South Australia is stepping up its investment in skills to meet the growing demand for workers across the construction industry, with vocational education and training (VET) funding rising nearly 10 per cent in 2024, the largest allocation since records began.

According to the National Centre for Vocational Education Research (NCVER), the combined state and federal investment reached $422 million, a $36.2 million increase from 2023. Of this, South Australia’s contribution grew by 12.7 per cent, aligning with the rollout of the National Skills Agreement (NSA), a $2.3 billion joint initiative between the Australian and South Australian Governments to build a workforce ready for the future.

Building a Workforce for Construction and Infrastructure

The funding boost targets industries critical to South Australia’s economic growth, including construction, defence, infrastructure, care, and technology. For builders, it’s a strong signal that government is backing the training needed to sustain the next generation of trades and site professionals.

Construction continues to rank among the state’s highest-demand sectors, driven by housing shortages, infrastructure expansion, and major defence projects. However, many builders are still struggling to attract and retain skilled labour.

“The funding increase is not just a number, it’s a lifeline for the construction workforce,” said Blair Boyer, South Australian Minister for Education, Training and Skills. “This is a critical time for our economic future, where we must ensure the next generation is skilled and ready to participate in the biggest and most complex jobs of the future.”

Record Growth in TAFE and Apprenticeships

TAFE SA, the state’s largest training provider, saw a 14.2 per cent increase in funding, jumping from $221.6 million to $253.1 million. The additional support is expected to expand the availability of Certificate II and III construction qualifications, as well as diploma-level courses for supervisors and site managers.

Courses delivering core construction skills benefited from notable increases:

• Certificate III programs (covering trades such as carpentry, concreting, and plumbing) rose 7.1 per cent to $151 million.
• Certificate II programs, often a starting point for school-based apprentices, increased 8 per cent to $32.3 million.
• Diploma or higher-level qualifications grew 2.8 per cent to $39.4 million.

The report also noted significant investment in regional training delivery, with $72.4 million directed to regional and remote students — a one per cent increase. This is vital for addressing shortages in country areas, where builders often report months-long wait times for qualified trades.

A More Inclusive Skills Pipeline

The 2024 funding package also aims to improve access and diversity across the workforce:

• Support for Aboriginal and Torres Strait Islander students rose 3 per cent to $8.6 million.
• Funding for students with disabilities climbed 10.1 per cent to $26.5 million.
• Student assistance and wellbeing support grew to $5.7 million, up 5.6 per cent from 2023.

These figures reflect an approach that goes beyond classroom training — focusing on retention, completion, and holistic support for apprentices and trainees.

Construction Industry Reaction

Builders across South Australia have welcomed the news, viewing it as a long-awaited step toward bridging the skills gap. For many, the challenge isn’t just finding labour, it’s finding qualified labour.

“The biggest issue for our business isn’t demand, it’s manpower,” said one Adelaide-based residential builder. “You can’t build homes without bricklayers, concreters, and site managers who understand compliance and scheduling. More funding for training helps the entire ecosystem.”

The funding also provides opportunities for private and not-for-profit training providers, with $126.9 million allocated to non-government training, including community-based adult education. This allows smaller regional centres and industry groups to deliver practical, flexible programs that meet local construction needs.

Strategic Investment for Long-Term Growth

The National Skills Agreement represents a strategic alignment of federal and state priorities, ensuring training reflects real workforce demand. For the construction industry, that means a pipeline of apprentices and trainees ready to enter the field, from residential carpenters to civil infrastructure specialists.

According to Boyer, the state’s commitment is as much about economic resilience as it is about education.

“Our record investment in TAFE and vocational training is delivering the workforce we need and the skills workers deserve,” he said. “The partnership with the Australian Government ensures we’re training for the jobs that will define our future.”

The Bottom Line

With housing demand surging and major infrastructure and defence projects underway, South Australia’s construction sector stands to gain significantly from this renewed focus on skills. The additional $36.2 million in VET funding isn’t just an education initiative, it’s a workforce strategy that underpins the next decade of building.

The challenge now lies in execution, ensuring that investment translates into real-world outcomes: more apprentices, more completions, and more builders equipped to deliver the homes and infrastructure South Australia needs.

Author: TGB Editorial