisor (boat operations – requires some
       specialised legislative/safety training/skills)
      2 Reception/Front Office
      2 Chefs
      7 Housekeeping
      6 Activities Centre
      2 Guides
      2 miscellaneous/corporate
The attrition rate during the 2005 calendar year was 47%, however it is
important to note that seasonal demand equates to approximately 32
new employees (excluding train operations) for the 2006 summer holiday
period, or about a 25% from the winter season. Most new recruits are
seasonal, so the high attrition rate is [to some degree] expected.

Unfortunately Federal Hotels and Resorts do not have data regarding
employee qualifications and demographics fully entered into the Human
resource information system. So the business cannot easily access
information relating to age groups of separated employees. Federal
Hotels estimates that the highest separation rates are in the 15 – 24 and
25 – 34 age groups.

The average tenure of those separated was 379 days. (This is similar
across all Federal Group properties and businesses). After high attrition
during the first 12 months of employment, Federal‟s tenure is generally is
generally between 2 and 5 years.

In the 2005 calendar year, Strahan recruited:
      8 full time
      18 part time
      207 casual
      10 salaried employees.

Unfortunately the business cannot easily access data relating to age
groups or qualifications of recruited employees. “It would be safe to say
however that a significant number would be in the 15 – 24 and 25 – 34
categories”.

   Federal‟s recruitment methods are largely traditional namely print and
   on-line media. However in the last 6 months the methodology for

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                                Page 48 of 65
   Federal‟s tourism properties is broadening to include more
   networking (including developing relationships with education
   providers such as Don, Hellyer, and TAFES), targeted/campaign-
   based advertising, reliance on Expos/Careers Fairs and enhanced
   development and management of candidate databases. This is in a
   direct response to the on-going and increased challenges of
   recruiting in a small population with skill and candidate shortages.
   Federal has a policy of employing candidates from within Tasmania
   whenever possible.

   Recruitment by position title in the 2005 calendar year were as
   follows:
        4 Retail/Sales (including 1 Manager)
         2 Activity Centre
         3 Cooks
         2 Apprentice Cooks
         10 Housekeeping
         2 Guides
         2 Miscellaneous/Corporate
         3 Maintenance
         2 Masters
         5 Front Office
         35 Food and Beverage Attendants (including 9 train Stewards,
          1 Manager and 1 Supervisor)
         7 Kitchen Cleaning
         10 Train operations (fitters, engineers, cleaners, gangers etc)


Human Resource Development
A recent climate revealed that employees prefer face-to-face training.
Consequently most training is now delivered on the job.

Training entry requirements into Federal Strahan operations is via way of
a Service Skills Induction Program. This aims to the correct mindset
around “experience” based tourism.

Traineeships and Apprenticeships


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                                 Page 49 of 65
Federal Resorts report that they can only access funded pathways for
commercial cookery and that National skill shortage data does not reflect
business operations in the West Coast Municipality 4. “There is a need in
the West Coast to provide funding for a wide scope of qualifications”.
The business reports that food and beverage in particular is a pathway
they would like funded.

Also the Federal Resorts reports that greater flexibility around
timeframes for completing Certificate III and IV new apprenticeships and
traineeships would align funded pathways with business operations.
Federal would ideally like to use the winter season to deliver intensive
training. Employees on traineeships could thus fast track qualifications.
“Whilst employees would not stay in Strahan for two years, they would
be included to stay a lot longer than 4 months.” To improve retention
rates, Federal would like to offer employees pathways through their
businesses. However the legal structure of Mulawa enterprises does not
align with the legal requirements for traineeship funding.

Federal Resorts market research suggests the organisation is an
attractive employer to the 20-25 year old age group. These people are
better suited to traineeships because it is about skill acquisition. For the
„stable‟ local population of employees however, training that focuses on
up skilling rather than skill acquisition is more appropriate. Funding
support would be especially beneficial to the „stable‟ employee group as
it increases the long term productivity and viability of the West Coast
area.

Federal Hotels and Resorts Strahan operations estimate it needs the
following new apprenticeships and traineeships (Table 5)




4
 The methodology for collating skills shortage data is reported in the consultation with Chris
Fallon from the Department of Employment, Science and Training (DEST).

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                                        Page 50 of 65
          Table 5: Training demand for Federal Hotels and Resorts:


Job Role             Qualification                               Numbers
                       THH31502
                       Certificate III in Hospitality
Chef                                                                 3
                       (Commercial Cookery)

                       THH41302                                       8
Commercial             Certificate IV in Hospitality            Up skilling in
Cookery                (Commercial Cookery)                    management
                                                               Certificate IV
                       THH33002                               Different funding
Food and               Certificate III in Hospitality         model to support
Beverage               (Operations)                             traineeships
                                                                     35
                       THT30902
                       Certificate III in Tourism (Guiding)
Guiding                                                              3
                       THT40302
                       Certificate IV in Tourism (Guiding)
                       THH33002
Housekeeping           Certificate III in Hospitality                5
                       (Operations)
                       MEM30298
Fitter and Turner      Certificate III in Engineering                1
                       (Mechanical Trade)

Federal Resorts also reports that skill sets or clusters are more important
to some job roles than a single qualification. Gordon River Cruises, for
example, requires multi-skilled employees with the following skill sets:
      Remote area first aid;
      Food and beverage attendant;
      Deck hand skills with a Coxswain ticket; and,
      Guiding and interpretation skills.


“The business needs to train for skill sets rather than specific
qualifications. Skill set based training could also be used to create
career pathways… it’s the skills passport notion.




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                                Page 51 of 65
Consultation: JobNet
As a provider of employment and new apprenticeship services on the
West Coast, JobNet identified the most important skill development
areas for hospitality and tourism as:

      Customer Service – especially working with culturally diverse
       groups (tourism and hospitability);
      Guiding Courses (tourism);
      Safe Food Handling; and,
      Fist Aid – Workplace Level 2 5.




   5
      “The first aid trainer who was a resident in Queenstown, and could
   fill a course of up to 15 people, has retired and there is no access to
   local first aid training” JobNet


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                               Page 52 of 65
Synopsis
The West Coast accommodation industry is located mainly around the
Strahan and Queenstown localities (14.10 and 5.3 percent respectively).
The accommodation, cafe and restaurant industry is denominated by
Federal Hotels and Resorts and supported by micro-businesses.
Experiential tourism is an emerging industry and is attracting new business
to the West Coast area (e.g. Corinna Tourism Resort).

Unique climatic, geographic, social and demographic characteristics of the
West Coast Municipality interact to influence the availability of qualified
labour which impacts on the business operations of larger employers. For
example, the peak season Federal Hotels relies on seasonal labour. This
labour force is typically between 20-25 years old, travelling, limited
experience in hospitality or tourism and blends a travelling holiday with work
opportunities. Smaller businesses, on the other hand, are more often owner
operated and do not rely on casual labour to support their operations.

Whilst there are adequate labour resources in the West Coast municipality,
structural barriers limit access to employment. These barriers were
identified as;
      A lack of public transport between West Coast localities;
      A lack of childcare facilities; and,
      A lack of basic employability skills;
Reliance on seasonal labour was identified by Federal Hotels and Resorts
and having a negative impact on the community. This is because:
      Seasonal labour requires training during the peak season. Their lack
       of work experience impacts on the quality service quality and
       ultimately referrals and repeat business to the region; and,
      Training is not invested in the local community, but rather in a
       transient population.
Federal Hotels and Resorts are investing in strategies to improve labour
supply and retention. These include provide placements and training to
VET high school students at Strahan Village and other Federal resorts (e.g.
Cradle Mountain and Freycinet); creating partnerships with Registered
Training Organisations that positions Federal Hotels and Resorts as a
„school of excellence”; and, multi skilling employees to be competent in skill
clusters.



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                                 Page 53 of 65
               Small Business Environment

Twenty two small businesses were contact as part of the consultation
processes. These businesses completed a short questionnaire about
their operating environment. Follow up telephone calls with a selected
sub sample identified no requirements around “accredited training”.
Rather they talked about the need for targeted business development
(similar to the Department of Economic Development Workforce
development fund model).

The characteristics   of   business   responding to the survey          are
summarised below.

The majority of businesses were in the accommodation and restaurant
industries (11 businesses) (Table 6).

      Table 6: The distribution of industries in which small business
                                  operate
                                        Frequency             Percent
Accommodation, cafes, restaurants       6                     27.3
Construction                            3                     13.6
Manufacturing                           1                     4.5
Manufacturing and maintenance           1                     4.5
Mining                                  1                     4.5
Property and business services          1                     4.5
Retail                                  4                     18.2
Tourism                                 5                     22.7
Total                                   22                    100.0




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                              Page 54 of 65
The ownership structure of businesses varied- there were 8 companies 6
partnerships and 6 sole traders Table 7.

                Table 7: Small business ownership structures
                                         Frequency             Percent
Company                                  8                     36.4
Partnership                              6                     27.3
Sole Trading                             6                     27.3
Trading Trust                            2                     9.1
Total                                    22                    100.0


The geographic reach of nine business included overseas markets.
Eight businesses were focused on the local W est Coast market Table 8.

         Table 8: The reach of small business customer markets
                                     Frequency                 Percent
All of the above                     9                         40.9
Intrastate,   Interstate   &Overseas 3                         13.6
Markets
Local Market (West Coast LGA)   8                              36.4
Local Market (West Coast LGA) & 2                              9.0
Interstate
Total                           22                             100.0


Most of the businesses were “established” and one business was in the
“start-up” phase (Table 9).

                Table 9: Small business development phases

                                         Frequency             Percent
Established                              9                     40.9
Growth                                   6                     27.3
Growth, Established & Mature             2                     9.1
Mature                                   4                     18.2
Start up                                 1                     4.5
Total                                    22                    100.0



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                               Page 55 of 65
Most business had been established for more than 6 years, and some
for more than 16 years (Table 10).

  Table 10: Trading duration of West Coast small businesses

                                                                                   Frequency                         Percent
Less than 5 years                                                                  7                                 31.8
between 6 and 10 years                                                             6                                 27.3
11 to 15 years                                                                     3                                 13.6
more than 16 years                                                                 5                                 22.7
Total                                                                              21                                95.5
Missing Value                                                                      1                                 4.5
                                                                                   22                                100.0


Collectively, the small business had a negative economic outlook on the
availability of labour, the cost of labour and the effects of competition.
New technologies such as the internet were reported as a driver of
business growth.

   -15        -10                                   -5                         0           5                   10              15
                       Technological




                                                                    Internet
                         Changes




                                                                Technology
                              Demographic Changes




                                                         Population Changes


                                                            Qualified Labour

                                                                                       Small Business Survey Negative Impact
                                                               Labour Costs            Small Business Survey Positive Impact
                              Economic Changes




                                                         Consumer Demand


                                                                Competition


                                                     Legislation/Regulation
                              Political Changes




                                                         Government Policy


                                                         Government Funds




    Figure 15: Operating environment of small t o medium enterprises


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                                                               Page 56 of 65
Synopsis
Small to medium businesses (including micro businesses) comprised
about 80 percent of registered businesses in the West Coast
Municipality. The surveyed businesses were mostly transaction and/or
life style focused micro business with fewer than 5 employees. Their
business strategies focused on geographic fit rather than horizontal or
vertical growth. These businesses did not identify AQF training as a
high priority, and were more focused on responding to changes in the
external operating environment (Figure 16).


                                                                                       For example:
                       Business Size                                                   Setori Engineering
                                        Community Focus       Manufacturers &          Employees-55
                                                              Service Providers

                                         Vertical Scope        Vertical Scope
                                                              Horizontal Scope
                                                              Geographic Scope



                                          Life Style          Knowledge +/or
                                                              Technology Based
                                          Transaction Base
                                             Trade-Offs
                                                              Horizontal Scope
                                       Fit Amongst Strategy   Geographic Scope

                                                                   Level of Momentum




For example:
Quarry Home Improvements
Employees- 1




     Figure 16: The economic positioning of micro or transaction based
                              businesses




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                                            Page 57 of 65
         The Impact of Economic ad Community
            Development on the West Coast

Economic and community development initiatives include commercial
projects, funding from grants and community development projects such
as TASCOSS Partnerships to Jobs Program which will target the West
Coast and other disadvantaged municipalities. Intrastate economic and
community development initiatives can also affect the west coast
municipality. The Bell Bay Pulp Mill, for example, construction phase will
offer employment to around 3000 people.


West Coast Infrastructure Projects
Desktop research revealed the following projects that are either under
consideration or have commenced construction phase.


Sector:          Electricity Gas and Water Supply
Company:         Hydro Tasmania
Project:         Heemskirk wind farm
Value ($):       270 million
Status:          Under Consideration

Sector:          Mining
Company:         Allegiance Mining
Project:         Avebury Nickel Mine Zeehan
Value ($):       30 million
Status:          Under Construction

Sector:          Mining
Company:         Bluestone Tin
Project:         Rentails
Value ($):       50 million
Status:          Under Consideration

Sector:          Electricity Gas and Water Supply
Company:         Hydro Tasmania
Project:         Rosebery Diesel Generation Plant
Value ($):       N/A
Status:          Under Construction

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                               Page 58 of 65
Sector:         Health and Community Services
Company:        West Coast Council and Tasmanian Government
Project:        New hospital
Value ($):      6.6 million
Status:         Under Construction

Sector:         Transport and Storage
Company:        West Coast Tourism
Project:        Strahan Airport upgrade
Value ($):      N/A
Status:         Possible

West Coast Community Capacity Building Projects
Projects that build community capacity are typically funded from grant
monies. The Community Support Levy, the Tasmanian Community
Fund and the Commonwealth Regional Development Grants have
provided funding for the following projects since 2002.


Tasmanian Community Fund
Organization: West Coast Heritage Authority Ltd
Grant Title: Gaiety Theatre Restoration
Amount: $52,000

Organization: National Trust of Australia (Tas)
Grant Title: Restoration of Penghana & General Office, Queenstown
Amount: $64,270


Community Support Levy
The West Coast Council has traditionally not auspice not-for-profit
organisations, and consequently many are not eligible for funding from
the Community Support Levy grant programs.
Organisation: Zeehan Neighbourhood House Inc.
Grant Title: Support for Community Learning Courses and Activities to
be Conducted at the ZNC Amount: $2,600.00




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                              Page 59 of 65
Organisation: Strahan Parent Involved Playgroup
Grant Title: Books
Amount: $1,000.00

Organisation: Strahan Parent Involved Playgroup
Grant Title: Developing motor skills
Amount: $1,087.00

Organisation: West Coast Health and Community Services (Strahan)
Grant Title: Funding to run life skills program for young people who will
be moving from area to further their studies
Amount: $400.00

Organisation: West Coast Health and Community Services (Rosebery
and Strahan)
Grant Title: Slip Stream Circus workshops in schools and wider
community
Amount: $990.00

Organisation: West Coast Health and Community Services (Rosebery
and Queenstown)
Grant Title: Conduct a Health and Well-being Program for men and boys
Amount: $1,580.00

Organisation: West Coast Health and Community Services Ltd
Grant Title:
Amount: $6862

Organisation: Zeehan Community Bus Management Committee
Grant Title:
Amount: $2000

Organisation: Zeehan Neighbourhood House Inc.
Grant Title:
Amount: $4000


Sustainable Regions Program
Grants in this program were awarded to the Cradle Coast Authority for
administration to local government authorities (Table 11).


   Table 11: Federal Government funding to the Cradle Coast Authority

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                               Page 60 of 65
     PROJECT                         PROJECT DESCRIPTION                         FUNDING
                                                                               GST INCLUSIVE

Cradle Coast           The "Stronger Learning Pathways" initiative is made       $247,500
Authority - Stronger   possible through a grant of $225,000 over 3 years to
Learning Pathways      the Cradle Coast Authority.

                       The "Stronger Learning Pathways" initiative will
                       appoint a Project Officer to drive participation in
                       education, training and employment within the
                       region.

West Coast             A project was approved in December 2002 for               $165,000
Municipal Council -    $150,000 over three years for a West Coast Tourism
Tourism Industry       Development Officer to drive the West Coast
Capacity Building      Tourism Plan under the Tourism Industry Capacity
                       Building priority.

Cradle Coast           Implementation of the Cradle Coast Regional               $110,000
Regional Touring       Touring Strategy. The Strategy identified the key
Strategy               selling points of the region as a tourism destination
                       and will coordinate product and infrastructure
                       development, marketing and desired visitor
                       experience with the intent of spreading tourism
                       benefits across the region.

Skilling the Cradle    A 3 year strategy that seeks to use science and           $577,500
Coast Community        technology related education to increase
for the 21st Century   participation in the post compulsory education and
                       training and address current and predicted skills
                       shortages in the Cradle Coast region.

Cradle Coast           Producing the Stanley Tourism Precinct development         $44,000
Authority - Stanley    plan for the Circular Head municipal region.
Tourism

Cradle Centralised     Develop the regions tourism industry and protect           $550,000
Sewerage System        environment from pollution and degradation.

Cultural Tourism   Contribute to the employment of a project officer to          $127,325
Regional Arts@Work develop and coordinate arts based tourism initiatives
                   in the cradle coast region.

Regional Needs         To develop appropriate and strategic responses to          $33,000
Analysis               tertiary education and training needs in the Cradle
                       Coast region.

Food Innovation        The Centre will provide a seamless research,              $1,320,000
Centre                 development and teaching facility covering natural

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                                    Page 61 of 65
     PROJECT                       PROJECT DESCRIPTION                          FUNDING
                                                                              GST INCLUSIVE
                     resource management, food production and post-
                     farm gate value-adding, to maximise efficiency and
                     innovation in the regions food sector.

Whisky Tasmania      The project will procure, install and commission a      $110,000
Bottling Plant       bottling, capping and labelling plant for single malt
                     whisky and vodka products.

Innovative Product   Introduction of new seafood processing technologies     $110,000
Development and      to enable production of new value added portion
Value Adding         seafood products - including an automatic filleting
Seafood Petuna       machine and pin-boning & slicing technology.

Production           The project involves the construction of a new          $154,000
Powdercoating        fabrication workshop, fabrication of a gas-fired
Facility Stratton    powder coat-curing oven, purchase and installation
Engineering          of a powder spray booth and dust extraction system
                     and associated works.

Cradle Coast         The project addresses identified shortcoming in the     $1,062,050
Tourism              facilities provided for visitors, especially the
Infrastructure       increasing number of motor home tourists and will
Investment           upgrade signage and improve facilities for tourists
Program              visiting the Cradle Coast region.

Strahan              The project is to develop an integrated development     $55,000
Development Plan     plan for Strahan on Tasmania's west coast.




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                                 Page 62 of 65
Bell Bay Pulp Mill
It is anticipated that approximately 3,000 people will be directly employed during
the peak construction period, with a further 4,000 indirectly employed. Once the
pulp mill is operational, approximately 300 fulltime permanent positions will be
created at the pulp mill and additional 1,200 – 1,500 jobs around the state.

   The construction and operating phase workforces that will be hired to
   build and run the mill will be largely unskilled before they begin work
   at the mill.

         Construction phase workers will be expected to require
          training in construction, metal fabrication and electrical trades.

         Operating phase workers will require training in standard
          operating phase procedures and maintenance practices.

   During the construction phase, TAFE Tasmania will plan to focus on
   providing accelerated training programs so workers could be skilled
   up in particular aspects of construction, including:
               electrical cable tray installation;
               electrical termination;
               stainless steel welding;
               other specialised welding;
               targeted training in facets of building construction; and
               site health and safety requirements.

   The construction phase courses, which could be held in Launceston,
   could also be open to the public (as well as to Gunns’ employees).
   Through these courses, construction phase personnel would develop
   specific competencies, which could be converted into a full Australian
   Qualifications Framework (AQF) Certification Level 3 qualification.

   As a result of the mill process, more than 3,000 workers will be
   prepared to transfer new skills acquired at TAFE Tasmania to new
   projects across Australia. Given the persistent gap between the
   demand for and supply of skilled labour in Australia, this represents
   an important skilling opportunity for Australia

   The construction phase training programs will be designed by TAFE
   Tasmania with input from Gunns to provide training that will
   accommodate time constraints and ensure access to semi-skilled
   construction personnel. During the operational life of the mill, Gunns
   will intend to provide its staff with ongoing TAFE training courses.

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                               Page 63 of 65
      Again, most of the operational phase workers will also be expected to
      be generally unskilled prior to working with Gunns. Of the 292 full-
      time jobs to be supported, Gunns would expect that more than 60 per
      cent of the jobs (both salaried and production line) will require
      additional technical training, in addition to on-site, mill-specific
      training. This will be likely to generate additional TAFE training
      opportunities (possibly as many as 6 to 8 new TAFE training
      positions in specific aspects of process engineering, plant supervisor,
      electrical equipment maintenance and material handling etc). These
      courses will be workplace-based and will include:
               ongoing trades training in electrical, fitting and turning,
                 welding, instrumentation and other vocational skills;
               plant operator in standard operating procedures; and
               development of para-professionals in pulp manufacturing
                 technology.

      Significantly, TAFE Tasmania has entered into preliminary
      partnership discussions with the South Carelia Polytechnic Institute in
      Finland to access training expertise in pulp manufacturing technology
      that would be required if the mill were to go ahead. Initial discussions
      have been facilitated by Gunns as part of its management strategy
      for ensuring sufficient labour supplies are available in Tasmania
      during the construction phase. Collaboration with the South Carelia
      Polytechnic Institute would enable TAFE Tasmania to create best
      practice courses. This would streamline the course development
      process for TAFE Tasmania, transferring years of experience in
      wood manufacturing procedures and training to the Australian
      market.

      From consultations with TAFE Tasmania, it is clear that the institution
      sees the opportunity for strong reputation benefits to be created
      through both the initial construction training courses and the ongoing
      standard operating procedure training if the mill is constructed. In
      particular, it sees potential for the creation of a centre of excellence
      at TAFE Tasmania around wood manufacturing technologies 6.




6
    Exert from Bell Bay Pulp Mill Draft IIS Volume 3a

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                                       Page 64 of 65
Forestry Agreement
The Forest Industry Council reports that this industry has limited
representation on the West Coast due to fact that most of the West
Coast in now in forestry reserves. There are two West Coast specialty
saw millers who harvest timber and provide services on a contractual
basis. Timber harvested is minor timber such as Western Softwoods and
Tasmanian Special Timbers.


Synopsis
There are significant economic development projects under
consideration for the West Coast Municipality. Most of these projects
are in the mining industry and will be dependent on the global demand
for resources. Other economic projects such as the wind farm are
tenuous and have been off and on the development agenda for some
time.


Community development wise, funding to the West Coast Municipality is
limited. The Community Support Levy Grant Program, for example,
reports a lack of applications from the region.    The Tasmanian
Community Fund has recently providing funding for improving
infrastructure in the West Coast area.


In about 2002, the Federal Government provided funds to the Cradle
Coast Authority for enhancing West Coast infrastructure and
development of the tourism industry in the region.


The West Coast Council Business Development Officer Small reports
that small not-for-profit groups are occasionally established to address
community priorities, however these groups often do not incorporate and
are therefore not eligible for funding.


Economic development projects intrastate, in particular the Bell Bay Pulp
mill, has the potential to attract contract labour that is currently based in
or around the West Coast Municipality. Many West Coast construction
projects may be subject to the outcome of the pulp mill feasibility study
review by the Resource Planning and Development Commission.




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                                Page 65 of 65

								
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