Industry warns of looming Aussie tradie shortage: 'We can't keep up'

The rate at which mechanic apprentices are completing trainee programs is already at a worryingly low 49 per cent in Australia.

Mechanic apprentice Jake standing next to a car, and (right) working under the bonnet.
Mechanic apprentice Jake, from NSW, said he's likely going to drop out of the traineeship due to cost-of-living pressures. Source: Supplied

Industry experts are warning that as cost-of-living pressures continue to cripple households, young Australian tradies are moving away from apprenticeships in record numbers, in favour of higher-paying labouring jobs which require little training.

The automotive sector is already struggling to cope with shortages of workers in the industry, in particular mechanics, experts warn, with the rate at which apprentices are completing trainee programs already a worryingly low 49 per cent.

Now, with the added pressures of the rising cost of living, those in the sector warn young tradies are walking off jobs in record numbers, which could result in an even worse shortage of workers, particularly when it comes to mechanics being able to service EVs.

Speaking to Yahoo News Australia, young tradie Jake, from Mittagong in the NSW Southern Highlands, says he's most likely going to abandon his apprenticeship.

A mechanic works under the bonnet of a car.
Across the country, just 46 per cent of automotive apprenticeships are finished to completion. Source: Getty

"With the cost of fuel and other expenses there's no money left," he said. "Everything is expensive at the moment. Life is expensive now, decisions are made for me based on what I earn, over what I'd really like to do."

Jake said "I love my job and like the trade" but he simply isn't "earning enough money as an apprentice with the cost of living right now". "Amongst my friends it's hard to support ourselves on low wages and you can earn more money as a labourer," he said. "FIFO as a labourer is nearly $100,000 and I'm earning $30,000 as an apprentice right now.

"Ideally I would love to finish my trade. The salary as a qualified mechanic is really good. The problem is house prices and other dreams I have are getting more expensive by the day so to hold back for three more years makes the dream even further away."

Phil Cooksey, General Manager of Apprenticeships Are Us Ltd (ARU), said young tradies leaving apprenticeships is exacerbating the existing mechanic shortage. He said the solution shouldn't be "stinging employers already doing it tough for more money" and called for better government incentives.

"The government's looking at bringing overseas workers, but as it stands we just can't keep up," Cooksey told Yahoo. "We've already got a serious shortage going on — that's without a doubt."

According to ARU, cost-of-living pressure has resulted in a whopping 60 per cent of all automotive apprenticeships in Australia being cancelled.

Cooksey said the situation is "unfortunate" because completing an apprenticeship offers long-term benefits, including valuable qualifications, real-world experience, and highly competitive pay.

"[Automotive apprentices] are instead looking at labour sites, warehousing, loading, unloading, those labour-intensive roles that require little experience and pay more," he said. "When people finish their apprenticeship, after four years, you can be earning some really good money.

"I mean, it just goes up and up. You can start looking at post-trade, owning businesses, moving into the white collar side management of dealerships and brands and stuff like that. But they've got to stay in apprenticeships first."

Do you have a story tip? Email: newsroomau@yahoonews.com.

You can also follow us on Facebook, Instagram, TikTok, Twitter and YouTube.