Australia’s resources sector set to create 27,000 jobs by 2029
Mining commodities continue to be a significant driver of employment, with projects focusing on coal, iron ore, gold, and critical minerals leading the way, a AREEA report has found.
A new report from the Australian Resources & Energy Employer Association (AREEA) has highlighted the strong potential for job creation in the mining and energy sector over the next five years, as detailed in its latest report. The Resources and Energy Workforce Forecast: 2024-2029 identifies over 100 major new projects, which are expected to generate nearly 27,000 jobs across Australia by 2029.
The report outlines that 107 advanced resources and energy projects are set to begin production between the second half of 2024 and the end of 2029. These ventures, collectively worth approximately $131 billion, are forecast to create around 26,810 new roles in production.
Coal is expected to see 13 projects requiring 4,836 workers, iron ore eight projects needing 4,495 workers, gold 13 projects supporting 2,830 roles, and critical minerals 14 projects adding 3,078 jobs. Additionally, the energy sector is forecasted to create 3,410 jobs by 2029 through 19 projects, reflecting an ongoing boom in energy investments.
"Iron ore, coal, and gas saw Australia’s export earnings reach a record $466 billion in the year to June 2023," AREEA Chief Executive Steve Knott said. "The industry also contributes over $70bn annually in taxes and royalties – and there is a great opportunity for this to increase."
However, Knott warned that new regulatory hurdles, particularly in project approvals and workplace relations, could harm investment and job growth. He pointed to the recent challenges faced by the McPhillamys gold mine in New South Wales and several LNG projects as examples of regulatory delays.
In terms of regional contributions, Western Australia continues to be a dominant force in the sector, despite recent workforce declines. WA’s direct employment in the resources sector fell by 31,000 from May 2023, reflecting a 17.6% decrease. However, the state still leads in project activity, with 48 major projects forecast to bring 11,065 jobs by 2029.
Meanwhile, New South Wales has become an increasingly attractive destination for investment. The report projects 18 new projects in NSW, creating an estimated 5,152 jobs by 2029. In contrast, Queensland’s investment appeal appears to be waning, with only 3,527 jobs expected, down from 4,470 last year and 5,560 in 2022. Knott attributed this to policy changes, including Queensland’s recent coal royalty hikes, which, according to the report, have reduced investor confidence.
Overall, the report suggests that while Australia remains an appealing destination for resources and energy investment, maintaining this momentum will require favourable government policies and streamlined regulatory processes.
