ANZSCO 3911-11 Australia

Hairdresser August 2016 Current labour market rating Shortage Previous labour market rating (September 2015) Shortage

There have been consistently small fields of applicants for hairdresser vacancies over the past decade and few applicants are regarded as suitable. Employers show a strong preference for hairdressers who have trained through an apprenticeship, and shortages of such workers are long standing.1 Survey results2 Around 27 per cent of vacancies were filled within four weeks of advertising in 2016, the lowest proportion in this series (Figure 1). There were 4.1 applicants per vacancy on average, of whom 3.1 were qualified. The majority of qualified applicants, though, were considered to be unsuitable. It was difficult to recruit across the range of hairdressing specialisations, although employers seeking barbers experienced the greatest difficulty. Almost two thirds of employers had been trying to fill their vacancies for more than two months. Figure 1: Proportion of vacancies filled (%), average number of applicants and suitable applicants per vacancy (no.), Hairdresser, Australia, 2007 to 2016

Source: Department of Employment, Survey of Employers who have Recently Advertised Key to ratings: S = Shortage M = Metropolitan shortage Around 30 per cent of employers attracted two or fewer applicants. By contrast, a small number of employers (including in Queensland, where recruitment is easier), had the choice of more than ten.

1 Department of Employment, Historical List of Skill Shortages in Australia 2 The methodology underpinning this research is outlined at Skill Shortage Research Methodology | Department of Employment - Document library, Australian Government and can also be accessed by the QR code

Labour Market Research and Analysis Branch Department of Employment A low proportion of vacancies was filled in all locations except Queensland, but it is notable that shortages are more evident in regional areas. Regional employers filled 17 per cent of their vacancies, while metropolitan employers filled 30 per cent. Just 0.4 applicants per vacancy were regarded as suitable for regional positions. Employers’ requirements Around 80 per cent of surveyed employers were seeking hairdressers for unisex hairdressing salons with the remainder for barbers’ shops. Employers sought applicants with skills in all aspects of hairdressing such as styling (including special occasion styles), colouring and cutting. For barber positions, applicants required skills for the full range of men’s hairdressing and barbering services including scissor haircuts, tapering, use of a cut throat razor and beard trims. Employers generally required applicants to hold a Certificate III in Hairdressing, gained through the completion of an apprenticeship. A small number, though, did not have qualification requirements and were willing to consider applicants with relevant experience in lieu. Employers mostly sought applicants with two to four years of experience, although some recruiting for senior roles wanted a minimum of five years. Only a small number of employers sought hairdressers who had recently completed their apprenticeship training. Good communication skills were highly valued by employers as well as enthusiasm for continued learning and development. Bringing existing clientele to the business was a requirement for only a small number of vacancies. Recruitment processes generally involved interviews, work trials and probation periods to assess applicants’ skill levels. Unsuitable applicants A key feature of this labour market was the large proportion of qualified hairdressers who were considered by employers to be unsuitable (almost 80 per cent). Employers suggest that many qualified applicants’ skills did not meet their expectations. This included applicants trained through a short or fast-tracked course. Lacking of experience or technical skills (such as with hair extensions) were also cited as reasons for unsuitability. Demand and supply trends Indicators of demand are mixed. ABS data suggest that employment of hairdressers increased by almost 30 per cent over the five years to August 20163, but over the year to August 2016, the number of advertised vacancies was low by historical standards.4 The low numbers of job advertisements may, in part, reflect employers’ lack of success with Internet recruitment strategies and a consequent move to other forms of recruitment, but this was not explored in the research.

3 ABS, Labour Force, August 2016, Department of Employment trend 4 Department of Employment, Internet Vacancy Index, 12 month moving average, August 2016 Anecdotally, there has been marked growth in the number of specialist barber businesses, which has increased the demand for barbers.5 A certificate III is the usual qualification level for hairdressing. Training is offered through the apprenticeship system and through the vocational education and training system. Employers show a strong preference for workers who have gained their skills through the completion of an apprenticeship leading to a Certificate III in Hairdressing. 6 Certificate III short courses are also available, ranging in length from around 12 to 18 months.7 Apprenticeship and traineeship commencements and completions in hairdressing have fallen over the past five years to a low point in 2016.8 Commencements decreased by 32 per cent and completions fell by 37 per cent. Figure 2: Apprentices and trainees commencements and completions, Hairdressers, 2011 to 2016 (year to March)

Source: NCVER, VOCSTATS, Apprentices and Trainees, March 2016, estimates In line with the growth in barbering services, a Certificate III in Barbering was endorsed in 2016.9 Apprenticeships leading to this qualification are available in all states and territories.10 It is also available through private training providers as a 12 month course.11 Outlook Shortages have been persistent and employment growth is expected to be above average over the five years to November 2020, up by 9.4 per cent compared with 8.3 per cent all occupations.12 Combined with the low numbers in training through the apprenticeship system, this suggests that shortages will persist.

5 Business Insider, The barber shop is coming back big time in Australia, www.businessinsider.com.au, 25 August 2015 6 www.aapathways.com.au (last accessed 13 January 2017) 7 MySkills.gov.au (last accessed 31 January 2017) 8 NCVER, VOCSTATS, Apprentices and Trainees, March 2016, estimates 9 Service Skills Australia, SHB Hairdressing and Beauty Services Training Package V2.0 (last accessed 6 September 2016) 10 aapathways.com.au (last accessed 13 January 2017) 11 Training.gov.au (last accessed 6 September 2016) 12 Department of Employment, Occupational Employment Projections to November 2020 Labour Market Research and Analysis Branch Department of Employment