Manufacturing workforce projected to reach 831,100
Australia’s manufacturing workforce is projected to grow by an additional 91,300 workers by 2035, even as 12 occupations critical to the sector remain on the national occupation shortage list.
The 2026 National Manufacturing Workforce Plan, released on 17 September by the Manufacturing Industry Skills Alliance, forecasts the workforce across the covered manufacturing sectors will rise 12.3% to 831,100 workers by 2035.
Most of that growth is expected in trade and technical roles. The plan also points to significant growth in higher-skilled occupations, including engineering professionals.
However, the projected increase of 91,300 covers workforce growth only. It does not include extra demand created by retirements and workforce attrition over the next decade.
Trade and technician shortages have remained hard to fill because training for many of those jobs takes three or four years. Shortfalls in fitters, welders and machinists affect more than factory output, with flow-on effects for defence capability, the energy transition, and the expansion of Australia’s food and medicines manufacturing sectors.
Metal trade apprenticeships fall
At the same time, fewer people are entering key training pathways. In the 12 months to 31 December 2025, commencements in metal trade apprenticeships fell by more than 4% from the previous year.
Manufacturing also relies heavily on apprenticeships, yet the workforce is older than the national average. The sector’s median age is 42, compared with 38 across the broader workforce, which means future retirements will add to hiring pressure.
Manufacturing Industry Skills Alliance chief executive Sharon Robertson said the plan showed the scale of the challenge facing the industry. “Manufacturing is growing, and the roles it needs most are the ones that take the longest to train. Twelve occupations critical to this industry are in national shortage, and those shortages have proven persistent.”
According to the alliance, the plan examines several responses to those workforce pressures. They include improving attraction and apprenticeship pathways, supporting an ageing workforce, increasing workforce diversity, and making sure national training keeps pace with new and emerging skills and technology.
This is the first plan in a national-to-sub-sector series. Four sectoral plans will follow across 2026 and 2027, covering aerospace; general manufacturing and engineering; food and beverage, pharmaceutical and laboratory; and process and light manufacturing.
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