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“The report provides a clear assessment of the workforce challenge and offers a range of practical options for industry and government,” said HIA Managing Director, Jocelyn Martin.
“BuildSkills Australia has produced a careful and evidence-based analysis of the workforce pressures facing residential construction.
“The findings reinforce what HIA has been saying for some time, Australia must increase the supply of skilled workers if we are to keep up with housing demand.
“The report identifies five key levers to build workforce capacity: boosting apprenticeships and VET training, increasing female participation, targeted skilled migration, productivity improvements, and expanding training system capacity.
“HIA supports the emphasis on strengthening apprenticeships and improving the training system so more people can successfully enter and complete trade qualifications.
“Steps such as incentives for employers and increasing the tax free thresh hold for apprentices earning under $45,000 are really good initiatives.
Ms Martin also reiterated HIA’s position on skilled migration, which is another key focus of the report.
“Domestic training is essential, but it will not be enough on its own,” she said.
“A well-targeted skilled migration program that recognises construction as an essential industry is critical. We need clear, practical pathways for experienced tradespeople to come to Australia and help fill immediate gaps.
“HIA is pleased to see that the report also focuses on productivity and planning, modernising building practices and reducing unnecessary regulatory delays, which will help the industry deliver homes more efficiently and at lower cost.
“The report identifies the need to increase participation in the workforce by females, which is something HIA fully supports. Our recent launch of the ‘She Builds the Future’ program, encompassing the children's book, ‘The House that She Built’ are example of some of the exciting work taking place in the industry to improve gender balance.
Overall, this new study provides a sound basis for the policy decisions needed to support the housing targets set under the National Housing Accord.
“It’s essential now that recommendations are progressed to actions,” concluded Ms Martin.
In what has been a difficult time for many Victorians, HIA welcomes the package of support measures announced by the Allan and Albanese Governments to support businesses, individuals and communities affected by the recent Victorian bushfires.
“HIA is disappointed that the Victorian government has announced new proposals to further increase property taxes,” stated HIA Executive Director Victoria, Keith Ryan.
HIA says residential builders and trades remain cautious about hiring in 2026. Not due to a lack of housing demand, but because of mounting cost pressures, regulatory hurdles, and persistent skills shortages, according to a survey of small to medium enterprise members.
The Victorian state government has introduced new provisions in Clause 52.06 of planning schemes specifying car parking requirements in new developments.