Manufacturing workforce demand to grow by 91,300 by 2035, plan finds

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Stock image. Image credit: tong2530/stock.adobe.com

Australia’s manufacturing workforce is projected to grow by 91,300 workers by 2035, while skills shortages continue across 12 occupations critical to the industry, according to the Manufacturing Industry Skills Alliance’s 2026 National Manufacturing Workforce Plan.

The Manufacturing Alliance, the Jobs and Skills Council for the manufacturing industry, said the sector’s workforce is expected to increase by 12.3 per cent to 831,100 workers by 2035, with most of the growth projected in trade and technical roles.

The Plan found shortages in occupations including fitters, welders and machinists remain difficult to address, with training pathways for trade and technician roles typically taking three or four years to complete. It said these shortages have implications for areas including defence, the energy transition, and food and medicines manufacturing.

Manufacturing Alliance CEO Sharon Robertson said the findings highlighted the scale of the workforce challenge facing the industry.

“Manufacturing is growing, and the roles it needs most are the ones that take the longest to train,” Robertson said.

The projected increase of 91,300 workers represents workforce growth alone and does not include additional demand resulting from retirements and workforce attrition. The Plan also found that manufacturing has an older workforce than the national average, with a median age of 42 compared with 38.

At the same time, apprenticeship participation has declined, with commencements in metal trade apprenticeships falling by more than 4 per cent in the 12 months to 31 December 2025 compared with the previous year.

The Plan identifies measures including improving attraction and apprenticeship pathways, supporting an ageing workforce, increasing workforce diversity and aligning national training with emerging skills and technologies.

The 2026 Plan is the first under a national-to-sub-sector workforce planning framework. Four further sectoral plans covering Aerospace; General Manufacturing and Engineering; Food and Beverage, Pharmaceutical and Laboratory; and Process and Light Manufacturing are scheduled across 2026 and 2027.

“Food security, defence, and the energy transition. Every one of these national priorities relies on a skilled manufacturing workforce,” Robertson said.

The Manufacturing Alliance said the Plan is intended to provide evidence for industry, training providers and government as workforce planning continues across the manufacturing sector.