What’s Keeping Agribusiness Owners Awake At Night?

If you’re in agribusiness, you’ll know that finding good candidates for jobs can be like finding the proverbial needle in a haystack. It’s probably keeping a good proportion of you awake at night. With recent research[1] showing that Australian universities are producing less than 20% of the agricultural graduates needed to satisfy the job market,…

If you’re in agribusiness, you’ll know that finding good candidates for jobs can be like finding the proverbial needle in a haystack. It’s probably keeping a good proportion of you awake at night.

With recent research[1] showing that Australian universities are producing less than 20% of the agricultural graduates needed to satisfy the job market, it’s a grim outlook in a tightening market.

Agribusiness Sector Growth

It comes at a time when the agribusiness sector is facing a period of unprecedented opportunity and demand, sparked by the rise of Asia’s middle class.

It will be the world’s most powerful group by 2050, and home to 64% of the globe’s middle class. China will lead the way, accounting for 43% of the total increase in demand for food globally.

But how will local businesses keep up with if they are already struggling to attract the right staff?

A recent survey by the Agricultural Appointments group showed that nearly 70% of agribusinesses found it difficult to find the right candidate for their job vacancies.

Of those, 22% said it was very difficult, and 47% said it was somewhat difficult.

What are the main obstacles in finding the right employees according to the survey respondents?

  • 63% said the candidates applying for jobs were not skilled enough.
  • 54% said their geographic location made it hard to attract the right people.
  • 40% said there weren’t enough candidates out there. Full stop.
  • 37% said the roles they needed to fill were highly specialised, which had an impact on candidates applying.
  • 34% said candidates’ salary expectations were too high.
  • 23% said recruitment agencies didn’t understand their needs.
  • 9% said they didn’t have enough resources to devote to recruitment.
  • 9% said they were unable to offer the benefits demanded by top candidates.

Qualified candidates hard to find

Businesses agreed that the hardest roles to fill were the more specialised ones. That included account directors, agricultural extension roles, agronomists, food technologist, engineers, precision agriculture specialists, quality control roles and senior research scientist roles.

Of the agribusinesses surveyed, 45% said they spent less than $10,000 per annum on recruitment. Half of those surveyed said they seldom used recruiters to hire staff.

Agribusiness: tight skills market strategy

So what can agribusiness do to make it easier to find good candidates?

Employers need to get on the front foot with market-savvy remuneration, according to Dr Ray Johnson, Managing Director of Agricultural Appointments.

“With the emerging skills shortage in Australian agriculture, it is imperative that companies have a method for attracting and retaining new graduates,” he says.

“This takes a significant amount of thought and preparation, and a lot of groundwork in attending university career events to showcase your company.”

He also says starting remuneration must be market-competitive, but training and mentoring young graduates are the key to both making them productive and retaining them in the long term.

“In our experience very few companies have a strategic HR plan around this area”.

CEO’s, General Managers and farm business owners will have to increasingly understand the remuneration benchmarks for their particular area of interest,” he says.

“It will be necessary to structure both short- and long term incentive plans to attract skilled people in the future.”

This may be a challenge, given Agribusiness has historically lagged behind the non-agri sector in effective incentive plans.

The Latest Updates

04.15.2024

Let’s look at the current trends in job demand and talent availability in the agriculture and agribusiness sector in Australia over the second half of 2023 and the first quarter of 2024. There was a weakening of job demand in this sector but a slight improvement in candidate availability and job interest during this period….

04.15.2024

In times past, people’s working lives often played out over many years at one company, but now the world has vastly changed. These days it is common to shift between jobs and organisations, but this practice raises questions as to what is today considered the Goldilocks time to spend in a job? How often do…

03.18.2024

Employee retention matters. Organisational issues such as training time and investment, lost knowledge, mourning, insecure co-workers and a costly candidate search aside; failing to retain a key employee is costly. Various estimates suggest that losing a middle manager costs an organisation up to 100 percent of their salary. The loss of a senior executive is…

What’s new?

Current trends in job demand and talent availability in Australian agriculture and agribusiness sectors.

Let’s look at the current trends in job demand and talent availability in the agriculture and agribusiness sector in Australia over the second half of 2023 and the first quarter of 2024. There was a weakening of job demand in this sector but a slight improvement in candidate availability and job interest during this period….

How Long Should You Remain in One Job?

In times past, people’s working lives often played out over many years at one company, but now the world has vastly changed. These days it is common to shift between jobs and organisations, but this practice raises questions as to what is today considered the Goldilocks time to spend in a job? How often do…

Top Ten Tips to Retain Your Employees: Understanding the Importance

Employee retention matters. Organisational issues such as training time and investment, lost knowledge, mourning, insecure co-workers and a costly candidate search aside; failing to retain a key employee is costly. Various estimates suggest that losing a middle manager costs an organisation up to 100 percent of their salary. The loss of a senior executive is…

AI, An Essential Future Tool in Recruitment and Selection
AI, An Essential Future Tool in Recruitment and Selection.

It is widely acknowledged that finding and hiring superior talent is a major source of competitive advantage for organisations, hence keeping abreast of the tools involved in the hiring process is, by itself, a source of competitive advantage. If we reflect on changes to hiring over the last 30 years, a revolution has taken place….

Mastering the Art of Onboarding: Creating an Impactful Introduction for New Team Members.

Welcome aboard! The first few days and weeks in a new role can set the tone for an individual’s entire journey within an organisation. Hence, it is paramount to make these initial stages count. Let’s explore why timing matters and how to optimise it for the best onboarding experience. Why Timing Matters First Impressions Are…

Skills Based Hiring. A Step Towards Solving Talent Shortages in 2024?

In addressing talent shortages across various industries, employers’ traditional approach of hiring based on qualifications and years of experience is proving inadequate. A shift towards skills-based hiring is gaining momentum, offering a promising solution. This practice involves a reassessment of the job requirements and determining instead the underlying skills that are required. It may also…

Year in Review

Another year is quickly coming to a close… the first half of 2023 saw a firm demand for skilled people in the agriculture and food sectors. Despite the scarcity of talent, we successfully filled  a record number of jobs in the first half of the year.  The mid-year forecast of a return of El Nino and…

How Filling Empty Seats in Your Business Can Lead to Success

In today’s competitive market, it’s more important than ever to have a talented and engaged workforce. But when key roles are left unfilled, it can have a negative impact on your bottom line. Here are just a few of the ways that empty seats can impact your business: Inhibited growth: When you don’t have the…

Talent Market in Ag
Job Ads down, Applications up: Talent Market in Australia’s Ag industry remains competitive

The latest SEEK employment trends data for the Australian agriculture sector, shows that job ads have decreased by 9.6% across all categories except Conservation, Parks and Wildlife, compared to last year. However, applications are up, compared to the five-year average. 78% of candidates are currently actively looking or monitoring the market, the highest level in…

Competitive Positioning in a Candidate-Poor Talent Market

In an industry such as agribusiness, it is essential that commercial companies adapt their hiring processes to source top talent to drive their business growth. One way of achieving this is to tap into a broader talent pool and in a candidate-poor talent market, this is the key to competitive positioning. We recently conducted a national…