Fiji’s productivity is being undermined by a deepening labour and skills shortage, leaving businesses struggling to meet workforce demands.
Fiji Commerce and Employers Federation CEO, Edward Bernard says the nation is confronting both a labour and skills crisis, with employers unable to find sufficient workers who also possess the right qualifications, competencies and workplace behaviour to meet industry demand.
He highlighted several key factors driving the shortage, including the growing number of Fijians leaving to work in Australia and New Zealand under labour mobility schemes.
Bernard also pointed to more than 20,000 people currently registered with the National Employment Centre who are not permitted to work, further tightening the labour market.
He says other contributing factors include some locals opting out of employment due to high remittance incomes, as well as the inability of local education and training institutions to consistently produce job-ready graduates with skills aligned to employers’ needs.
Bernard says these challenges are directly undermining productivity and forcing businesses to rely on foreign workers to meet public obligations, contractual commitments and maintain operations.
He stressed that recruiting foreign workers is both costly and time-consuming, with employers required to cover recruitment fees, airfare, government bonds, work permits and accommodation.
He adds that delays in work permit approvals by the Ministry of Immigration further drive up costs, while also resulting in lost productivity and missed business opportunities.
The CEO warns that Fiji’s productivity will continue to decline unless labour market imbalances are addressed through coordinated government action.
Questions have also been sent to the Ministry of Employment, Productivity and Workplace Relations seeking clarification on the specific steps being taken to address the labour and skills shortage.
We are yet to get a response.
