Construction labour shortages in Australia: which trades are most needed?

Australia's construction workforce has reached a record 1.37 million workers, but the sector is still short of the trades needed to keep up with housing demand. Core residential trades are in shortage across states and territories, while job vacancies remain well above pre-pandemic levels.

The strain is showing in the delivery numbers. House build times have risen from 2.18 quarters in 2019–20 to 3.07 quarters in 2024–25, apartment build times have reached a record 9.58 quarters, and construction costs are now 39% above their 2019 level.

SECTION 01 · SHORTAGE OVERVIEW

The state of Australia's construction workforce

The construction industry employed a record 1.37 million workers in February 2026 and still could not fill 21,600 job vacancies. Even after falling 46% from the May 2022 peak, vacancies remain 30% above the 2019 annual average. The workforce has never been larger, and it is still not large enough.

Construction is classified as an industry under heightened shortage pressure. Nationally, 30% of all occupations were in shortage in 2025, down from 36% in 2023, and tradespeople and technicians account for 53% of the 123 occupations in continuous shortage since 2021.

Against that backdrop, 13 of 15 core residential trades remain in shortage across every state and territory.

SECTION 02 · TRADES IN SHORTAGE

Which construction trades are in shortage in Australia?

Of the 15 core residential building trades tracked nationally, 13 are in shortage across every state and territory. The exceptions are Building Associates, which is affected only in the Northern Territory, and Project Builder, which is affected only in Tasmania and the ACT. The shortage type differs by trade, and that distinction matters for how each gap can be closed.

The trades divide into three shortage types, each requiring a different response.

Source: Jobs and Skills Australia 2025 Occupation Shortage List (six-digit download); JSA 2025 Occupation Shortage Drivers tables; JSA occupation profiles.

Carpenters and joiners

With 149,600 employed nationally and median weekly earnings of $1,539, carpenters and joiners are one of the largest shortage groups in the country. The shortage is classified as a retention gap. The problem is not just that too few people enter the trade, but that too many leave it. NSW accounts for 32.3% of the workforce, Victoria 29.9%, and Queensland 19.2%.

Electricians

Electricians are both the largest and highest-paid of the shortage trades, with 197,300 employed on median weekly earnings of $2,000. The shortage is classified as a suitability gap. There are applicants, but employers report that candidates frequently lack the specific experience, site readiness, or capability that roles require.

Plumbers

Plumbing is a long training gap shortage. The category applies where there are too few qualified applicants and the qualification pathway is long, typically a Certificate III or above, taking three to four years. This means even a significant lift in apprenticeship starts today will not relieve the shortage quickly. The broader plumber unit group employs 103,675 workers across all plumbing subcategories.

Bricklayers and stonemasons

Bricklaying employs around 25,464 workers nationally, smaller than carpentry or electrical, but critical to the sequence of a build. Without completed brickwork, trades that follow cannot begin work. This is classified as a suitability gap shortage, which is in shortage nationally and across all jurisdictions.

Plasterers, tilers, painters, and roofers

All finishing trades are in shortage across every state and territory. Plasterers, renderers, and wall and floor tilers are suitability gap shortages, and painters are a retention gap. Roof tilers employ around 9,400 workers nationally. That is a small enough workforce that even a modest lift in demand can create a bottleneck at the final stages of a build.

Construction managers and site supervisors

The management layer is also under pressure. Construction project managers are in shortage nationally and in all jurisdictions, with 134,300 employed and median weekly earnings of $2,928. The broader construction managers unit group is classified as a suitability gap shortage. The building associate category is not nationally short, though it is in shortage in the Northern Territory.

The three causes behind construction trade shortages

Construction labour shortages have three distinct causes, and each requires a different response. A long training gap means too few people are moving through the qualification pipeline. A suitability gap means candidates exist but lack the job-readiness employers need. A retention gap means workers are leaving faster than they can be replaced.

SECTION 03 · STATE BREAKDOWN

Construction trade shortages: a state-by-state breakdown

The Northern Territory has the broadest shortage profile, with 19 of 19 tracked trades affected, followed by Western Australia at 18 of 19. NSW, Victoria, and Queensland each recorded 17 of 19 in shortage, with Tasmania and the ACT at 16 of 19.

The practical workforce gap is largest in NSW, Victoria, and Queensland, which account for 81.4% of all carpenters and joiners and 80.3% of all construction project managers nationally. The shortage is widest in NT and WA by count, but the scale of unmet demand is greatest where most new housing needs to be built.

SECTION 04 · BUILD TIMES

How labour shortages affect building times

When qualified tradespeople are hard to find, projects stall between stages, waiting for a framer, a plumber, an electrician, or a tiler to become available. Those delays compound across the build sequence.

Average house build times have eased to 3.07 quarters in 2024-25, down from the pandemic peak of 3.47 in 2023-24, but still about one full quarter longer than before the pandemic. Apartment build times moved in the opposite direction, reaching a record 9.58 quarters in 2024-25.

SECTION 05 · BUILDING COSTS

How labour shortages affect building costs

House construction input costs are 39% above their 2019 level, with the input price index at 164.3 in March 2026. Annual cost growth has eased sharply from a peak of 17.3% in mid-2022 to 2.5% by March 2026, but the industry is operating on a structurally higher cost base than before the pandemic.

The worst of the cost surge has clearly passed. Annual growth in input prices peaked at 17.3% in June quarter 2022 and has eased to 2.5% by March 2026. But with the index at 164.3, input costs are still 39% above their 2019 level.

Labour shortages were one contributor to this increase, alongside materials costs, supply chain disruption, energy costs, and elevated demand. A persistent inability to staff projects at scale added to the pressure during the peak period.

Source: ABS Producer Price Indexes, Australia, Table 18: Input to the House Construction Industry, March quarter 2026.

SECTION 06 · HOUSING TARGETS

Labour demand from the 1.2 million homes target

Australia commenced 45,156 dwellings in June quarter 2025, equal to 75.3% of the 60,000-per-quarter pace required to hit the 1.2 million homes target by June 2029.

At the current rate, the five-year total would reach roughly 900,000 homes, about 300,000 short of the target. Building approvals of 17,300 in March 2026 suggest the pipeline is not yet accelerating fast enough to close that gap.

To meet combined housing and infrastructure demand, the construction labour force needs to grow by around 300,000 workers over five years, roughly 60,000 a year. At current commencement rates, that growth is not happening.

SECTION 07 · APPRENTICESHIPS

Construction apprenticeships: growth, gaps, and the pipeline ahead

Apprenticeship commencements are rising strongly, with 297,925 active apprentices and trainees recorded in September 2024. Growth was led by bricklayer and stonemason starts, up 40.7%, and carpenter and joiner starts, up 39.4%. But completions lag starts by three to four years, meaning today's new entrants will not ease today's shortage until 2027-28 at the earliest.

In the nine months to September 2024, there were 34,615 more commencing contracts and 8,690 more completions than in the same period of 2023. Growth was strongest in the trades under the most acute pressure:

• +40.7% Bricklayer and stonemason commencements
• +39.4% Carpenter and joiner commencements
• +24.8% Plumber commencements
• +14.9% Electrician commencements

These are meaningful increases. But completions are what actually relieve the shortage, and completions lag starts by three to four years.

SECTION 08 · MIGRATION

Skilled migration in filling construction trade gaps

Employer-sponsored visa pathways give construction businesses a route to recruit experienced workers from overseas when domestic candidates are unavailable.

In 2024-25, 5,510 primary visa grants were made to construction industry sponsors, a 30.9% increase from 4,210 in 2023-24.

Migration is helping at the margin, particularly for experienced and specialised roles, but the scale is modest against a workforce of 1.37 million and a required growth of 300,000 over five years.

Key trades, including Carpenter, Carpenter and Joiner, Electrician (General), and Plumber (General) are on the skilled occupation list for employer-sponsored pathways, including the 482 and 186 visas. Migration is most effective at filling specific gaps where domestic pipelines are slowest to respond. It supplements domestic training and retention efforts; it cannot replace either at current volumes.

SECTION 09 · SOLUTIONS

What can help reduce construction labour shortages?

No single policy closes the gap across the whole sector because the shortage has three main causes. Effective responses differ by trade type, with plumbing needing more completions, electrical and management roles needing better training-to-work pathways, and carpentry and painting needing improved working conditions.

SECTION 10 · BUYER IMPACTS

What construction labour shortages mean for homebuyers

With input costs still 39% above 2019 levels and average house build times more than 40% longer than before the pandemic, labour shortages now have direct practical effects for anyone building or buying a new home, from longer wait times and higher costs to greater contract and financing risk.

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