Australia’s minerals industry is calling for reforms to the country’s skilled migration system to help address a deepening workforce shortage that threatens future growth and competitiveness.

The Minerals Council of Australia (MCA) has outlined a series of proposed policy changes in a submission to the Joint Standing Committee on Migration’s inquiry into the value of skilled migration to Australia, including fast-tracking permanent residency for in-demand global talent, reducing processing delays and accelerating licensing.

MCA CEO Tania Constable warned that the sector was facing a skills shortfall at a time of rising global demand for critical and bulk commodities.

“Mining is facing a workforce crunch as demand for talent intensifies while nearly half of mining engineers are expected to retire within the next decade, yet hundreds of foreign engineers living in Australia are forced to drive Ubers or accept other work below their level of expertise for a living,” Constable said.

She said the industry’s ability to support the energy transition, defence supply chains and economic development was at risk if labour constraints were not addressed.

“Employing Australians will always be the first priority of the minerals industry,” Constable said.

“The industry provides more than 290 000 direct jobs and also creates jobs through supply chains and related industries – totalling around 1.25-million jobs in direct and indirect jobs across the country – with projections indicating up to 35 400 jobs are to be added by 2028.”

Constable said the sector continued to invest in domestic skills development through vocational education and training, apprenticeships, traineeships and targeted upskilling programmes.

Apprentices and trainees have accounted for about 4.4% of the mining workforce over the past 15 years, with nearly 11 000 currently in training.

However, she said skilled migration remained essential in meeting urgent workforce needs.

“At the same time, skilled migration fills urgent workforce needs, complements domestic training and supports long-term growth,” Constable said.

“Without skilled migration, mining labour shortages especially in critical and hard-to-fill specialised roles would put project timelines, export earnings, and the broader national economy at risk.”

Constable noted that competition for skilled workers was intensifying across multiple sectors, including infrastructure, low-emissions energy, defence, advanced manufacturing, AI and cybersecurity, as well as major projects such as the 2032 Brisbane Olympics.

She added that Australian mining companies were struggling to fill key technical positions, including mining, geotechnical and processing engineers, metallurgists, geologists, electricians, mine surveyors, diesel fitters and drillers.

“While Australia’s skilled migration intake is intended to align with industry needs, responsiveness is weakened by slow updates, credential barriers, and settlement constraints,” Constable said.

“Australia’s mining, clean energy and technology sectors are all frustrated and impeded by these weaknesses, as their demand for specialised skills is growing faster than migration pathways can adapt.”

Although skilled migrants represent only 1.24% of the Australian minerals workforce, their contribution has grown significantly in recent years.

Since June 2020, the number of skilled migrants in the sector has risen by 122%, from 1 700 in 2020 to 3 880 in 2025, with average remuneration of $149 600 – the highest of any industry.

In its submission, the MCA proposed several measures to strengthen the skilled migration framework, including aligning intake with verified industry needs, streamlining pathways to permanent residency, cutting administrative delays and improving credential recognition.

The council also called for greater flexibility for states and territories through regional compacts, enhanced settlement support, and accelerated licensing and assessment processes in partnership with professional regulators.

In addition, it urged the creation of faster permanent residency pathways for skills critical to national priorities, including those linked to critical minerals development, clean energy and net-zero targets.

“The lesson for Australia is clear: a more agile and targeted skilled migration system will secure the skills that drive innovation, lift productivity and reinforce the nation’s position in the global economy, particularly in mining where leadership is critical to long-term prosperity,” Constable said.