The consequence of such a decision is that the ABS and Statistics New Zealand would implement country-specific occupational classifications but remain comparably classified internationally. This is the opposite scenario the two countries have operated on for nearly two decades- the joint classification. New Zealand will bring in its new system starting November and December of 2024, while Australia will introduce its scheme during the same period to cater to the specific and dynamic requirements of each nation's workforce.
Background: The ANZSCO Framework
The ANZSCO (the Australian and New Zealand Standard Classification of Occupations) was established in 2006 as a unified framework for all occupational classification between the two countries. Labour markets in Australia and New Zealand were alike enough at the time, so it made both practical and sensible to have one system. ANZSCO has since then become a strong and viable framework through which labour market analysis, government policy, and even occupational research have utilized frameworks to ensure easy comparison of data from both countries. However, with time, economic landscapes in both nations and the labour market structures have undergone tremendous changes. What once made sense as a joint framework has recently become a factor that hinders the integration of Australia and New Zealand, and there is increasingly divergent variation between the two in some crucial areas of occupational growth, skill demands, and market dynamics.
Why the Shift?
The move was agreed on by the Australian Statistician, Dr. David Gruen, and New Zealand's Government Statistician, Mr. Mark Sowden, who both pointed out the emerging need for more differentiated data because of growing differences between the labour markets of each country. Dr. Gruen said the ANZSCO system had served both countries well, but differences between the labour markets have grown so pronounced that "the benefits of joint management are no longer compelling." By his understanding, he said, that means reflecting contemporary trends in Australia's workforce. He underlined also that maintaining Trans-Tasman comparability remains a prime objective. Speaking for New Zealand, Mr Sowden shared similar sentiments by saying, "While the change would allow the country to better capture its labour market dynamics, there was also a big consideration to ensure that movement remains comparable with that in Australia. “The decision allows New Zealand to reflect our modern labour market while ensuring that our mutual recognition of accreditation with Australia remains unchanged," he said. Are you a student interested in moving to NZ? Click here to understand
