Nearly 90 per cent of Australian businesses are suffering productivity issues owing to low levels of language, literacy, numeracy and digital literacy (LLND) among workers, a survey by the Australian Industry Group has revealed.
Struggling employees are having trouble completing documents, reports and tasks; wasting time; failing to communicate and take part in teamwork and lacking the confidence and willingness to take on new work.
The findings were revealed in a new report, Counting the cost: Addressing the impacts of low levels of literacy and numeracy in the workplace, by Ai Group's Centre for Education and Training (Ai Group CET).
Ai Group Chief Executive Innes Willox said this data shows how ongoing low levels of literacy and numeracy affecting 88 per cent of Australian businesses are not only a social inclusion issue but also holding back productivity.
"Productivity is the key to improving the everyday lives and pay packets for every Australian, and this report shows we need to get the basics right to improve it," Mr Willox said.
"We need to grasp the opportunity to remove barriers to people getting a job and for employers to keep improving staff skill sets to maximise productivity in the workplace.
"Governments are rightly focusing on language, literacy, numerical and digital literacy, and it is welcome that federal programs such as Skills for Education and Employment (SEE) are now available in the workplace."
The report shows 63 per cent of business surveyed said poor literacy and numeracy leads to poor completion of workplace documents and reports, 55 per cent said the problem led to time wastage, 49 per cent said it contributed to a lack of confidence and willingness among staff to take on new work, and 47 per cent said it caused teamwork and communications problems.
"Ai Group's research highlights the potential productivity uplift from increasing language, literacy and numeracy skills," Mr Willox said.
"Part of the solution is ensuring programs are accessible for employers through workplace and vocational delivery models.
"Government, education and training providers, industry and individuals need to work together to get this right."
Twenty-seven per cent said low levels of literacy and numeracy could be a factor in workplace safety issues.
The survey also showed 42 per cent of companies require greater basic digital skills capabilities to cope with more advanced technologies and digital capability within the business.
The poll included 251 businesses employing 291,232 people.
