Addressing Workforce Hurdles in New Zealand's Rail Industry

According to a recent report by PwC, the rail industry in New Zealand is facing critically important workforce challenges that need urgent attention. This report, commissioned by the Australasian Railway Association and Hanga-Aro-Rau, highlights critical issues affecting the sector’s future.

The key takeaways from this analysis include:

• A looming skills gap: With over a quarter of current rail workers expected to retire in the next decade, there’s an immediate need for effective succession planning and recruitment strategies. Specialized roles like signalling engineers and digital systems experts are particularly hard to fill locally;
• A lack of educational pathways: New Zealand currently lacks specific polytechnic or university programs focused on rail engineering and operations. While there are vocational training options available,engagement with higher education institutions is sporadic at best,which hampers comprehensive workforce development;
• Difficulties in attracting and keeping talent: The sector faces challenges such as low visibility among young professionals,outdated views on rail careers,and limited opportunities for advancement. To enhance retention rates and foster inclusivity, flexible work arrangements along with diversity initiatives are essential;
• The impact of technological advancements: As the industry shifts towards digital signaling systems and automation technologies like predictive maintenance tools, new competencies in areas such as data analytics and cybersecurity will be crucial. Without proactive training efforts now, existing employees may find it tough to adapt to these changes;
• Ineffective investment strategies: The unpredictable nature of infrastructure funding has resulted in workforce instability due to fluctuating demand for skills. A consistent long-term investment strategy is vital for ensuring stability within the sector.

This report suggests several actionable recommendations aimed at addressing these issues. Key proposals include establishing robust foundations for enduring workforce development through strategic infrastructure planning; enhancing the image of rail careers by improving branding efforts; fostering partnerships between educational institutions; promoting international collaboration; and creating clear mobility pathways within the industry.