Tackling Australia’s Construction Apprenticeship Skills Shortage

Australia’s construction industry is facing a major labour shortage as it struggles to meet growing housing and infrastructure demands. Denita Wawn, CEO of Master Builders Australia, says over 500,000 new workers are needed within five years to replace retirees and grow the workforce. With tighter migration policies, the pressure is on domestic labour.

Wawn calls for urgent reform of the apprenticeship system, highlighting a nearly 50% dropout rate and a cultural bias favouring university over trades. Without intervention, the shortage could cost the economy $57 billion in lost GDP.

Recent government initiatives offer hope. Labor’s Key Apprenticeship Program will provide $10,000 to construction apprentices, while the Coalition proposes a 10% wage subsidy for small businesses and a matching $10,000 apprentice grant. While Wawn supports both plans, she says small businesses need further support to handle training costs.

Wawn stresses the need for cultural change and practical reforms such as better school-based career education, female participation in trades, and stronger mentoring programs. She urges collaboration between government, industry, schools, and communities to invest in the next generation of tradies and ensure Australia can meet its housing goals.