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Quick Facts about the Construction Industry

Have you ever looked at your home town from an aerial shot? No? Well quickly go to Google Maps and find your home town. Zoom out until you can see a vast amount of houses and roads. That town would not be there if it was not for the construction industry. The construction industry is responsible for providing homes, office buildings, schools, hospitals, roads, waterways, electricity, telecommunications, plumbing, sewerage systems, sports fields and the list continues.

Construction is also the longest operating industry. Its history dates back to the first timber and stone huts ever built, the first outdoor toilet dug out, the first city developed, the first pyramids to the first concrete and tar roads. The industry continues to grow as it caters to eco-friendly and sustainable living. The sky is literally the limit with this amazing and much needed industry.

Construction is the most important industry in Australia and is an integral part of the economy. Property, design, construction and facilities management account for 14% of Australia’s GDP. The industry employs over 860,000 people and is supported mostly by small to medium-sized enterprises. (Source: CRC Construction Industry) Growth is expected to continue as the population increases from both new births and emigrations which will place a demand on new structures and more homes.

The resource industry is also creating significant work for the construction sector. With new mines and offshore construction in the oil and gas sector, construction jobs in Australia are exploding.

Segments of the Construction Industry

The construction industry can be divided into three main segments. According to the United States Bureau of Labor Statistics;

“The construction of buildings segment includes contractors, usually called general contractors, who build residential, industrial, commercial, and other buildings. Heavy and civil engineering construction contractors build sewers, roads, highways, bridges, tunnels, and other projects related to our Nation’s infrastructure. Specialty trade contractors perform specialized activities related to all types of construction such as carpentry, painting, plumbing, and electrical work.”

Future of Construction

There have been some reports stating that the construction industry is “flat” or is “falling” but what these reports tend to forget is that each state and territory has their own set of construction activities with estimated build statistics rising above or falling beneath the norm due to differing trends and circumstances.

For example, in Western Australia and Queensland, construction work has risen in four and eight quarters respectively which is due to greater work prospects in the mining, oil and gas and energy sectors. The Northern Territory, New South Wales and Victoria have experienced a rise too.

Dig Deeper: Read our blog posts about the outlook for construction jobs
  • Jobseekers, Do You Know Where Your Skills are Needed?
  • Which Construction Jobs are in Highest Demand?
  • Women in the Resource and Construction Industries
As the population increases so too will the demand for more facilities and an increase in remodelling, decommissioning and rebuilding will eventuate.

Did You Know?

  • The National Association of Women in Construction (NAWIC) has grown to include more than 8000 organisations. While the number of women working in construction is still significantly low there are now numerous initiatives being introduced to encourage women to enter into a career in the construction industry. NAWIC is part of the Australian Women in Resources Alliance (AWRA).
  • The average age of a construction employee is 40. An increase in training is needed across the industry.
  • The need for apprenticeship programs has increased to encourage youths to join various areas within the construction industry. For more information about apprenticeships, visit our Training and Development section.
  • “Green Construction” is on the rise as more businesses focus on eco-living and reducing their carbon footprint.

Summary

The construction industry is needed across the board, as it caters to residential, commercial and industrial needs and requirements. Job prospects in the construction industry increasing in the mining, oil and gas and energy sectors.

The trend to more sustainable living has overflowed into the construction industry giving rise to more “green” builders and products.

Small to medium-sized enterprises form the backbone of the construction industry making it one of the most important industries to the Australian economy.

Visit our Construction and Allied Services page for more information about construction in the resource industry.
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