Australia’s construction sector is booming.
If the skylines of the eastern capitals weren’t enough to convince you, then the chart below certainly will.
Courtesy of job search website Seek.com.au, it shows the enormous growth in construction jobs over the past 12 months.
Some of the percentage increases are huge, rising faster than the high-rise towers popping up all over inner city areas of Sydney, Melbourne and Brisbane.
And that’s even before a lift in public sector infrastructure kicks in, something that will no doubt add to demand for labour in the sector in the years ahead.
In absolute terms, construction jobs jumped by 13% in October compared to a year earlier, more than triple the increase recorded in total advertisements.
Seek says that the increase was led by New South Wales and Victoria, and was primarily for apartment construction.
“The states with the highest number of Construction job opportunities on SEEK this October were New South Wales [NSW] and Victoria [VIC], with job ads up 16% year on year [y/y] and 25% y/y respectively,” said Michael Ilczynski, managing director for SEEK Australia and New Zealand.
“Helping drive this advertising uplift in both states are high levels of residential apartment construction.
“Behind NSW and VIC, the next top state for construction opportunities on SEEK is Queensland, with job ads rising 19% y/y,” he said.
It’s little wonder that there’s been a lift in demand for construction workers.
According to estimates from RLB, there were more cranes in use for apartment construction in Sydney, Melbourne and Brisbane (454) than there were in New York, Boston, Chicago, San Francisco, Los Angeles, Toronto and Calgary combined (419) during the September quarter.
While this has raised concerns from the RBA and others that overbuilding may be occurring, potentially laying the foundation for a bust in the years ahead, for the moment there’s little doubt that’s it’s creating a significant number of jobs at at time when employment growth in Australia is slowing.