Review of the Australian and New Zealand Standard Classification of Occupations

The Australian Bureau of Statistics (ABS) commenced public consultation on June 29 2022 on two topics related to the Australian and New Zealand Standard Classification of Occupations (ANZSCO).

Public consultation ran for four weeks, seeking feedback on:

• how skills are reflected in ANZSCO, and
• a new approach to maintaining ANZSCO.

This public consultation generated 105 submissions from a wide range of stakeholder groups and sectors of the user community.

Skills in ANZSCO

The ABS published a ‘Skills Options Paper’ in late June in response to feedback received from the skills problem statement. The paper outlined six proposals that address the key areas of concern identified by users and stakeholders. The ABS received 63 submissions through public consultation.

Feedback in the submissions indicated support for most of the proposals with a very strong preference for proposals one and two. These proposals were flagged as the highest priority and, if implemented, would ensure ANZSCO is better aligned with the current labour market.

The ABS also asked for suggestions on how to include micro-credentials in ANZSCO. A variety of suggestions were received and are now being considered. As responses were varied, further discussions with users and stakeholders are required to determine how best to reflect micro-credentials in the classification.

Maintaining ANZSCO

The ABS received 42 submissions from users on the ANZSCO Maintenance Strategy. There was unanimous agreement that the classification no longer accurately reflects the labour market and that major updates are urgently required.

We specifically sought feedback on the timing, frequency and process for reviewing areas of the classification. While our proposed solution of a targeted, annual maintenance model received widespread support, several concerns were raised. These include:

• the gap of 5 years between major updates may be too large to capture important changes in the labour market
• without an immediate comprehensive update, maintenance will be ineffective
• proposed prioritisation factors miss important considerations around the economic impacts and specific impacts on affected sectors (especially where they are small)
• users do not have a way to raise issues outside of the consultation rounds
• level of engagement by ABS will be insufficient if not consulting with industry, and education and training authorities.

We also asked users whether there would be any negative impacts that could arise from the implementation of the model, especially around the timing of updates. No issues were identified, and there was strong support for the timing of the releases. There were additional comments around the importance of aligning implementation around broader government measures to address skills shortages.

We also received a number of considerable change requests for specific areas of the classification, ranging from paramedics to professional organisers. These will be addressed separately as part of the comprehensive review and update by December 2024 in time for the 2026 Census.

Skills in ANZSCO

The ABS is currently reviewing these submissions and working closely with stakeholders to develop a Skills Position Paper, for release in November 2022. This paper will outline the position of the ABS and the changes that will be made to better reflect skills in ANZSCO.

A proposed intended timeline for implementation will also be included.

Maintaining ANZSCO

Based on the feedback provided through this consultation process, the ABS has reviewed elements of the ANZSCO Maintenance Strategy. Several adjustments have been made, particularly with the prioritisation framework. These will be published in a revised version of the ANZSCO Maintenance Strategy in November 2022.

Other concerns raised will require further exploration, for example, the need for updates outside the outlined consultation periods. These will be considered further across the next two years, ahead of finalisation of the strategy in early 2025.

If you have an interest in changes to ANZSCO and would like to subscribe to receive communication regarding future updates please provide contact details via anzsco.maintenance@abs.gov.au