Richard Templer: Engineering NZ CEO urges the Government to release infrastructure funds amid job shortage

There's growing concern about a potential decline in engineering roles - with renewed calls for the Government to step in and intervene.

Engineering New Zealand says work for engineers has dried up and they fear losing skilled professionals to overseas opportunities.

CEO Richard Templer says Kiwi firms have had to make engineers redundant as bigger projects have ground to a halt - and New Zealand runs a real risk of having a sector-wide brain drain.

"The Government has ear-marked a whole lot of money for infrastructure. What hasn't happened is that it hasn't hit procurement, it hasn't been contracted out, it hasn't started delivery. So we've called on the Government to, in their quarterly plan, include infrastructure delivery." 

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Episode Transcript

Speaker 1 (00:06):
You're listening to the Sunday Session podcast with Francesca Rudgin
from News talksb.

Speaker 2 (00:12):
Right concern engineering roles are in decline. Engineering New Zealand's
his work for engineers has dried up and they fear
losing skilled professionals overseas. They're calling on the government to
urgently release infrastructure funds. Engineering New Zealand chief executive doctor
Richard Templer, he joins me. Now, good morning, Richard Cuda,
and good morning, Hey, what kind of drop off are

(00:34):
we seeing in the number of engineering roles available?

Speaker 3 (00:38):
So we are seeing hundreds of engineers losing their jobs
with the reduction and infrastructure projects across the board in
education and healthcare, roading, building and construction, and civil infrastructure
such as Three Waters projects have been stopped. They haven't

(00:59):
been restarted, and that's been over a year now that
that work hasn't flowed through, and so engineering firms reluctantly
have had to make hundreds of engineers redundant.

Speaker 2 (01:12):
Because Richard, we've been told that infrastructure is hugely important.
The projects are coming, but is there just not enough
certainty around them.

Speaker 3 (01:20):
So the challenge has been the timing. The projects are
absolutely vital. We know there's well over one hundred and
fifty billion dollar infrastructure deficit and the government, to their credit,
has air marked money and budgets, but that money hasn't flowed.
And if you look at the stopping of big projects
such as Dunedin Hospital, the Irex project, which is the

(01:43):
Ferries project, that's a huge amount of expenditure that hasn't occurred,
and firms did their best to hang on. But we're
now sort of eighteen months since the projects were stopped
and the money hasn't flowed, and so firms have had
to make the very tough decision to let people, let
people go.

Speaker 2 (02:02):
Government's fast track approvals that regime. Is that going to
make a difference, Richard.

Speaker 3 (02:08):
Well, this is one of the big challenges. There's one
hundred and forty nine projects there. Almost all of them
need engineering to help with the design, and they need
huge numbers of people to construct the project. And if
you think about engineers involved in the design, if they
lose roles in New Zealand, they will leave the travel overseas,

(02:28):
but may be able to work overseas remotely. But the
people who build our roads, build our hospitals, put the
ferry terminals together are lined up to build the solar farms,
the wind farms, the property developments, the roading all included
in the fast track. They have to move overseas because
you can't build a road virtually, you have to physically

(02:52):
be there.

Speaker 2 (02:53):
What are the opportunities like overseas? Are you expecting quite
a substantial brain drain here?

Speaker 3 (03:00):
Well? In September last year, I visited Australia to meet
with our sister organization, Engineers Australia, and I was lucky
enough to meet with some of the key players in
infrastructure in Australia and they were saying, it's fantastic we
can hire significant numbers of engineers. There's a huge infrastructure

(03:20):
program going a head in Australia in terms of upgrading
their rid upgrading their roads including their rail links, and
also significant defense spending, all of which requires engineers. They
can employ people for the same or less than they
can hire Australians. Kiwis are a great cultural fit in
Australia and they don't even need to create extra office

(03:44):
space because New Zealanders can work from home and it's
basically like a shift that starts at six in the morning,
and even more so if they need the engineer to
meet with the client while they can be in Sydney
or Melbourne quicker than someone flying from Perth.

Speaker 2 (04:01):
So, Richard, what needs to happen.

Speaker 3 (04:05):
The government has heirmarked a whole lot of money for infrastructure.
What hasn't happened is it hasn't hit procurement, it hasn't
been contracted out, is hasn't started delivery. So we've called
on the government to in their quarterly plans include infrastructure delivery.
And they also need to get cracking on projects like

(04:26):
the Denian Hospital. The cheapest time to do that is today.
The needt cheapest time is tomorrow. The longer we wait,
the more expensive it will become.

Speaker 2 (04:37):
Richard, really appreciate your time and your expertise this morning.
Thank you so much. That was Engineering New Zealand Chief
executive doctor Richard Templar.

Speaker 1 (04:46):
For more from the Sunday session with Francesca Rudkin, listen
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