The latest HIA Trades Report by the Housing Industry Association (HIA) has sounded the alarm on the availability of skilled tradies across the country, with the HIA Trades Availability recording a -0.47 in the December 2024 quarter, a modest improvement from the previous results.
“Competition for skilled tradespeople in Australia remains stiff, with the home building industry competing for workers against a large public infrastructure pipeline,” stated HIA Senior Economist Tom Devitt.
Bricklaying (-1.02) and ceramic tiling (-0.84) trades saw the most acute shortages of those surveyed, not seeing much improvement in availability over the last 12-18 months though other trades have been seeing gradual improvement in availability. In particular, electrical trades have consistently recorded the most ‘modest’ shortages, with an index of just -0.09. This was followed by site preparation (-0.18) and plumbing (-0.19).
“There is a $155 billion pipeline of public sector construction work underway that has been absorbing available labour across the country,” Devitt said. “This competition is producing persistent trades shortages that, while less extreme than recent years, are still more acute than anything seen in the nearly two decades before the pandemic.”
The report noted that Australia would need an additional 83,000 workers in key residential construction trades, a 30 per cent boost on current employment levels, to meet the Australian government’s Housing Accord target of 1.2 million new homes over five years.
For this, the HIA has submitted its Pre-Budget Submission for 2025-2026 which outlined a number of critical reforms needed to address the chronic and long-term skills shortages by providing apprentice and employer subsidies, targeted funding towards trade-ready and pre-apprenticeship training and a comprehensive awareness program to encourage young people to take on a trade.
HIA also recommended the development of a streamlined and simplified visa program for in-demand trades and the development of a specific construction trade contractor visa tailored to suit the way work is arranged on building sites.
“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,” concluded Devitt.
The HIA Trades Report provides a quarterly review of the availability of skilled trades and any demand pressures on trades operating in the residential building industry.
