User-centred design and behavioural economics
The department continued to apply its behavioural economics capability to evidence-based program development in 2018–19. Behavioural economics projects incorporate user-centred design, innovative policy ideas, and a rigorous trial and adapt approach. This capability helps provide a realistic understanding of the behaviours and decision-making of job seekers, employers, small business owners, and employment services providers. Evidence gathered contributes to the design of current and future programs.
In 2018–19, the department conducted research with franchisees, franchisors, peak bodies and other stakeholders. The research focused on understanding the attitudes, motivations, capabilities and behaviours of franchisees and franchisors in the lead-up to entering into a franchising agreement.
The department tested a behavioural economics approach to improving online job search strategies as part of the My Job Goals trial. The department and an employment services provider in Sydney collaborated to develop a website providing job seekers with easy-to-use instructions and templates for improving their job search. During the My Job Goals trial the number of work-ready job seekers finding employment increased by 45 per cent.
A key achievement in 2018–19 was the recognition of the department’s behavioural economics work in the Applying Behavioural Insights to Labour Markets report. Published by the Behavioural Insights Team, the report references case studies, trials and analysis from local and international behavioural economics practitioners.