Ai Group’s Centre for Education and Training (CET) has released survey data revealing that technicians and trades workers are in high demand and increasingly difficult to find.
According to the survey, 77 per cent of businesses reported an increased need for these skills, and 79 per cent expressed difficulty in finding or training staff to meet this need.
The survey also highlighted an increased demand for managers and professionals, although businesses are finding them slightly easier to source.
Specifically, 69 per cent of businesses reported an increased need for Managers, with 58 per cent facing challenges in recruitment or training.
Similarly, 66 per cent noted a greater need for Professionals, with 61 per cent encountering difficulties in fulfilling this requirement.
According to Ai Group, the data underscores a rising trend in demand for Technicians and Trades workers over recent years.
In 2020, 49 per cent of businesses reported an increased need for these skills. This figure rose to 69 per cent in 2022 and has now reached 77 per cent.
Concurrently, the proportion of businesses struggling to find or train Technicians and Trades workers has surged from 39 per cent in 2020 to 79 per cent in 2024.
Innes Willox, Ai Group chief executive, commented on the findings: “Australian businesses are telling us they are struggling to find the technical and trades skills they need, and over recent years it has become a problem for more and more companies.”
He continued, “Not being able to find the right people at the right time limits the ability of businesses to meet demand, grow, and innovate, and this has negative consequences for our economy.”
To address these skill shortages, businesses are taking proactive steps. The survey revealed that 77 per cent plan to re-skill existing staff on the job, and 63 per cent intend to employ experienced individuals.
Investment in learning and development is also a priority, with 91 per cent of businesses planning to maintain or increase their expenditure on training over the next 12 months. Notably, 44 per cent aim to increase their training budget this year.
Additionally, there is a strong intention to hire entry-level workers, with 37 per cent of businesses planning to increase the number of apprentices and trainees they employ in the coming year.
A positive attitude and generic capabilities are key considerations for hiring graduates or school leavers, with 61% of businesses ranking this as the top factor and 83 per cent placing it among the top three factors.
The biggest reported barrier to hiring new entrants is a lack of work preparedness.
These insights are drawn from Ai Group’s CET survey, “Listening to Australian Businesses on Workforce and Skills 2024,” which is conducted biennially.
This year’s survey had responses from 251 individual businesses, collectively employing a total of 291,232 full-time equivalent employees.
For the full Research Insight, click here.
