Pay gap pushing scaffolders from New Zealand to Australia

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Construction firms in New Zealand are facing a growing shortage of scaffolders as experienced workers move to Australia in search of higher wages and better conditions.

More than 250 scaffolding jobs are currently unfilled across the country, according to Te Waha Nui reporting. Contractors are struggling to find experienced people, and many of those people have already left.

Almost one in five scaffolders working in Australia originally came from New Zealand, according to labour market data compiled by migration researcher Francis Collins. He says it is not hard to see why.

“Workers in Australia get higher wages and labour-market benefits,” he said. “That includes higher overtime rates and better pay for weekend or non-standard shifts.”

The numbers back that up. Scaffolders in New Zealand typically earn between NZ$60,000 and NZ$90,000 a year. In Australia, the same work pays between NZ$80,000 and NZ$130,000 — more than 30% higher.

For Allan Gillego, a 55-year-old scaffolder with 11 years in the trade, the move from New Zealand to Perth has been life-changing.

“In New Zealand I earned around $1,200 per week, which was not enough to cover rent and bills,” he said. “In Australia I earn about $2,700 per week, which has allowed my family to save and buy a house.”

The pension gap adds to the picture. Australian employers contribute around 12% into workers’ retirement funds. In New Zealand, the equivalent averages just 3%.

Massey University sociologist Paul Spoonley says the wider economy is pushing people out.

“The New Zealand labour market is currently soft, with relatively high unemployment and government budget cuts,” he said.

Construction recruiter Troy Scott has seen the effects first hand. He says the pool of available scaffolders has become noticeably thinner as experienced workers leave the country or move into other industries.

“Many skilled professionals have moved offshore or transitioned out of the industry,” he wrote in an industry blog. “When the project pipeline dries up, experienced construction staff leave. Once they’ve headed offshore it can be difficult to attract them back.”

Scott says higher wages alone will not be enough to stop the flow. Workers are also looking at job security, the chance to progress, and a steady pipeline of work before deciding where to base themselves.

“Job seekers weigh career pathways, leadership opportunities, lifestyle and workplace culture just as heavily,” he said.

Source: Te Waha Nui — High demand for scaffolder jobs as skilled workers move to Australia

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