Welders Industry Skills Shortage – What Employers Need to Know

Australia’s construction and manufacturing sectors are grappling with a significant shortage of skilled welders, which threatens several industries. This article examines the current state of the shortage and explores projections for the future, highlighting the urgent need for employers to take action.

Current Shortages

The welders shortage in Australia is both severe and widespread, as evidenced by several key indicators. Data from the ANZSCO Classification 3223 – Structural Steel and Welding Trade Workers reveals that there are 74,300 employed welders in the country. This is a year-on-year decline of 500 workers employed as welders.

The impact of the COVID-19 pandemic has exacerbated the shortage, leading to substantial increases in job vacancy rates within the welding industry. The manufacturing sector has experienced a staggering 90% rise in job vacancies, while the construction sector has seen a 67.8% increase.

The current vacancy rates underscore the severity of the shortage. Currently, 25% of businesses in the construction sector and 19% in the manufacturing sector report vacancies for welding positions.

A 2023 Member Survey conducted by Weld Australia provides further insight into the industry’s concerns. Of the respondents, 60% identified labour shortages as the primary factor likely to inhibit their business growth in 2023. Additionally, 45% of respondents confirmed that labour shortages were their primary concern.

The jobs market also reflects the urgent need for skilled welders, with over 5,000 welding-related job listings currently posted on Seek.

Projected Shortages

The welder shortage in Australia is expected to persist and potentially worsen. According to Weld Australia, the industry will face a significant shortfall of 70,000 welders by 2030. The median age of welders is 40, suggesting an aging workforce that may soon face a wave of retirements.

The impact of this shortage is already being felt. Approximately 50% of Australia’s welding workshops operate at 80% capacity or below, primarily due to a lack of skilled workers.

Conclusion

The welders shortage in Australia is a critical issue that demands immediate attention from the construction and manufacturing sectors. The current shortage and projections of worsening conditions pose a significant threat to productivity, growth, and competitiveness in these key industries. International talent will be an immediate and effective means for employers to address labour shortages.