Agriculture recruitment update: new Ag Visa plagued by delays and complications

Initial excitement in the farming sector about the introduction of an Ag Visa has been replaced with frustration for many farmers who are about to kick off their harvests.

With the new Ag Visa now unlikely to be introduced before next year, it is understandable some agribusinesses are concerned about how they will address pressing labour shortages before then.

The Ag Visa was proposed by the National Party to reduce restrictions on foreign workers coming into Australia and addressing chronic workforce gaps in the agriculture sector, particularly regarding seasonal unskilled labour.

The agriculture industry and the agriculture recruitment sector have long been lobbying for a dedicated Ag Visa to address the industry’s shortfall in workers.

The proposed Ag Visa was aimed at reducing costs and administration, which would simplify the process for Pacific Island and working holiday visa holders.

However, the new plan outlined by the Australian Government means once the new Visa has been introduced; farmers and agribusinesses will first have to register their work requirements with the National Harvest Labour Information Service.

If they are deemed eligible they will then be linked with welfare recipients who could be placed into the positions.

This new plan is problematic for farmers who need their agriculture recruitment requirements met in quick time for fast-approaching harvests. It is also an issue for farmers who cannot provide long-term work or a set number of hours each week.

The proposed plan also raises significant issues for larger agribusinesses, given the expense and time required to undertake large agriculture recruitment campaigns.

With time ticking on the upcoming seasons and workers needed now, Agri Labour Australia knows the demands that farmers face in trying to fill their staff vacancies and that they cannot wait for regulatory uncertainty to be clarified.

As Australia’s leading agriculture recruitment specialists, we understand the stress of harvest season and the needs of our farmers in the short and long term.

We are specialists at effectively and efficiently connecting large numbers of pickers and horticultural workers with businesses all over Australia through our harvest trail which allows our agriculture recruitment staff to engage workers for back-to-back roles.

When workers have work scheduled for the entire harvest calendar, they are motivated to stay the course and less likely to abandon a project if there are delays or if conditions change.

Agri Labour Australia is managed by a team of consultants who are committed to the ongoing success of our clients’ business and our candidates’ careers. We are dedicated to supplying employers with staff who are keen and work-ready.

Need staff for your upcoming harvest? Call 1300 247 823.

Agri Veterans at the upcoming Australian Defence Force Transition Seminar in Townsville

Australian Defence Force (ADF) Member and Family Transition Seminars are an excellent initiative by the Department of Defence. They are held throughout the year to assist defence members with transitioning successfully back into civilian life.

At the 23 October Seminar, Agri Veterans (a program developed by Agri Labour Australia) will be represented by our very own veteran, Tim Chapman. Tim will be there to chat with attendees about the various roles Agri Veterans recruits for and how effectively ADF skills translate into exciting and rewarding agricultural career options.

Like the land, Australian veterans lie close to our heart at Agri Labour Australia. We are genuinely committed to seeing our veterans connect their existing skills and capabilities to roles that provide stability, enjoyment and professional satisfaction.

Find Tim at the Seminar and talk to him about your possibilities!

When: Tuesday 23 October

Time: 9am – 4:30pm

Where: Townsville Entertainment Centre

For more information, visit: http://www.defence.gov.au/DCO/Transition/Seminars.asp or contact Tim Chapman at Agri Veterans on 0499 184 555

Visit us at BeefEx 2018!

This week you’ll find Agri Labour Australia exhibiting at our very first BeefEx! Held from 8 – 10 October at Brisbane Showground’s Royal International Convention Centre and hosted by the Australian Lot Feeder’s Association, this is a major industry event aimed at all those involved in the grain fed beef supply chain.

With an established reputation for sourcing and supplying the best candidates around, Agri Labour Australia has placed 1500+ workers to the livestock industry since 2010, as well as a range of permanent roles, from Maintenance Technicians to Operations Managers.

As one of the leading suppliers of staff for the Australian livestock industry, members of our management team will be on hand to share their knowledge and provide expert advice on recruitment and workforce solutions.

Come and visit us at Booth 41!

Agri Veterans wins coveted CSR award at RI Awards Australia

Agri Veterans has taken out the hotly contested ‘Best Corporate Social Responsibility (CSR) Initiative’ award at the RI Awards Australia by Recruitment International.

The CSR Award honours our pioneering program, which has gone from strength to strength since launching in 2015.

Judges were clearly impressed by Agri Veterans’ achievements in helping ex-Defence personnel transition to civilian life via placements in meaningful, gainful employment in Australia’s agriculture industry.

With more than 200 recruitment firms competing for the top honours, the 2017 RI Award winners were announced at a black tie gala dinner in Sydney on May 10 at the swanky Ivy Ballroom on George Street.

About the awards

RI Awards Australia is part of Recruitment International – the world’s biggest recruitment industry awards programme.

The aim of the awards is to recognise innovation and best practice in the Australian recruitment industry.

A panel assesses and rewards the best recruitment companies and their people, and the ceremony is a chance to celebrate the collective successes of our great profession.

Agri Labour Australia’s Liam Palmer and Seppi Mohsenian were in attendance on the night in Sydney to accept the award on behalf of Agri Veterans.

“We are thrilled and humbled by our win, but not at all surprised given all the hard work that’s gone into the program. From the beginning we knew we were onto a brilliant concept that could really help all stakeholders – the ex-Defence staff benefit and so do the agriculture employers of Australia. Plus, we’ve got the most passionate, devoted team in the business and couldn’t wait to share the news with, they deserve it.”
Program Co-Founder, Casey Brown

© COPYRIGHT. 2017. Dragon Papillon Photography. All Rights Reserved.

A winning formula

Coming under the CSR category the Agri Veterans program has enjoyed great success in placing eligible veterans in stable, rewarding roles around Australia where they can learn new skills, gain financial security and regain a sense of purpose.

For more information on Agri Veterans, visit www.agriveterans.com.au or call 1300 247 823.

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Queensland farmers keen to invest in technology, plant and equipment

Farmers across the state are gearing up to invest more in technology, and plant and equipment, according to CBA’s latest Agri Insights report, which surveys 1600 farmers bi-annually.

While agriculture is one of the world’s oldest industries, Queensland’s farmers have proven themselves a modern and forward-thinking with increased investment in their sights.

percentage

Thanks to improved market conditions, more than a quarter (26 per cent) of farmers intend to invest in plant and equipment in the new future. That’s a 10 per cent increase on the same period in 2015.

 

CBA’s latest agricultural survey shows intentions to invest in technology are at an all-time high. As many as two-thirds of state’s farmers believe digital technology is a boon for business and has the potential to add value to the industry.

Twenty-two per cent of respondents say they will increase investment in tech going forward. More than half already actively share their own production data, embracing the opportunity to learn and improve.

Commodity sectors in Queensland are performing strongly across the board, led by beef, cotton and horticulture. Nineteen per cent of horticulture producers surveyed say they will upscale operations by investing in new technology and infrastructure.

Impact on recruitment

It follows that this new investment trend is set to have a big impact on agricultural recruitment. After all, these new systems and machines aren’t going to run themselves!

We predict new and exciting positions will open up on our clients’ farms – some never before seen. As a result, agricultural recruiters will need to work more closely with clients to understand the new technologies and skillsets required for optimum effectiveness and efficiency.

This will likely give rise to new training requirements and induction procedures, along with the implementation of revised key performance indicators that measure ROI.

As it is now and has been since time immemorial, achieving better results for farmers is the end goal. A goal that can only be reached with the right candidates behind the scenes.

Year in review: new FTAs and what they spell for the agriculture industry

It’s all over bar the shouting, and 2015 will go down in history as a big year for landmark FTAs – one signalling unprecedented access to the biggest consumer market on Earth.

We wouldn’t go so far to say it’s been a victory across the board for Australian agriculture, but June’s Australia-China Free Trade Agreement (ChaFTA for short) and October’s Trans-Pacific Partnership (TPP) are set to usher in a new era of prosperity and growth in many key sectors. It looks likely that agriculture’s great white hope, sugar, will stay where it is for now, but who knows what the future will hold?

China-Australia Free Trade Agreement

After 10 years and much negotiation, ancient trade barriers finally buckled when then-PM Tony Abbott and China’s commerce minister Gao Hucheng signed on the dotted line in Canberra.

Demand for food in middle-class China is off the charts and Australia has the means to feed them. The only thing in the way were tariffs. Big ones. ChAFTA goes a long way to opening up the market for agriculture and processed foods, with equal or better access to China than any other FTA partner. Tariffs on some exports will be reduced by up to 30%. Let’s take a look at what’s going down and by how much:

And the winners are:

Beef: tariffs of 12-25 per cent will be wiped out within 9 years of entry into force.
Dairy: all tariffs (currently up to 20 per cent) will be eliminated within 4-11 years. *Translation: we predict big things for infant formula (Aussie brands are in hot demand in China) and ice cream in particular.
Horticulture: tariffs of up to 30% on fruit, vegetables and nuts will be eliminated, most within 4 years. *Translation: macadamias, almonds, walnuts and pistachios will shed their 10-25% tariff. The 11-30% tariff on oranges, mandarins, lemons and all other citrus fruits will also be peeled off.
Sheep and goat meat: tariffs of 12-23 per cent will be gone within 8 years.
Pork: all tariffs (up to 20 per cent) will be scratched within 4 years.
Hides and skins: tariffs of 5-14 per cent will be eliminated within 2-7 years.
Wine and spirits: in four years, tariffs of 14-20 per cent on wine and up to 65 per cent on alcoholic beverages and spirits will be a thing of the past. *Translation: wine imports are booming in China, which could well be a boon for our esteemed Aussie winemakers.
Seafood: tariffs on all seafood exports will be eliminated within 4 years. Including tariffs of up to 15% on fresh abalone and rock lobster within 4 years.
Honourable mentions: barley and sorghum, a range of processed foods and wool also secured victories.

Better luck next time:

Hopes were high, but no inroads were made for sugar or rice growers. The chairman of Canegrowers Queensland told news.com.au: “It’s disappointing given that it’s a huge market. We only wanted to fill in the gap between their domestic production and consumption, but we didn’t gain much traction except a framework for further reviews.”

Trans-Pacific Partnership (TPP)

TPR

Eight years of debate was finally put to bed last month when 12 Pacific Rim nations signed the biggest free-trade agreement in history, covering 40% of the global economy. We now have agreements in place with countries where previously there were none – Peru, Mexico and Canada. What does this mean for agriculture? Thousands of tariffs will be removed. Not quite as many as hoped, but nothing to be sniffed at.

And the winners are:

Dairy: The TPP clinched victories for Aussie cheese – the deal spells the end of tariffs on some products and paves the way for tariff reductions and new quota allocations for others.
Grains: The TPP will create new quota volumes for wheat and barley exports to Japan (worth approximately $481 million in 2014). Tariffs on exports of Australian wheat and barley will be no more, and the TPP also means new quota access for roasted malt exports.
Rice: It was a no-go zone in ChaFTA, but the TPP will see a new 6000-tonne quota access to Japan, plus reduced tariffs on rice preparation products, plus an amendment to the WTO quota of an extra 60,000 tonnes of medium grain rice for processing use.
Wool and cotton: All remaining tariffs on Australian raw wool and cotton exports to TPP countries will be removed. The TPP will also deliver improved rules of origin for textiles, potentially upping demand for Australian fibre products.

Better luck next time:

Dairy: They say it’s best to shoot for the Moon, but some were disappointed in the dairy deal – saying it failed to live up to its full potential of total tariff elimination.

Did you know?

Australia currently has 9 FTAs up and running and 7 more under discussion

*NB: ChaFTA’s status is ‘signed’ and TPP’s is ‘negotiations concluded’.

Proposed WHV Income Tax Changes

Rural employers and Working Holiday Visa holders are concerned about proposed Working Holiday Visa income tax changes. 

Proposed changes to the income tax rules for the Working Holiday Visa (WHV) announced in the last Federal Budget sparked outcry among both Working Holiday Visa holders and the sectors who employ them the most – Tourism and Agriculture.

As the 1st of July 2016 approaches, we outline the changes, the expected effects, and the potential outlook for rural employers.

THE CHANGES: A SUMMARY

No more tax-free threshold

Previously, backpackers who were residents for tax purposes (they lived and worked in Australia for more than 183 days) weren’t required to pay tax for the first $18,200 they earned.

Higher tax rates

Once they’d earned $18,200 or more, they paid 19 cents on every dollar above this figure, following standard resident-status tax rules. If the proposed changes are passed, from 1st July 2016 they will be paying 32.5 cents from the very first dollar they earn.

No more resident status

Because they will be taxed as non-residents regardless of how long they stay, backpackers will no longer benefit from trying to reach the 183-day requirement.

Agri Labour Workers

WHAT WORKING HOLIDAY VISA MAKERS CURRENTLY CONTRIBUTE

As noted by ATEC Managing Director Peter Shelley and others, backpackers visiting Australia on 417 visas spend $13,000 during their time here. Annually, this equates to around $2.6 billion in economic injection.

These working holidaymakers also provide much-needed labour to remote Australia, particularly to the agricultural and hospitality sectors.

Thanks in no small part to the 88-day rural requirement (to qualify for a second year on their visa, they must do at least this much rural work), backpackers have proven to be an appreciated source of motivated labour for the rural, hospitality and tourism sectors.

THE DEBATE

The response to these tax changes – from both the public and the stakeholders – has been largely pessimistic.

That’s not to say that the potential contributions from working holidaymakers won’t contribute much-needed tax dollars, but many still see the changes as a short-term solution with long-term ramifications.

Tourism & Transport Forum CEO Margy Osmond called the move a “backward step” and an “own goal”, saying it would “damage Australia’s international reputation.”

The general sentiment elsewhere is similar, with many commenters and even politicians complaining that this policy is effectively penalising backpackers for not being residents.

Some have called the proposal a short-sighted money grab that doesn’t consider the long-term detriment to Australia’s international appeal as a working holiday destination.

We must note that 417 visa holders are working holidaymakers – not just workers. The idea of the visa is to enable them to supplement their travel funds while experiencing Australia. While some suggest that taxing them at a non-resident rate is simply a reflection of the fact that they are indeed visitors, others suggest that it will impact their desire to come to Australia in the first place.

The actual effects of this policy change remain to be seen – and with a new treasurer now in office, who knows if things will revert to the way they previously were.

Agri Labour Workers

THE IMPACT ON RURAL AUSTRALIA

As mentioned before, the 88-day requirement has been a boon to the agricultural industry.

We are lucky to live in a country where travellers are so in love with it that they will happily spend three months (or more) living out in remote areas, performing often difficult and strenuous work.

Along with the ongoing exodus of working-age Australians from rural areas, these travellers have helped to revitalise rural communities while offering affordable labour to our understaffed agricultural producers.

It has been suggested that a reduction in these WHV staff will cause a reduction in labour availability, which will in turn impact farmers and farming communities.

This theory makes sense on the surface, but we simply won’t know until we get the figures back from Immigration and the ATO next year.

Anecdotal reports do however show that backpacker-focused online forums and social networks immediately latched onto news of the ex-Treasurer’s proposed changes, but again, we can’t comment on the real-world consequences until they occur.

The Agri Labour Australia team are more than aware of the current rural labour shortage, so it concerns us when things like this come up. But that doesn’t mean there are no solutions.

No matter what happens in the halls of Canberra, we will continue to work on and develop new opportunities and alternatives for remedying the agricultural labour shortage.

Agri Veterans: Connecting Veterans with Ag

From field deployment to farm employment: The Agri Veterans Program

As you may be aware, Agri Labour Australia has recently partnered with veteran-run charity Walking Wounded to help place returned military personnel in agricultural careers.

Through the Agri Veterans Program, our mutual aim is to help ex-Defence Force members make the transition back to civilian life, and to provide a framework on which to build not just a job, but a new career, purpose and path.

The benefit for returning troops comes in the form of stable, rewarding employment opportunities that match their existing skill sets. And for the agricultural industry, it means a source of skilled and dedicated staff helping to counteract the ever-worsening labour shortage.

More than just a job

At the core of the Agri Veteran Program is the idea that the majority of ex-ADF jobseekers don’t just want a job – they want a career with a sense of purpose.

Every time we speak to a veteran, one thing comes through loud and clear: the transition back to civilian life is tough on many levels – especially when looking for employment.

When you factor in physical and psychological wounds, it is clear that some careers are more suitable than others.

It occurred to us that agriculture fit the bill better than many other options. Farming could provide veterans with real-life career opportunities in peaceful surroundings and with a sense of purpose.

Embracing rehabilitation

It is a sad fact that some veterans suffer disadvantages – especially when looking for work – due to the stigmas attached to the physical and psychological traumas they may have suffered during and after their deployments.

It’s therefore important to place ex-service people in roles with understanding employers who are willing to help them through the difficulties they may be experiencing. This is central to Walking Wounded’s purpose as an organisation, and with a recruitment company like Agri Labour Australia by its side, it can better achieve this goal.

Regional Australia – a perfect environment?

Agri Labour

When we talk about finding appropriate employment for our ex-military jobseekers, it is clear that regional Australia is well suited in many ways.

Upon their return from service, the majority of ADF personnel remain in the towns and cities where their barracks are located. Feedback suggests that this isn’t an ideal situation as the pace of the city life is difficult to adjust to on return from deployment.

Regional and rural areas, on the other hand, offer a tranquillity and sense of community that is lacking in built-up areas; the peace and community spirit of the country makes it a nice place to be, and the outdoor lifestyle appears to fit many veterans well.

Giving veterans the opportunity to live, work and build a life in regional Australia is therefore a logical solution to their employment concerns.

The only thing to do now is to find them rural jobs that match their skills. Fortunately, this isn’t an issue.

Matching skills with opportunities and openings

cotton-spraying

Agriculture and related industries offer a wide range of appropriate jobs that closely match veterans’ existing skills.

From un-skilled and semi-skilled roles to technical and supervisory positions, agriculture features a large number of opportunities that veterans can almost walk straight into.

These roles could include machinery operation and maintenance, logistics and transport, livestock, storage & handling, among others. Ex-military personnel are already familiar with deadlines, discipline, checks and balances, teamwork, shared goals, and so on – all of which make them a fitting choice for rural employers.

The good news for farmers is that this solves a problem that has been plaguing them for years: the labour shortage.

The continuing exodus of rural youth to the cities and mines has caused a drought of skills and manpower that our troops are perfect to fill, whether their background is in engineering or electronics.

Agri Labour Australia has therefore decided to team up with Walking Wounded to identify jobseekers, match them to appropriate roles, and help them on the path to a new life and career in the country.

We hope that this initiative will help to breathe new life into our agricultural industry while giving new opportunity to our returned soldiers.

Get involved with the Agri Veteran Program

Employers – If you’re an employer who would like to know more about the Agri Veteran Program, please get in touch with us on 1800 247 823

Veterans – For more information on the program, please contact one of our recruitment specialists on 1300 247 823, or for other support please get in touch with Walking Wounded on 0432 398 827.

Robots in Agriculture: Rise of the Machines?

Humans learned how to cultivate crops around 10,000 years ago. This massive step brought us from being primitive hunter-gatherers to being able to reliably grow food and textiles, live in villages and towns, and create lifestyles that involved a lot more than foraging.

From those early days until the mid-1700s, farming remained more or less the same. But thanks to the last two centuries of technological development, we now have everything from pesticides to GM crops – and of course robots.

These machines, whether we like it or not, play an ever-increasing role in food and fibre production. In the US,the agricultural workforce has already fallen from 40% to 2% of total employment over the last century.

Now imagine what it’ll be like in another hundred years.

Agriculture’s shrinking workforce

If history is anything to go by, we’re going to see a lot fewer people doing unskilled agricultural work over the coming decades.

And as their numbers decline, we’re going to see a movement of campaigners and lobby groups trying to prevent jobs from disappearing. This has already happened in the automobile industry.

You’d expect that agricultural labour hire and recruitment companies like Agri Labour Australia would be worried about what the future holds; after all, if there are no jobs, there’s no need for candidates or recruiters.

But actually, that’s not quite the case. We are of course concerned, but we’re more optimistic than worried.

This might surprise you, so let us explain.

Agri Labour Blog - Robots

Productivity means profit

First, let’s take a look at why we use machines and robots in the first place.

There’s one main reason: productivity. The most obvious reason to use machines is that they work faster and more reliably than people, which in turn makes them more profitable over the long term.

For example, poultry farming hasn’t seen much of a downside. Dedicated egg-collecting machines have brought automation to this traditionally labour-intensive role, which has helped free up farmers’ time and increase their margins.

Profitable farmers mean a healthy agricultural industry, and that’s a good thing. But at what cost?

Machines do replace workers, but not always for the reason you think.

Profit and productivity aren’t the only reason machines are replacing people – in Australia, many farming businesses use machines because the access to labour simply isn’t there, for example in fruit picking. There’s also the fact that in some agricultural roles, human hands bring the best results.

Without the required workforce available to them, farmers are forced to invest in machines. These machines might not give the same quality results, but they have no other choice.

What’s more, this equipment is prohibitively expensive for many smaller-scale producers, although they do reduce labour overheads in the long term. So we see family-run farms going out of business or being forced into costly equipment hire agreements that eat away at their margins.

A tough choice for farmers

To stay in the game, farmers therefore have a decision to make. Do they protect their human workers, or do they spend the money upfront and invest in technology?

One thing is for certain: as technology develops, the face of the agricultural workforce will have to change. There’s no use in fighting automation, so the only option is to embrace it, and to try to put ourselves on the right side of history.

Agri Labour Blog - Robots

Focus on what robots can’t do

There will always be roles that robots can’t fill. We may one day have machines that can hand-pick berries without damaging them, or that can pick the ripe fruit from the branch while leaving the unripe ones.

To meet the needs of farmers and the consumers they feed, the workforce will have to change what part of the supply chain it services. We may see more skilled workers who, instead of doing the actual picking, are operating the picking machines or grading the produce.

What we would like to see is an increase in semi-skilled and skilled roles, which will be great for the industry and the regions in which they operate. We are already suffering from a dire shortage of unskilled and semi-skilled staff, so any influx of better-qualified people will be great for rural communities.

We have to look at the future as an opportunity. We must invest in training and education for our producers and agricultural workers, and we must give them the knowledge and tools to embrace technology and meet the new demand for technically proficient staff.

An opportunity for change and growth

If you’d asked a 1960s office-job recruiter about computers, they would’ve told you that clerks were an indispensible part of the professional workforce. It’s true – they were.

But since then, we haven’t seen a generation of clerks go hungry because there’s no work for them. They up-skilled, learned how to use computers, and helped contribute to the further growth and evolution of clerical roles.

What about the human cost?

On the other side of the coin, we might take the example of the car industry replacing factory staff with robots. The loss of thousands of jobs is a real and painful truth, but we have to also consider that consumer trends and competitive performance rely on getting the most of out our manufacturing. Fighting these hard truths won’t make them untrue – it’s time that could be spent more productively.

Agriculture mustn’t follow this example. We need to be able to compete with other nations and continue making the best food and fibre we can – and we need to be able to sell it at a competitive price.

If this means that some of our manual roles become obsolete, there’s nothing we can do to fight it. Instead, let’s look at helping to further train and educate our unskilled staff so that their passion and skills can be put to use elsewhere in the supply chain.

The future is bright!

We see a future where robots and humans work in harmony. We mustn’t allow ourselves to fight progress in our industry. We should be at the forefront, providing the manpower that will drive Australian agriculture into the next era.

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