Youth Mentoring Reform Survey

1. Youth Mentoring Reform Survey Research Insights Prepared by Patterson Research Group

2. Agenda • Project Snapshot • Background & Objectives • Research Approach • Results • Youth Attrition Rates • Training & Mentoring • Opportunities for the Community Sector? • Summary & Recommendations • Appendix: Detailed Methodology &Tables

3. Project Snapshot

4. Project Snapshot PRG conducted a hybrid online and CATI survey among 51 Human Resources Managers in Perth Businesses. Each respondent had read an e-mail from the Department of Local Government & Communities on the purpose of the research and on the work currently done by the department in terms of youth mentoring. • 20% of businesses consider youth attrition rates to be a ‘quite’/’major’ issue for their business : • Unsurprisingly, businesses where under 25s make up more than a quarter of the workforce are significantly more likely to consider young worker attrition rates a really/quite major issue (42%) • Just over 2 in 5 (42%) of businesses currently offer a mentor program to employees: • 27% of businesses offer at least one form of support/mentoring for youth employees in particular. • Over half the businesses with any mentor program have no specific training at all for mentors. ( “they pick it up as they go”) • Currently only 16% of businesses surveyed have mentors and offer training for mentors. • Amongst businesses with mentor programs – over a third (36%) reported that there were instances where mentors were confronted with issues they were unable to manage. • Just over a third of businesses (34%) that do not have mentor programs currently, reported at least some interest in developing a mentor program. • Just over a quarter (27%) of all business expressed some interest in a youth mentor training / development program from the community sector.

5. Background & Objectives

6. Background The community sector has many skills in the selection, development and management of mentor programs aimed at assisting young people from troubled backgrounds or who are simply struggling with life skills, to make the transition from adolescent to adult. These same community organisations are struggling for funds. On the other hand, it is believed that the commercial world has a need to engage mentors to help young people engage with and become effective members of the adult workforce. Evidence of the difficulties that young people often have is seen in the dropout rate of young apprentices, particularly in the construction and hospitality sectors. This research explored the notion of a commercial role that the community sector could fulfil through a youth mentoring service on a fee basis, or a training package for mentors recruited from amongst “in house” employees.

7. Objectives Building on the knowledge gained from the qualitative work conducted for the department by Patterson Research Group (PRG),this research aimed to: Measure commercial awareness of and concern about the adjustment of young workers to working life. Establish the extent of youth mentoring currently offered across commercial organisations in WA Quantify potential interest in tapping into the established practices of community organisations in the recruitment and development of youth mentors, and the implementation of youth mentoring programs.

8. Research Approach

9. Research Approach Overview • In previous focus group research conducted by the Patterson Research Group for the Department on Mentoring- it was discovered that often the definition of ‘mentoring’ in business is very different to that which is meant by the Department. This finding indicated the need for a ‘pre- task’ e-mail to be sent to respondents, explaining the mentor offering, prior to interviewing.

10. Results – Youth Attrition Rates

11. Key Findings - Youth attrition rates a “hidden” issue? • The high respondent attrition rate after recruitment suggests a low level of interest amongst HR managers who had accepted the email but refused the survey. • Almost half the sample reported over a quarter of their workforce was aged under 25 years. • One in five overall assessed the attrition rate of young workers as at least a “quite major” issue for their business. • However, attrition costs are “under the radar” • Three out of four businesses who believe they have an issue with youth worker attrition rates have “no” or only a “rough” understanding of the cost of this attrition to their business. So one in four of those who rate youth attrition rates as an issue for the business have any idea of the cost to their business. • This equates to approximately 12% of businesses overall have a good estimate of the cost of young worker attrition to their business. They believe that a “lack of work ethic” is the major factor in worker attrition.

12. Profile of Businesses Interviewed • Just over 1 in 2 businesses (53%) interviewed had 50 or more employees working in Western Australia. While just over a third of business interviewed (34%) had over 200 employees. • 37% of businesses interviewed had a work force where more than a quarter were aged under 25 years of age. Q2 Approximately how many employees does your business have currently in Western Australia? Base: 51. Q3 Approximately what proportion of your West Australian work force is aged 25 or younger? Base: 51

13. Net: 20% Young Worker Attrition Rates A fifth of HR managers consider young worker attrition rates to be an issue for their business. (Net really major/quite major issue: 20%) Unsurprisingly, businesses where under 25s make up more than a quarter of the workforce are significantly more likely to consider young worker attrition rates a really/quite major issue (42%). Only 12% of businesses felt that they had a quite or very good estimate of the cost of young worker attrition rates to the business. Q4 We have found that there is a turnover of young workers in many industries. To what extent are young worker attrition rates an issue for your organisation? Base: 51. Q4a: Do you have an estimate of the $cost of that attrition rate to your business? Base: 51

14. Reasons for Young Worker Attrition Rates • Amongst those that felt that young worker attrition rates were an issue for their business, ‘lack of work ethic’ was the number one reason given for young employee turnover. They may not recognise the extent to which mentoring may assist with attrition rates. “The unpreparedness of the young person in relation to the employers expectation of sustained effort over a full working day.” “Lack of enthusiasm and probably not ready to actually join the workforce.” “Performance issues-they are not performing, fitness for work issues.” Q4C: What do you think are the main reasons for turnover among young employees in your work place? Base: 28 (Those who think young worker attrition rates is an issue)

15. Results – Training & Mentoring

16. Key Findings - Training for Employees • Whilst effectively all businesses provide some form of employee training, just over 4 in 10 report that they provide some form of mentoring for employees. • And a similar proportion report that they offer an employee assistance package (External provider). One in four report no mentor or referral support at all. • 16% report spending more than $50K PA on all training and mentoring activities, 35% from 11K - $50K, and 28% less than that (there was also 21% “don’t know” which we believe would also be in the under $11K level)

17. Key Findings - Young Employees Mentoring • 71% report no specific youthmentor programs (though of this 71%, 12% reported a general mentor program that also included youth support without a specific youth focus) • So a Net of 41% had some form of employee mentor. This was made up of: • 12% had a general program (that included youth) • 10% specifically offered youth some internally sourced mentor support • 6% referred to a “buddy” system for young employees. • 6% “other support” • 4% a graduate support program • JUST 2% of all respondents reported some external mentor support for young employees.

18. Current Training Offered to Employees • 98% of businesses offer at least one training course to employees. 9 in 10 businesses offer inductions, 84% of job skills training while 73% offer health & safety training. Mentor training was asked separately and is shown in the following slide. Q5a: What training is offered to employees in the terms of their employment? Please select all that apply Base: 51

19. Businesses which offer mentor support • 3 in 5 businesses (60%) offer employees either ‘mentoring’ or an ‘employee assistance programme’ currently. Q5b: In addition to ongoing supervision, what other support/mentoring is provided to employees in terms of their employment Base: 50

20. Average Spend on Worker Training / Mentoring • The approximate average spend for Perth businesses on worker training/ mentoring is $34,000 per annum. Q6 Approximately how much on average does your company spend on worker training, mentoring and support in Western Australia – including any external or in house training? Base: 50

21. Support/Mentoring offered to Young Workers in particular • 27% of businesses offer at least one form of support/mentoring to young workers. Just over 7 in 10 businesses currently do not offer any form of support/mentoring for young workers in particular. 2% reported external Mentor support for young employees (2% of respondents were not sure of their offering). Q7 What support or mentoring, if any, do you have for young workers in particular? Base: 51

22. Results – Sourcing & Training Mentors

23. Key Findings - Most “Mentors” are internally sourced 77% of those who have any form of mentor program source the “mentors” internally. About one in 10 use a mixed approach, and 14% have externally sourced mentors only. Even after the guidance from the email prior to interview, which outlined the mentor structure, most evidently regard “career coaches” as mentors. We suspect that only the externally sourced “mentors” are “whole of life” mentors. - this is found in about a quarter of those who have a mentor program – that is about 9 – 10% of businesses surveyed. About one in five businesses reported an automatic assignment of mentors to all new young employees. A similar proportion only initiate a mentor arrangement if a need arises.

24. How mentors are found by businesses with a mentoring program • Just over three quarters (77%) of businesses that have a mentoring program select their mentors from their own staff base. Just under a quarter (23%) of businesses that have a mentoring program use any external mentors. This 23% represents some 9-10% of all businesses that have an HR Manager. “As a small company it generally ends up being their direct supervisor who is best placed to guide them in their role” “Some departments have permanent mentor for cadets, other depts. choose from colleagues close to the young person's position” “'Management and Supervisors usually adopt the role” Q8. You mentioned that you have a mentor program currently. We would like to ask you some questions about this program. Are your mentors found from amongst your own workforce, or do you recruit mentors externally? Base: 22 (Those companies with a mentoring program)

25. Whether businesses have ongoing or “as needed” mentoring programmes • In 19% of Perth businesses, all new young employees have a mentor. In 18% of Perth businesses, young employees are only allocated a mentor if there is a specific problem emerging. • Just under a quarter (23%) of Perth businesses only identify and recruit mentors on an “as needed” basis. Just under a fifth of business (18%) recruit mentors as part of an ongoing process. Q9. Do you have an automatic mentor system for young people, or do you only put mentors and mentees together if there is a specific problem emerging? Base: 51 Q10. Do you have an ongoing process of identifying and recruiting Mentors from within your organisation, or is it more on an as needed basis? Base: 51

26. Results –Training Mentors – Opportunities for Community Sector?

27. Key Findings - Training mentors Most internally sourced mentors (about 6 out of ten internal mentors) are left to “pick it up as they go” (about 22% of the total sample) About 3 in ten internal mentors, (or 12% of the total sample) are trained by HR personnel About 1 in ten internally recruited mentors have external training. This represents about 4% of businesses surveyed. HOWEVER: A third with any mentor arrangements report that mentors are sometimes confronted with situations they don’t know how to handle. 2% are very interested, 27% at least quite interested in mentor training from the community sector.

28. Internal Mentor Training Only 16% of businesses overall offer staff mentor training. The majority of this training is done by the Human Resources Department. 4% of businesses overall offer their staff external mentor training. Q14. 'Is there any specific training offered to your internal mentors and mentees about the process?? Base: 51

29. Amongst businesses with Mentor Programmes, are mentors confronted with circumstances they are unable to manage? • Over a third of mentors (36%) are confronted with circumstances they are unable to manage. Q8e Have you found that Mentors are sometimes confronted with circumstances that they are not trained for or otherwise unable to manage? Base:22 (Those with mentor programmes)

30. Interest in the Youth Mentor training and support Amongst Perth Businesses • Just over a quarter of businesses (27%) expressed some interest in the youth mentor training and support offering. “We would like to look at the options for the future. Our company is growing and we may have a need for it “My issue would be, what would the company gain from it. Could it be measurable, would we be training people up so that then they might leave to an external company? Would the mentor understand our company values, and our process and procedures. “Attraction of younger people into our workforce. It would be highly beneficial to those people who are drawn to working in our Industry. “Every industry and business has its own mentoring requirements, Before government initiating this programs, it would be better to understand the needs of each industry properly. Q15 Would you be <insert> in youth mentor training and support in your business? Base: 51

31. Reasons given for not having a Mentor program • Just over fifth (21%) of companies who do not have a mentor program currently cited ‘small company’ size as the reason that they do not have a mentor program. 18% of these businesses felt that there was no business case or they couldn’t fully understand the benefits of such an offer. “We are more into the up-skilling of supervisors, I suppose mentoring is not understood and valued. Don't know what the real benefits of it are either.” “We are a small company, we mentor the boys on site everyday ongoing. Informal more than anything.” “We have never looked at it. Being apprentices they are all under training anyway. What actually is mentoring, what is actually involved?” Q13: Please tell us why you do not have a mentor program currently? Base:28 (Those who do not have a mentor program currently)

32. Interest in Starting a Mentor Program amongst businesses who do not have a mentor program currently. • Just over a third of companies (34%) who currently do not have a mentor program, expressed some interest in starting a mentor program in the future. 1 in 10 of these businesses were ‘very interested’ in starting a mentor program. Q14 Using the following scale, please tell me how interested your company is generally in starting a mentor program. Base: 28 (Those who do not have a mentor program currently)

33. Summary and Recommendations

34. Summary and Recommendations While there may be two areas of need that the Community Sector COULD fill as a commercial service to business, we believe there is a prospect for one only. Whilst a proportion of businesses would benefit from an investment in an external mentor program for young people, the businesses find it hard to justify such an investment in an individual who may or may not stay with an organisation. So investing in an external mentor service is unlikely to provide a real return to business. HOWEVER The notion of investing in their own internally sourced mentors, to assist them in becoming better mentors for young people in particular would be justifiable. In this instance the HR department would be investing in improving their internal support levels for all employees, not just individual young people. The individuals they invest in are also less likely to take those skills away from the company.

35. Summary and Recommendations Currently almost all mentors are sourced internally, and that is unlikely to change But the finding that 42% of respondents with a mentor program just leave it to mentors and mentees to “sort it out themselves” represents a real opportunity for the community sector Note that a third of respondents with mentors reported that the mentors sometimes face situations that they were not equipped to deal with. The service that the Community sector can offer is to help internally sourced mentors be better in that role.

36. Questions? Please don’t hesitate to contact Patterson Research Group with any queries you may have. Keith Patterson Principal Patterson Research Group Suite 8 , 24 Riseley Street Ardross WA 6153 Australia PO Box 1511  Applecross 6953 Ph.:      +61 (0)8 9316 2322 Mob: +61 (0)417 189 012 E: Keith@marketresearch.com.au www.marketresearch.com.au Jochem Tubbing Senior Research Consultant Patterson Research Group Suite 8 , 24 Riseley Street Ardross WA 6153 Australia PO Box 1511  Applecross 6953 Ph.:      +61 (0)8 9316 2322 Mob: +61 (0)417 189 012 E: Jochem@marketresearch.com.au www.marketresearch.com.au Stacey Hand Research Consultant Patterson Research Group Suite 8 , 24 Riseley Street Ardross WA 6153 Australia PO Box 1511  Applecross 6953 Ph.:      +61 (0)8 9316 2322 Mob: +61 (0)417 189 012 E: Stacey@marketresearch.com.au www.marketresearch.com.au

37. Appendix: Detailed Methodology, Response Rate and Tables

38. Research Method The research was carried as a hybrid of online self-completion and telephone interviewing, survey fieldwork (including recruitment) took place between 8th July to 23rd July 2013. Recruitment Participants were recruited by West Coast Field Services’ (WCFS’) fully training recruitment interviewers, over the telephone. Telephone numbers were drawn randomly from a database of Perth businesses. Each potential respondent was led through a screening questionnaire to ensure that they met the criteria. Appropriate respondents were then invited to participate in the research. As a means of ensuring the highest quality of data, WCFS routinely validate a proportion of all data. Effectively this means a random selection of respondents are re-contacted following their recruitment, and their recorded responses are checked to ensure the most accurate recording of data is upheld by the field team at all times. Incentives Each participant was put in a prize draw to win a voucher worth $300 for dinner at a top Perth restaurant. Each participant will also be sent a summary of the research results.

39. Response Rate

40. Q2 Approximately how many employees does your business have currently in Western Australia? Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; The following questions are about your Western Australian business generally and the training currently offered to your staff and to young people in particular. Approximately how many employees does your business have currently in Western Australia? by Std Banner; base n = 51

41. Q3 Approximately what proportion of your West Australian work force is aged 25 or younger? by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Approximately what proportion of your West Australian work force is aged 25 or younger? by Std Banner; base n = 51

42. Q4 We have found that there is a turnover of young workers in many industries. To what extent are young worker attrition rates an issue for your organisation? by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; We have found that there is a turnover of young workers in many industries. To what extent are young worker attrition rates an issue for your organisation? by Std Banner; base n = 51

43. Q4a Do you have an estimate of the $cost of that attrition rate to your business? by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Do you have an estimate of the $cost of that attrition rate to your business? by Std Banner; Total sample; base n = 29

44. Q4A_2: Do you have an estimate of the $cost of that attrition rate to your business? by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Q4A_2: Do you have an estimate of the $cost of that attrition rate to your business? by Std Banner; base n = 51

45. Q4C_2: What do you think are the main reasons for turnover among young employees in your work place? - Coded by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Q4C_2: What do you think are the main reasons for turnover among young employees in your work place? - Coded by Std Banner; base n = 28

46. Q5A: What training is offered to employees in the terms of their employment? Please select all that apply. by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Q5A: What training is offered to employees in the terms of their employment? Please select all that apply. - Other (please type in)_OTHER - Coded by Std Banner; base n = 51

47. Q5b In addition to ongoing supervision, what other support/mentoring is provided to employees in terms of their employment by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; In addition to ongoing supervision, what other support/mentoring is provided to employees in terms of their employment by Std Banner; base n = 50

48. Q6 Approximately how much on average does your company spend on worker training, mentoring and support in Western Australia – including any external or in house training? by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Approximately how much on average does your company spend on worker training, mentoring and support in Western Australia – including any external or in house training? by Std Banner; base n = 50

49. Q7: What support or mentoring, if any, do you have for young workers in particular? Other Text - Coded by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Q7_OTHER_2: What support or mentoring, if any, do you have for young workers in particular? Other Text - Coded by Std Banner; base n = 21

50. Q7_OTHER_2: What support or mentoring, if any, do you have for young workers in particular? Other Text1 by Std Banner Patterson Research Group: Mentor Quantitative Survey Amongst HR Managers; Q7_OTHER_2: What support or mentoring, if any, do you have for young workers in particular? Other Text1 by Std Banner; base n = 51