The future demand for caregivers for the elderly and the current workforce in New Zealand

The future demand for caregivers for the elderly and the current workforce in New Zealand Juthika Badkar & Paul Callister Institute of Policy Studies ...
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The future demand for caregivers for the elderly and the current workforce in New Zealand Juthika Badkar & Paul Callister Institute of Policy Studies

The future supply of caregivers for the elderly: Should Australia and New Zealand look to the Pacific? Canberra, 18 November 2009

In NZ median age early 1950s - 71 years 2006 - 74 years

Purpose To examine the current supply of paid caregivers and to project the future demand for paid caregivers To examine the growing reliance on migrant caregivers, where they come from, current source countries and potential source in the future. To examine how existing models of migration in NZ can be adapted to enable low skill caregiver migration.

Key Findings Demographic based projections suggest the number of Paid Caregivers needs to treble over the next 30 years Migrant caregivers make up a quarter of the caregiver workforce in NZ – up from a fifth 15 years ago

Happy 90th Birthday Nana!

85+ increase from 57,000 in 2006 to 322,000 in 2051

Older disabled Aged 85+ 18,800 in 2006 increase to 66,800 in 2036

87% live at home NZ has a policy of ‘ageing in place’

Current supply of paid caregivers in New Zealand Who are they? How many are there? Where are they from?

Who are they? 92% of caregivers are women 70+ 65-69 60-64

Age Cohort

55-59

Females

Males Aged Care Workers Total Workforce

50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 15%

10%

5%

0%

5%

10%

15%

Who are they? Caregiver workforce is ageing 70+ 65-69 60-64 55-59

Male

Female

2001 2006

Age Cohort

50-54 45-49 40-44 35-39 30-34 25-29 20-24 15-19 3000

1500

0 1500 3000 Aged-care workers

4500

6000

How many are there?

17,900 2006

48,200

21,400 2036

Where are they from? 75% are NZ born growing reliance on migrant caregivers, especially over the last 5 years

percent

Work permits issued to caregivers

Source: Department of Labour – Immigration data

Why should we look to the Pacific?

percent

Overseas born: Employed as caregivers

Source: Statistics New Zealand

percent

Pacific born make up a third of migrant caregiver workforce

Source: Statistics New Zealand

Almost two-thirds were born in Fiji or Samoa Pacific source country Fiji

n

%

862

33

Samoa

860

31

Tonga

552

20

Other Pacific Islands

441

16

Total Pacific Islands

2712

100

Source: 2006 Statistics Census New -Zealand Statistics New Zealand

NZ born Pacific People are less likely to be caregivers Ethnicity

NZ born

Overseas born

European

76%

45%

Maori

19%

0%

Pacific People

2%

25%

Asian

0%

26%

Source: 2006 Statistics Census New -Zealand Statistics New Zealand

Examples of Low skill migration in NZ Chinese migrants to work in Otago goldfields

Free passage to Women from Britain to work in Domestic Sector.

Migrants from Pacific Islands to work in Manufacturing & Urban sectors.

2002 PAC established

RSE policy developed & launched

1962 Treaty of Friendship With Samoan Govt

1860

1920

1960

1973 Cook Islands, Niue & Tokelau free entry

1970

2007

Models of Migration - Potential Options

Can current immigration models in NZ be adapted to enable caregiver migration?

Residence Work to residence Include caregivers for the elderly on the LTSSL list? Would employers be willing to offer a minimum $45,000 per year?

Samoan Quota / PAC Increase the number of allocated spaces? Diversify – includes other Pacific source countries. Current countries are: Samoa, Tonga, Tuvalu & Kiribati

Temporary Recognised Seasonal Employer (RSE) Seasonal work driven - Providing training - Pastoral care Caring for the elderly is demographically driven

Temp work permit Current model through which caregivers enter NZ. Caregivers would be issued with a labour market tested work permit.

Low-skill permanent migration Trans-Tasman agreement with Australia? How would Australia react to NZ opening up a residence stream to lower skill migrants?

Impacts of Low-skill migration Permanent vs. Temporary Host country Sending country Low skilled migrant Employer

The local labour market will have a sufficient supply of caregivers for the elderly.

Conclusion • Migration of low skill caregivers is already occurring and will increase in the future. • Need to start of thinking of a specific immigration scheme for caregivers for the elderly. • Caring for the elderly is demographically driven – and the demand for caregivers will persist .

Recommendations Given the projected increase in demand – a low skill model with a pathway to residence would be most beneficial in achieving the triple-win. Current systems within NZ’s immigration policy framework are well placed to ‘recruit’ low skill migrant caregivers. Look to the Pacific - or should we look to the world.?

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