Skills crunch threatens state’s resource sector

A shortage of skilled workers is the No.1 threat to the future viability of Queensland’s resources sector, according to a survey of mining bosses. The latest State of the Sector report shows a combination of COVID-related border restrictions, less skilled migration and interstate competition for workers has created a perfect storm of labour shortages at a time of continued growth across the sector. Queensland Resources Council chief executive Ian Macfarlane said mining leaders had become increasingly concerned over the past 12 months about attracting and retaining enough skilled employees to support industry growth. The issue had jumped from No.12 on the list to No.1 in the latest CEO sentiment survey, he said. “The number of jobs in our sector in Queensland has increased by more than two-thirds over the past five years to reach a record high of almost 85,000 earlier this year,” Mr Macfarlane said. “This growth in resources jobs, which has surged since COVID, is around six times the relative growth experienced across the rest of Queensland’s workforce over the same five-year period. “Looking forward, jobs growth over the next five years is likely to continue due to increasing global demand for traditional resources like coal, base metals and gas plus the growing demand for new economy minerals such as cobalt, graphite, vanadium and rare earths which are being used to build everything from microchips to electric vehicles." “This demand will create a growing and increasingly diverse pipeline of jobs for Queenslanders, with the National Skills Commission projecting employment in our sector will grow by a further 8 percent to 2025.” According to the latest SEEK employment data, there are currently more than 1300 resources jobs on offer in Queensland, with more than 70 per cent paying upwards of $100,000 per year. And the Minerals Council of Australia’s Commodity Demand Outlook 2030 report forecast increased demand for key Queensland commodities out to 2030. “This is supported by Queensland Treasury’s most recent forward estimates that show coal export volumes are predicted to rise by 23 percent out to 2024-25,” Mr Macfarlane said. “Treasury is also anticipating a broadening of the resources sector due to increasing demand for Queensland’s critical minerals and rare earths used in the production of emerging technologies.” Mr Macfarlane said mining CEOs identified as their second biggest concern the challenges associated with demonstrating a company’s social licence to operate, followed by problems dealing with uncertain or poor government regulation. He said the State Government’s 30-year Queensland Resources Industry Development Plan, currently in the planning phase, would be vital to identify opportunities for growth in a thriving resources sector. “Industry is looking forward to providing feedback on a draft of the plan in the coming weeks and month,” he said.

Skills crunch threatens state’s resource sector

Industry Queensland

Related News

Site works ramping up at Burdekin Falls Dam

More insolvency cases recorded, most in construction

Q3 turnaround for BHP on its Bowen Basin coal sites

Get access to breaking mining news, now.