Master Builders ACT CEO Anna Neelagama says the ACT won’t have enough workers to meet housing targets. Photo: Master Builders ACT.
Master Builders ACT is calling for an increase in migration to bolster the Territory’s building and construction workforce and plug skills gaps.
In its 2026-2027 Budget submission, Master Builders ACT urges the ACT Government to use existing migration levers, particularly the ACT’s use of Territory Nomination under the Subclass 190 and 491 visa programs to bring more overseas workers to the national capital.
Designed to respond to skill shortages, the Subclass 190 and 491 visa programs allow states and territories to nominate skilled migrants for permanent residency and provisional visas.
It is a competitive process involving submitting an Expression of Interest (EOI) and meeting the specific eligibility criteria set by the nominating state or territory.
The submission also calls for faster and simpler recognition of skills and qualifications obtained overseas.
“The costs and complexity associated with skills recognition for overseas-trained workers further illustrate how workforce participation can be delayed, even where demand is clearly established,” it says.
The submission says that, according to Infrastructure Australia, the construction industry would need to double within two years to meet industry demand.
BuildSkills Australia estimates an additional 116,000 workers are required to meet housing demand.
In the ACT, there is a shortage across all 26 construction trades, reflected in the ACT sector’s low unemployment of just 0.14 per cent in November 2024.
Master Builders ACT CEO Anna Neelagama said a BuildSkills Australia study showed an anticipated shortage of more than 7600 construction workers in the ACT alone for 2026 to deliver on local housing and infrastructure projects.
“BuildSkills data also shows a declining number of apprentices-in-training and apprenticeship commencements in the ACT,” she said.
“While this shortfall is expected to narrow in the out years, there will still be at least 3400 more workers required in later years, assuming that no new infrastructure or major housing projects are started in that period.”
Ms Neelagama said such a worker shortfall would make it difficult for the ACT Government to deliver on its ambitious housing and infrastructure priorities.
“We simply won’t have enough apprentices (or employers to train them) to reach this required number in this timeframe,” she said.
The submission also calls on the government to boost support for training by diversifying access to “fee-free” training for industry-aligned, reputable RTOs, including Master Builders own training arm, which can no longer deliver high-risk courses due to the broader contraction in construction activity.
“The loss of local training capacity threatens the long-term delivery of ACT’s ambitious infrastructure program and the ability to deliver on the ACT Government’s aim of 30,000 additional homes by 2030, as the industry struggles with low apprenticeship commencements and a dwindling local talent pool,” the submission says.
It also wants the government to fund a campaign for Master Builders ACT to promote trades apprenticeships, including providing resources for school career advisers and for parents to help them understand and support their children in pursuing construction careers.
The submission says workforce shortages are compounding problems in the building and construction sector, with industry conditions now demonstrably worse than during the COVID-19 pandemic.
“A combination of rigid progress payment models, low deposit caps for construction projects and an increasingly complex regulatory environment combine to create a sector that has low resilience when faced with challenging financial circumstances,” it says.
The submission calls for a review of the ACT’s tax settings to boost construction activity, including the Lease variation Charge and payroll tax.
It says the current LVC settings make it difficult for missing-middle projects in infill areas to be viable.
The Suburban Land Agency continues to lag in its land release program, and the submission urges the government to resource it adequately so it can accelerate the supply of new land available for housing and industry.
The submission also seeks a speedier approvals process, a pause in implementing the 2025 National Construction Code requirements and greater local participation in large civil construction projects.
