Australia needs 83,000 more tradies to meet housing targets

Australia’s construction industry faces worsening skills shortages as it competes with a $155 billion public infrastructure pipeline for workers.

The Housing Industry Association’s (HIA) Trades Availability Index showed only slight improvement in the December quarter 2024, recording -0.47.

HIA Senior Economist Tom Devitt said Australia needed 30 percent more construction workers to meet government housing targets.

“Competition for skilled tradespeople in Australia remains stiff, with the home building industry competing for workers against a large public infrastructure pipeline,” he said.

Perth recorded the most severe trade shortages (-0.84), followed by Brisbane (-0.65) and Adelaide (-0.47), while Sydney and Melbourne both sat at -0.31.

Bricklayers and ceramic tilers were the hardest trades to find, with availability indexes of -1.02 and -0.84 respectively.

The HIA called for reforms including apprentice subsidies, pre-apprenticeship training funding, and streamlined visa programs for in-demand trades.

“Failure to address the acute, persistent and potentially worsening shortage of skilled trades will leave a major constraint, not just on housing affordability but on broader productivity and economic growth,” Devitt said.

Electrical trades showed the smallest shortages, nearly reaching equilibrium with an index of -0.09.