A recently released report has raised concerns that the downturn in new home building will have a negative impact on construction jobs. However the continued growth in both commercial building and civil infrastructure have the potential to bolster the residential sector in the not too distant future.

The Australian Construction Industry Forum (ACIF) released the latest edition of its Construction Market Outlook, which reported that 23,800 building and construction jobs could disappear in the current financial year, following previous activity declines of 8.2 percent in 2018/19.

The main cause of this decrease, according to the ACIF, is the decline in the real-estate market. And while it has shown improvements, it will take time for this downturn to fully play out in construction markets due to the time required to restore approval numbers, secure land and commence new projects.

Despite this however, there is continued growth within civil engineering construction and commercial building, which have seen an increase in activity of 6.2 percent and 2.4 percent respectively. In fact, the commercial sector is mid-way through an upcycle that is expected to see activity peak at $45.3 billion in 2021/22 amid healthy levels of investment in hotels and accommodation, industrial, office, education and defence.

Further to this, the continued investment and development of transport hubs within Australia’s major cities will provide strong crossover for professionals within the commercial and housing construction sectors. One example of this is the NSW’s government’s $20 billion metro rail line, which developer Urban Taskforce says has the potential to unlock “tens of billions of dollars” in housing development.

At the end of October, the locations for seven new railways stations were announced as part of the Sydney Metro West project. Once developed these areas are expected to undergo major residential and commercial growth that will require a large workforce to complete the works.

Transport minister Andrew Constance estimated that construction of the Sydney Metro West would create around 10,000 direct and 70,000 indirect jobs.

“It is absolutely critical that this massive investment in transport infrastructure and capacity building is complemented by plans for appropriate development around the new railway stations, in addition to existing rail and metro stations,” Johnson said in a statement.

Furthermore, not all is lost for employees whose main skills lie within residential construction, with demand for skilled workers, particularly those with experience in finishing trades, still high in commercial work.

Projects such as Brisbane’s $3.6 billion Queens Wharf project, which will transform the CBD with four new luxury hotels, more than 50 new bars and restaurants, 2,000 residential apartments and by the time the core development is expected to open in late-2022, the precinct will collectively provide more than 12 football fields of public space. This offers the potential for a skilled labour force to adapt to changing industry demands, encouraging them to upskill and transfer their abilities from one sector to another.

If you are looking for a job within the engineering, building and construction industry, or are looking to transition from one to the other, contact us today and one of our experienced consultants can assist in finding the right job for you.