An ageing population, skill shortages and increasingly elaborate funerals could lead to waiting lists and delays for services, a national funeral directors' organisation says.
However, Dunedin funeral directors say they are well placed to cope with change.
The Funeral Directors Association of New Zealand (FDANZ) raised concerns after statistics showed the projected death rate could be a third higher from 2012, FDANZ president Neil Little said recently.
Skill shortages, combined with the more labour-intensive services were increasing demands on funeral firms.
Although there were more funeral directors operating, the number of funerals each conducted had dropped from about 80 per year in the 1980s to an average 55 now, he said.
Association members would be asked to discuss ways of avoiding waiting lists.
FDANZ immediate past-president Michael Hope, of Dunedin, said firms in the area could deal with increased demand for services, but staff recruitment and retention was a priority for the industry.
"I think the capacity exists here, but we need to attract more skilled people to ensure staffing ratios enable us to provide a good service," Mr Hope said.
"[The job] is demanding because we are on call like medical staff 24 hours a day, seven days a week.
"Like other sectors, we have learned things like leave remuneration and access to counselling are important," he said.
Mr Hope said funerals were now more labour intensive.
Hope and Sons was previously run by his father and three uncles, helped by two or three staff.
The company now employed 13 funeral staff and six catering and support staff.
"Services used to take between 20 to 30 minutes.
Now it's up to an hour or more.
"There is more input from family, and people travel from around the country and overseas.
But these are not negative things at all," he said.The effects of an ageing population on the industry may be staggered as the national average life expectancy increased.
It was now 81.1 years for females and 76.3 for males.
In 1982, it was 76.4 for females and 70.4 for males.
Another Dunedin funeral director, Keith Gillions, said firms in the area were "very well-placed to meet demands".
"In 1995 and 1996, there were 1200 death notices listed in the Otago Daily Times for the Dunedin area.
"In 2007, this was 1024, and was down again from the 1031 listed in 2006.
So it's a historically proven fact we can cope."
Mr Gillion said these figures related to slow population growth in the area and more people leaving Dunedin after retirement.
He said funerals were now more tailored to the requirements of the deceased's family.
Funeral homes were spending "more time on each funeral, and not covering as many funerals".
"But the product has changed so much in 20 years.
It's hard to make a comparison."
Mosgiel funeral director Robert Campbell said Dunedin firms could "definitely handle an increase in demand", but a labour shortage might affect the industry in future.
"Locally, there are strong family-run businesses.
But that may change in time.
People are not staying in the industry for as long as they used to because of the hours and stress involved in the job.
You do take on some of the grief of the bereaved family."
Mr Campbell said a "high percentage" of funerals now involved family members travelling from Australia and other countries.
As a result, the deceased were often in the funeral director's care for longer periods.
Like Mr Hope, he confirmed funeral directors accepted more labour-intensive services as a requirement of a changing marketplace.
About 65% of funeral directors were FDANZ members, and handled about 80% of funerals in New Zealand, Mr Hope said.
Alexandra funeral director Jim Harborow said he was not experiencing staffing difficulties and vacancies were filled "reasonably quickly."
"We have regular inquiries regarding jobs," he said.
Mr Harborow said training and communication could lessen the inherent stress of the job, and this would help with staff retention.
"People are coming into the business with their eyes open.
They are aware of the stress, and that we are on-call 24/7.
Broad in-house training is necessary.
It's a small firm, so we are talking all the time. .
It's a personal relationship [with staff], like a family situation."
His firm had handled "virtually the same" number of services annually in the past 10 years.
Balclutha funeral director Kevin Henderson said delays for funeral services were unlikely in South Otago.
Funeral companies in the area were not affected by high staff turnover and were mostly "settled family firms".
"There are a number of older family firms in the region.
But getting good directors always has been difficult.
"Like any industry, staff are also recruited to other companies.
I don't think we are faced with shortage like North Island directors are."
He had not noticed an increase in demand for services in recent years.
