Albanese Government's skills reforms leading to fewer occupations in shortage

New data from Jobs and Skills Australia has confirmed the actions the Albanese Government is taking to invest in TAFE and training is shrinking skills shortages in Australia.

The Occupational Shortage List 2025 shows the number of occupations in shortage is now at 29 per cent, down from 36 per cent in 2023 and 33 per cent in 2024.

This is the lowest level in three years and reflects the Government’s strong focus on skills, inclusion, and workforce participation.

Importantly, the report highlights that occupations with more diverse workforces are significantly less likely to be in shortage:

• Occupations with balanced gender representation had a shortage rate of 18 per cent, compared to 48 per cent for male-dominated occupations;
• Occupations with 30 per cent or more mature-aged workers (aged 55 and above) had a shortage rate of 20 per cent, compared to 39 per cent for those with fewer older workers; and
• Occupations with greater representation of First Nations people and people with disability consistently showed lower rates of shortage.

Fewer occupations in shortage helps to ease cost-of-living pressures with better access to essential services for Australians, improvements to productivity and a more resilient economy.

This progress is backed by deliberate and targeted actions delivered by the Albanese Government, including:

• The landmark $30 billion National Skills Agreement, a five year partnership with all states and territories to deliver genuine and lasting skills reform;
• Free TAFE, which has seen more than 685,000 enrolments and 190,000 courses completed, giving Australians skills they want in sectors we need;
• The Key Apprenticeship Program, delivering up to $10,000 in incentive payments to new energy and housing construction apprentices; and
• The Building Women’s Careers program, encouraging more women to join trades.

The Albanese Government will continue working with industry, unions, and communities to ensure every Australian has the opportunity to gain skills, find meaningful work, and contribute to a stronger future.

Quotes attributable to Minister for Skills and Training, Andrew Giles:

“This is a clear sign that our Government’s investments in people are paying off.

“There is more work to do but this new report shows us that when we remove barriers to skills and training, and create inclusive workplaces, we unlock the full potential of Australia’s workforce.”

Quotes attributable to Minister for Employment and Workplace Relations, Amanda Rishworth:

“The Albanese Government’s investments in skills and training are opening up pathways to build a workforce that reflects the full diversity and talent of our nation – and the results speak for themselves.”

“Occupations that better reflect Australia and our communities – whether this is through balanced gender representation, a mix of ages, or representation of First Nations or people with disability – are less likely to be in shortage.”

ENDS