Shortage of skilled automotive engineers

Employment opportunities are influenced by the growing number of motor vehicles registered in New Zealand, the increased sophistication of electronic components in used vehicles, the average age of automotive engineers and turnover. 

There is a genuine shortage of automotive engineers. Between December 2005 and December 2006 there were 506 vacancies for automotive engineers. The Department of Labour has placed automotive engineer on New Zealand’s immediate skills shortage list.

Demand due to growth in vehicles

High demand for automotive engineers is influenced by the growing number of motor vehicle registrations in New Zealand. Between June 2001 and June 2005 motor vehicle registrations increased by 12% with a 7% increase in car sales. Registered vehicles require servicing every six months and with the number of registered vehicles growing the demand for automotive engineers is high.

The Department of Labour also argues that with the growing complexity of motor vehicle technology, vehicle owners are unable to do their own car servicing and repair work, further increasing the demand for qualified automotive engineers.

Diagnostic and analytical skills increasingly important

Continual changes in automotive technology require significant diagnostic and analytical skills. Automotive engineers need to have skills in the diagnosis and repair of anti-skid braking systems, sophisticated electronic components and onboard computers. Experience in using computer diagnostic equipment is increasingly important and it is now common to use computers in automotive workshops.

Retiring age likely to affect the demand for automotive engineers in the future

The Department of Labour recorded in 2003 that 1.1% of automotive engineers retire each year. This number is expected to increase, with projections estimating that in 2051 over 1.4 million people will be over 65. The ageing population is an issue for trades like automotive engineering due to the small number of people who entered apprenticeships in the 1980s and 1990s resulting in an age gap now in the number of automotive engineers between 30 and 40 years old. This is also resulting in a number of small businesses being sold as there is no one to replace the retiring owner.

Growth of specialised workshops

There are two major areas automotive engineers work in. One is for franchise companies where automotive engineers gain specialist knowledge of specific makes of vehicles. The other is in businesses that service and repair a wide range of vehicles and automotive engineers develop more general skills. Because of the need for expensive computer testing equipment to diagnose faults, more work is being referred to specialist workshops than in the past. This is creating more demand for automotive engineers to work in this area.

Ongoing education and training increasingly important

Due to the increased complexity of vehicles, the majority of employers prefer their apprentices to comple a polytechnic pre-trade course or have relevant work experience. The Motor Industry Training Organisation (MITO) has also recently developed 'StartUp', a bridging course where school leavers can complete practical and theory based work experience while still at secondary school.

Once in the job, ongoing training is essential. To keep up with the huge variety of imported vehicles, automotive engineers must attend specific courses and complete training to keep up to date with the new technology that comes with each vehicle.

The Motor Industry Training Organisation (MITO) has also introduced ‘Atech’, a post apprenticeship course that focuses on developing skills in new automotive technologies and a small business management course for those starting their own workshop.

Turnover

Turnover among automotive engineers varies. Some turnover occurs as people move between businesses to seek career opportunities.

Automotive engineers may move into management and customer service roles or into other engineering or automotive occupations such as automotive electrician. They may also become self-employed.

(Written 27/04/2007)


Sources:

• Department of Immigration. 'Immediate Skills Shortage List'. August 2006. (http://www.immigration.govt.nz).


• Department of Labour. 'Job Vacany Monitor: Total Vacancies and growth in skilled occupatations: Motor Mechanic'. Decemember 2006. (http://www.workinsight.govt.nz.)


• Department of Labour. 'Trade Report Overview'. (www.workinsight.govt.nz.) 2003.


• Statistics New Zealand. New Zealand Census 2006. 'Total Motor Vehicle Registrations - 2001-2005'. (www.stats.govt.nz.)


• Statistics New Zealand. 'Population Ageing in New Zealand'. February 2000. (http://www.stats.govt.nz).