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Trade Jobs in Crisis

The shortage of skilled tradespeople in the construction industry has been eased for the first time in years, but unfortunately the problem hasn’t been solved in the most ideal of ways.

Australia’s Trade Shortage: Why Skilled Workers Are Still in Demand
Helen Isbister

Jun 25,2025

Challenges facing the trade jobs sector and vocational training opportunities in Australia

Australia’s construction industry has long faced a mismatch between demand and workforce supply. While temporary changes in economic conditions can ease pressure on trade availability, the underlying issue remains: Australia simply doesn’t have enough qualified tradespeople to meet long-term demand.

Over the years, national skills shortages have impacted electricians, plumbers, carpenters, bricklayers, and other essential trades. And while construction activity may fluctuate—due to housing markets, interest rates, or major infrastructure funding—the need for skilled workers persists.

What’s Driving the Demand for Trades Today?

Several key trends are shaping Australia’s trades and construction landscape in 2025 and beyond:

  • Infrastructure investment: Government spending on major road, rail, energy and defence projects is creating long-term demand for tradespeople across sectors.
  • Housing and rental pressures: A shortage of affordable housing has prompted increased investment in residential construction—both new builds and renovations.
  • Green economy transition: Roles in energy efficiency, solar installation, sustainable building and electric vehicle infrastructure are adding new dimensions to traditional trades.
  • Retirement of older workers: Many experienced tradespeople are leaving the workforce, creating a need to train and retain younger workers.

According to Jobs and Skills Australia, several construction-related trades appear on the national skills priority list in 2024, including electricians, plumbers, carpenters, tilers and stonemasons. The industry is actively calling for more skilled workers to enter training pipelines to avoid worsening the shortfall as major projects ramp up.

The Challenge: Not Just Quantity—But Qualified Workers

The availability of workers can sometimes seem better during an economic slowdown. But that improvement is often artificial—it comes from reduced building activity, not from having trained more workers.

When the economy bounces back, demand surges quickly. If we haven’t trained enough new tradespeople during the quiet periods, the result is a worse shortage than before. This boom-bust cycle is what experts continue to warn about.

In fact, the Australian Constructors Association recently highlighted the need to attract over 100,000 additional workers to the industry by 2026 to meet forecast project demands.

What’s the Government Doing About It?

At both federal and state levels, there have been continued efforts to support the construction workforce, including:

  • Free and subsidised construction and building courses through TAFE and registered training providers.
  • The Jobs and Skills Australia initiative, helping align workforce planning with national priorities.
  • Incentives for apprenticeships and traineeships, particularly in priority skill areas like construction and energy.
  • Funding for women in trades and regional training access to boost diversity and supply.

These policies are designed not just to support job creation, but to help future-proof Australia’s workforce as our infrastructure, housing, and sustainability needs evolve.

How You Can Prepare for a Career in the Trades

Skilled trade roles offer strong job security, hands-on work, and career progression—especially as demand grows. If you’re considering this path, you can explore nationally recognised qualifications such as:

These qualifications can be completed through apprenticeships or vocational training providers and often include practical, on-the-job learning. They’re also a springboard to licensing and specialisation—allowing you to run your own business or take on higher-level roles over time.

The Bottom Line

Australia’s trade shortage is far from over. Even during economic downturns, the need for skilled, qualified workers remains critical—and long-term workforce planning is key to avoiding future crises.

Whether you’re finishing school, considering a career change, or looking to build a hands-on career with solid job prospects, now is an excellent time to consider a trade. With government support, strong employment demand, and the satisfaction of building something real, the trades offer a future-proof path forward.

About the author

Helen Isbister brings practical career tips, study advice, and professional insights to Career FAQs readers.

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