Tradespeople and professionals throughout Australia’s architecture, engineering and construction sector are still in unprecedented levels of shortage, the latest data shows.

The National Skills Commission has released the September monthly data for job vacancies according to detailed occupations.

The data shows that vacancies remain at massive levels and that record demand for workers persists.

According to the data:

  • Vacancies for construction managers registered their highest September monthly level since 2008
  • Vacancies for civil, electrical, industrial/mechanical/production and mining engineers and urban/regional planners registered their highest September monthly reading since the mining boom. Vacancies for architects/landscape architects and interior designers sit at levels which are reasonable but below those seen during the multi-residential building boom throughout 2016-2018.
  • In technical roles, vacancies for architectural, building and surveying technicians are at relatively high levels. Vacancies for civil engineering draftspersons, electrical engineering draftspersons, mechanical engineering draftspersons and other building and engineering technicians are at their highest level since the mining boom. Vacancies for safety officers registered their highest September monthly reading since data began in 2006.
  • On the trades side, September monthly vacancies for carpenters, plumbers, electricians, air conditioning and refrigeration mechanics, and electronic trade workers registered their highest September monthly readings since records began in 2006, Those for painting trades workers are at their highest level since the global financial crisis.
  • In labouring roles, September vacancies for crane/hoist/lift operators, other stationary plant operators, earthmoving plant operators, forklift drivers, building and plumbing labourers, insulation/home improvement installers and structural steel construction workers were higher than in any other September monthly reading since records began in 2006.

The latest data comes as Australia is undergoing a record boom in detached home building as well and is undertaking a record pipeline of transport and infrastructure work.

Not surprisingly, this has led to a shortage of workers across the board.

In the residential sector, the latest report from Housing Industry Association indicates that all trades are in short supply and that trade prices are rising.

In Infrastructure, projections from Infrastructure Australia (current as of June 2021) suggest that the nation most likely has a shortage of 79,500 infrastructure workers as of October.

 

Simon Bristow, Senior Regional Director at leading recruitment firm Hays, confirms that the shortages implied by the above data are being reflected on the ground.

Bristow says shortages are reflected across all states and territories and across all sectors of the construction market (civil/commercial/residential).

He says particular shortages exist in specific areas.

These include urban and town planners with Revit experience, civil designers with major infrastructure or residential experience, contract administrators with civil, commercial and residential experience and electricians for work in commercial buildings or residential homes (refer list below).

“There has not been a slowdown,” Bristow said.

“The issue is a skills shortage crisis, with more vacancies than people to fill them. We are seeing the National Skills Commission’s data reflected on the ground. Right across Australia, consultants in all our offices are working hard to find skills in demand for employers across architecture, engineering and construction. It’s not an exaggeration to say that the attraction and retention of skilled professionals has never been more challenging for employers.

“Job vacancies are well beyond their pre-COVID-19 levels across Australia. The market is very tight (as the NSC’s Skills Priority List also shows).

“Even organisations with a strong internal talent acquisition capability are reaching out to us for assistance because they can no longer meet staffing demand.

“The skills shortage was a hot topic at the recent Jobs and Skills Summit. Training our local workforce and bolstering it with migrant workers are welcome outcomes. But in the short-term, employers still face challenges when recruiting in today’s market.”

Going forward, Bristow says employers should adopt several strategies to achieve best possible outcomes.

For white collar and/or professional roles, it is important to be flexible regarding expectations.

Whereas a Bachelor of Engineering is advantageous for a civil design role, for example, this may not be essential. Rather than restrict options to candidates who meet all requirements and desired attributes for a role, employers should consider opportunities to upskill candidates who meet most requirements.

Next, employers need to sell their opportunities to preferred candidates. During interviews, this can be done by building rapport, outlining the benefits associated with the role along with opportunities for career progression and inviting candidates to ask questions.

Third, competitive salaries are important especially in line with the rising cost of living and increasing remuneration expectations.

Finally, employers should be prepared to respond to counter-offers. This includes understanding why the preferred candidate is looking for a new role and ensuring that they see they can achieve this with your firm. Many candidates are less likely to accept a counter-offer over a position which they feel is right for them, Bristow says.

For trade and labour roles, Bristow says competitive hourly rates are important.

Meanwhile, benefits such as provision of work vehicles can be strong attraction factors as can the offering of long-term contracts.

Finally, with good trades and labour personnel not being in the market for long, it is important to run a swift recruitment process.

Speaking of Hays’ experience, Bristow says employers who fail to respond within one day of receiving a shortlist find that at least half of their candidates have received alternative offers.

Going forward, Bristow says hiring activity will remain strong next year.

“We expect the market to remain busy in 2023, driven by residential and civil projects, especially new homes and renovations,” Bristow said.

“While land supply and interest rates may have an impact, we’re at such a peak of staffing demand that the recruitment market will remain incredibly active.

“Civil will remain strong, too, thanks to an impressive pipeline of projects ranging from clean energy to transport.”

Specific Skills in Highest Demand

According to Bristow, specific areas of particular high demand include:

Architecture:

  • Urban and Town Planners, ideally with experience using Revit.
  • Project Architects
  • Senior Design Architects
  • Revit Documenters
  • Senior Interior Designers.

Engineering:

  • Civil Designers with major infrastructure or residential subdivision experience
  • Structural Engineers with high rise or bridge experience
  • Mechanical Engineers with building services and hydraulics experience
  • Electrical Engineers with power systems experience
  • Drafters across all sectors.

Construction:

  • Contract Administrators within commercial, civil and residential construction
  • Estimators with broad experience in residential and civil construction
  • Project Managers
  • Site Managers
  • Project Engineers.

Trades & Labour:

  • Electricians are in high demand as commercial buildings, residential homes and major polluters all ramp up their de-carbonisation efforts and electrify what they can. In addition, electricians require an electrical licence for the state or territory they work in. While candidates can move interstate, the licencing requirements can be a factor discouraging some.
  • Carpenters with exposure to commercial builds and fitouts
  • Residential carpenters with home and high-rise experience
  • Boilermakers, Fabricators and Welders with a Certificate III in Engineering (fabrication trade) and post apprenticeship experience.