4 minute read
State Budget – It’s Time
from Hotel April 2024
by Boylen
From the CEO
ANNA MOELLER
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The AHA|SA has recently submitted two funding submissions to the Malinauskas Government for the next State Budget, due to be handed down in June.
One is aimed at the skills shortage, while the other focuses on destination marketing to help fill our rooms, bars and restaurants.
We have been talking about these issues for an eternity.
In 2024, we hope that the State Government agrees with our vision for decisive action, so that we can make a difference now and for future generations.
As you will read further on in this column, we believe a relatively modest investment can reap outsized rewards for the State.
And we’re not just holding out the ‘beggar’s cap’. Our submission includes co-funding from the AHA|SA, making it a true public-private solution.
We’re prepared to do our part. But we can’t do it alone.
SKILLS AND TRAINING
The hospitality industry is facing critical shortages across all skill levels, hindering economic recovery and growth.
We have developed a proposal for a program called “Skilled to Serve” that would address both the skills and training challenges, as well as ongoing labour shortages.
The AHA|SA is seeking to partner with the Malinauskas Government to improve the image of the hospitality industry as an employer of choice. Conceived by the AHA|SA, Skilled to Serve would be built on three key pillars:
Attraction. Raising the prestige of both the hotel industry, and hospitality apprenticeships and hospitality training pathways.
Recruitment. The challenge for the hospitality industry in the current employment environment isn’t the number of apprenticeship and training pathway opportunities available. It is encouraging people to undertake apprenticeship and training pathways by changing the mindset of parents, teachers and careers counsellors who generally view VET courses as a fallback option. To help young people, their parents and advisers to understand the value and potential of an apprenticeship or training pathway the hospitality journey needs investment in an advertising rebrand so that the benefit of VET vs University is better understood. Work also needs to be done to reinvigorate the training landscape, with more job-ready short courses, developed and delivered by local RTOs.
Retention. Unfor tunately, the hospitality industry has among the highest rates of apprentice and training non-completion. We propose shortening the length and improving the relevance and currency of content of apprenticeships and training courses. Furthermore, there needs to be an investment in providing mentoring support to training participants, as well as attractive concessions and incentive payments to keep young people within training.
In our budget submission, the AHA|SA will be seeking funding over four years to fund the Skilled to Serve program and associated initiatives.
TOURISM FUNDING
The second submission highlights the challenges facing the Adelaide accommodation sector. These include:
the growth in accommodation supply in the Adelaide CBD outpacing demand for the tourism and hospitality industries in general.
related concerns regarding projected occupancy rates over the coming winter months, exacerbating the existing pressure on occupancy rates and financial performance within the sector.
The AHA|SA supports all industry calls for the state government to invest more in tourism marketing, as a matter of urgency.
As such, we support the provision of significant recurring funding for four years to the SATC for the sole purpose of destination marketing and place branding initiatives.
We enjoy a good working relationship with the State Government.
SA has witnessed the success of Gather Round and LIV Golf and we applaud the effort that has gone into attracting these and many other events.
However, we need to ‘up our game’ to compete with competition from other states so that we are bringing revenue into the state 365 days of the year. And we need the skilled workforce in place to ensure that visitors have the best possible experience.
I look forward to updating you as these initiatives progress.
There needs to be an immediate investment in tourism, destination marketing and place branding. We need to bring visitors to our city consistently, increase the demand for accommodation all year round and provide a significant uplift for the tourism and hospitality industries in general.
The AHA|SA supports all industry calls for the state government to invest more in tourism marketing, as a matter of urgency.
As such, we support the provision of significant recurring funding for four years to the SATC for the sole purpose of destination marketing and place branding initiatives.
We enjoy a good working relationship with the State Government.
SA has witnessed the success of Gather Round and LIV Golf and we applaud the effort that has gone into attracting these and many other events.
However, we need to ‘up our game’ to compete with competition from other states so that we are bringing revenue into the state 365 days of the year. And we need the skilled workforce in place to ensure that visitors have the best possible experience.
I look forward to updating you as these initiatives progress.