Challenge the class ceiling

​​It’s time​ to give more people a fair chance at work.

In Australia, one third of people born into a low-income family will remain in a low-income bracket for the rest of their lives.¹  

It’s a confronting statistic, daring us to rethink a very powerful and enduring cultural narrative. Isn’t this the land of a Fair Go? 

Going by current trends, it would take four generations for a child born into one of the poorest families to reach the national average income.² Talented people are being held back by barriers linked to postcode, privilege or class. Meanwhile, employers are missing out on skilled, motivated people. They struggle to fill skills shortages and there is a limit to innovation and diversity of thought. 

This decline in economic mobility poses a serious threat to our social cohesion, and as a result, challenges Australia’s economic stability.

What can we do about it?

The Fair Chance Initiative

It’s our opportunity to take control and make workplaces fairer. 

The Fair Chance Initiative aims to raise awareness of class barriers to employment and to ensure talent from all backgrounds can access opportunity. At its heart is a growing group of leading employers stepping up to address bias in their own organisations. 

SVA, the Australian Business and Community Network (ABCN), and The Smith Family are working to bring these employers together and build momentum for further action.

We are building a road map for action drawing on experience of practitioners and evidence of what works. Here are some proven strategies for employers to access great talent and shift the dial on disadvantage:

1. Remove barriers to job entry

such as unnecessary degree requirements

Young people from low-income families are no less motivated to go to university, but they identify financial barriers and family responsibilities as barriers to attendance.³ Despite this, employers often look for university degrees as a proxy for other skills, like problem solving or communication, without considering how this might bias selection and limit access.

In the US, researchers found that degree inflation (the practice of requiring university qualifications for jobs that do not require them) not only inhibits access to jobs for many capable candidates, but increases wages and staff turnover for businesses, without corresponding productivity gains.⁴

We’re calling on businesses to review their job ads and remove unnecessary degree requirements. Focus instead on the skills and potential a candidate will bring to your workforce.

2. Create pathways into skilled work

such as earn-while-you-learn programs

A lack of financial resource affects people’s ability to spend time in training, education, or unpaid internships. We’re encouraging businesses to innovate and pilot earn-while-you-learn programs (like apprenticeships).  

The NSW Digital Skills and Workforce Compact Partners, for example, have committed that 20% of all digital entry-level hires will come from alternate pathways (vocational training, vendor courses, earn-while-you-learn models, micro credentials etc.) by 2030​.​⁵​ The benefits are many – increasing representation of women, First Nations and people living with a disability ​​among new tech workers, and building a workforce that reflects the diversity of the population they serve.

3. Measure progress

through socio-economic data collection

Successful change projects involve leadership commitment, clear goals and accountability. Through the Fair Chance Initiative, we’re encouraging businesses to measure the socio-economic background of existing employees as an important step towards ensuring quality of opportunity.

We may not have changed the world overnight with the collection of data on gender equity, as an example, but it has allowed employers to consider where gender inequality is happening and unlock opportunities to diversify talent. We need this kind of transparency on the socio-economic representation in our workplaces if we are going to address systemic issues.

Over the next 12-18 months, the Fair Chance Initiative is focussing on building awareness and sharing good, innovative practice directly with employers through workshops, research, resources, webinars and case studies. As inequality deepens and AI starts to impact on pathways into work, it is time to act to make access to economic opportunities fairer and easier.

We are looking for businesses to work with us to support a ‘Fair Chance’ agenda for all people in Australia.