The latest Trades Report by the Housing Industry Association shows that 9 out of 13 trades in the industry are in moderate undersupply.
Ranked at the top of the list, bricklaying is measured at -0.82 on the Association’s index, showing a significant shortage in the business. The scores range from +2 to -2, scores between 0 and +1 represent a modest oversupply of the trade and the scores between + and -1 represent a modest undersupply.
Finish trades, such as ceramic tiling at 0.56 and plastering at 0.44, also saw significant shortages. Other evident shortages include roofing, general building, joinery and painting.
On the other hand, oversupplies are found in electrical, landscaping, plumbing and site preparation.
Shortages are evident everywhere except for Perth and Western Australia. Sydney and regional South Australia witnessed a level of -0.50 and -0.41 shortage.
With the rising levels of new home build activity in eastern states, more pressure is put on the supply of residential tradespeople.
The trade pricing is being pushed upwards due to a labour shortage, but the price growth remains steady. The trade prices have increased by 2.7 per cent last year, with significant increases in other trades and joinery.
Despite the slow-down of building approval data, the surge of the houses and apartments approved for construction suggests that home building activity remains strong.
Data from the National Centre for Vocational Education Research suggests that, between June 2014 and June 2016, the number of construction trade apprentices in training increased from 43,200 to 50,800. However, the shortage problem has not been addressed completely.