Western Australia’s resources and energy industry is set to experience significant growth, with a projected need for at least 11,000 new workers by the end of 2029, according to a new report released by the Australian Resources & Energy Employer Association (AREEA).
The Resources and Energy Workforce Forecast: 2024-2029 report outlines the estimated labour requirements for new, expanding, and restarting mining and oil and gas projects expected to commence production by December 2029.
The forecast is based on modelling using Department of Industry project data.
Western Australia leads the nation with 48 projects in its investment pipeline, accounting for 40 per cent of the projected national workforce growth in the resources and energy sector over the next five years.
AREEA CEO Steve Knott AM highlighted the state’s continued role as the “powerhouse of Australia’s resources and energy industry”.
However, the sector faces challenges.
In the year leading up to May 2024, the industry experienced a significant workforce reduction, losing 35,300 workers nationally, with the majority (31,000) from Western Australia.
The state’s resources and energy workforce currently stands at 144,900, marking a 17.6 per cent decrease from 175,900 in May 2023 and the lowest level since 2021.
Despite these setbacks, Western Australia’s project pipeline remains diverse and promising.
Eleven energy projects, including gas, LNG, and oil, are driving $55.7 billion in investment over the next five years, representing 66 per cent of the total investment.
The mining sector also shows strong potential.
Iron ore projects are expected to create demand for 2,095 workers by the end of 2026, while gold projects could require nearly 1,700 new workers by the end of 2027.
Critical minerals, including lithium and rare earths, continue to support a buoyant labour market, with 14 projects potentially requiring around 1,970 workers.
Knott emphasised the crucial role of the resources and energy sector in Australia’s economy, noting that iron ore, coal, and gas helped the country achieve record export earnings of $466 billion in the year to June 2023.
As the industry prepares for this projected growth, addressing workforce challenges and ensuring a stable regulatory environment will be crucial for Western Australia to fully capitalise on its resource potential and maintain its position as a leader in the global resources and energy sector.
