A significant shortage of skilled workers is impacting the Australian economy, forcing many restaurants to reduce their hours and butchers like Clayton Wright, who has been operating for over 35 years, to consider closing their businesses. Wright has struggled to attract qualified staff, despite advertising two lucrative positions with salaries of $110,000 and $130,000, receiving 140 applications predominantly from overseas, with none meeting the required qualifications.
Over the past five years, Australia has recorded a 30% decline in the number of slaughterers, butchers, and smallgoods makers. As of December 2024, there were approximately 311,760 active apprenticeships and trainee contracts, with more than two-thirds of these in trade occupations; however, this figure represents an 8% decrease compared to the previous year’s statistics from the National Centre for Vocational Education Research.
The hospitality sector is also feeling the strain. Chef Luke Mangan opened his upscale establishment, Luke’s Kitchen, in Sydney’s CBD in 2022, but has faced ongoing challenges in recruiting sufficient staff, leading to operational limitations of just four days a week. Despite efforts to find chefs, waiters, and other roles, he continues to battle staffing shortages three years later. Last year alone, the initiation of trade occupations saw a nearly 14% drop, with particularly severe reductions in the automotive, engineering, and construction sectors—down 17.1% and 16%, respectively.
Business NSW’s chief executive, Daniel Hunter, has expressed concern that the skills crisis could jeopardise the economy’s stability. He emphasises the critical role that trades play in maintaining the country’s operations and highlights the promising career opportunities available to young people pursuing paths in these industries.
As Australia grapples with these workforce issues, the future of various sectors, particularly trades and hospitality, remains uncertain with an urgent need for effective solutions to attract and retain skilled labour.