Tackling staff shortages in Australia calls for a strategic approach to workforce planning. Below are practical, high-impact workforce planning strategies that can help your business close staffing gaps and build long-term workforce resilience.
Australian businesses are facing a persistent workforce shortage. According to the National Skills Commission report, 31% of employers are struggling to fill vacant roles. This challenge is driven by several interconnected factors. In many cases, roles now demand updated or highly specialised skills that employees lack. In other cases, outdated hiring practices or rigid recruitment criteria limit access to candidates who possess the required skills.
The result is a widening skills gap across various industries, including engineering, healthcare, hospitality, IT, logistics, and construction. If left unaddressed, these shortages can lead to reduced productivity, lower service quality, and declining employee morale - all of which impact a business’s ability to grow, stay competitive, and respond to shifting market needs.
7 Strategies to Address Staff Shortages
1. Enhance Recruitment and Retention Efforts
Attracting and retaining employees involves more than just competitive salaries; it's about creating an environment where employees feel valued and see a future.
● Competitive compensation and benefits: Offering salaries that align with market standards is essential, but additional benefits can set your organisation apart. Consider wellness programs, and performance bonuses. Tailoring benefits to meet the diverse needs of your workforce, such as family support or commuter perks, can enhance your appeal to potential and current employees.
● Career progression and development: Clear pathways for advancement motivate employees to invest in their roles. Implement mentorship programs, structured promotion criteria, and internal training initiatives that demonstrate your commitment to employee growth.
● Positive workplace culture: Fostering a culture of open communication, recognition, and accountability can lead to increased engagement and loyalty. Regular feedback sessions and employee recognition programs can help identify and address issues proactively.
● Strong employer branding: Use your online presence to showcase your company's values, culture, and success stories. A compelling employer brand can attract candidates who align with your mission and are more likely to contribute positively to your organisation.
2. Leverage Temporary Staffing Solutions
Temporary staffing solutions offer a flexible approach to managing workforce needs, allowing businesses to adapt to changing demands without long-term commitments. It offers:
● Flexibility: It enables you to adjust your workforce size in response to workload fluctuations, seasonal demands, or unexpected changes.
● Speed: Helps you quickly fill roles with pre-vetted, ready-to-work candidates, reducing the time and resources spent on lengthy recruitment processes.
● Reduced risk: Ensures you make high-quality hires through the thorough evaluation of candidates' fit within your organisation before making permanent hiring decisions.
● Cost efficiency: Manage expenses by avoiding long-term employment costs associated with permanent roles.
When should you consider hiring temporary staff?
● Covering staff absences, such as maternity or sick leave.
● Managing peak seasons or periods of increased workload.
● Undertaking special projects that require specific skill sets.
● Addressing delays in permanent recruitment pipelines.
See also: How to Determine When to Hire Temporary vs. Permanent Employees
3. Upskilling and Reskilling the Existing Workforce
Investing in the development of your current employees can be a strategic way to address skill shortages and enhance organisational capabilities.
● Identify skill gaps: Start by understanding where skill gaps exist within your workforce. Regular performance reviews and comprehensive skills audits can help pinpoint specific areas for improvement across teams or departments. Digital assessment tools or expert consultations can also provide deeper insights into competency gaps.
● Invest in internal training: Once gaps are identified, it’s important to provide accessible and targeted training opportunities. This might include structured learning modules, in-house workshops, or informal knowledge-sharing sessions. Micro-credentials and short certification programs can offer high-impact learning without requiring significant time or financial investment.
● Collaborate with external partners: Partnering with external organisations such as Technical and Further Education institutions (TAFEs), Registered Training Organisations (RTOs), universities, or industry bodies can expand your training capacity and provide access to specialised expertise. These collaborations can ensure your workforce gains industry-recognised qualifications. In addition, businesses should consider government-funded programs like JobTrainer or Skills Checkpoint, which offer financial support for employee training and reskilling.
● Promote continuous learning: Encourage employees to pursue professional development by supporting flexible learning pathways and recognising individual efforts. Offering incentives for completing training or acquiring new skills can further motivate staff and align personal growth with organisational goals.
4. Embrace Flexible Work Arrangements
Providing flexibility in how, when, and where people work can help businesses attract and retain a more diverse and engaged workforce.
● Offer remote or hybrid options: Where possible, introduce part-remote or fully-remote roles. Hiring for remote or hybrid work models ensures you’re able to reach candidates who may not be able to commute regularly or relocate.
● Implement flexible scheduling: Flexibility in hours, such as compressed workweeks, flexible start/finish times, or staggered shifts, can help employees better manage personal responsibilities like childcare, eldercare, or ongoing education. It also shows a willingness to support work-life balance.
● Consider job sharing and part-time roles: These arrangements can make roles accessible to skilled workers who can’t commit to full-time hours, such as returning parents, university students, or semi-retired professionals.
● Use flexibility as a retention tool: A flexible work environment can increase job satisfaction, reduce burnout, and improve loyalty. When employees feel trusted and supported, they’re more likely to stay long-term and contribute meaningfully to the organisation.
5. Streamline Recruitment Processes
A lengthy or outdated hiring process can cause businesses to miss out on top candidates. Simplifying and modernising recruitment workflows helps improve the candidate experience and accelerates hiring.
● Use modern hiring tools: Applicant Tracking Systems (ATS) like JobAdder, Bullhorn, or SmartRecruiters can automate tasks like screening and scheduling, reducing manual work and improving efficiency.
● Simplify application steps: Long or overly complex application forms can discourage qualified applicants. Streamlined, mobile-friendly applications can increase completion rates and widen your candidate pool.
● Conduct structured, inclusive interviews: Using consistent questions and scoring rubrics helps ensure fair assessments and reduce unconscious bias. This leads to better-quality hires and a more equitable process.
● Shorten time-to-hire: Delays in recruitment often result in strong candidates accepting other offers. Pre-scheduling interview blocks and maintaining a shortlist of pre-screened candidates can help you move faster.
See also: How Recruitment Agencies Can Streamline Your Hiring Process
6. Expand Talent Pools
Many employers limit their hiring reach by sticking to the same channels or criteria. Broadening your approach can uncover high-quality candidates who are often overlooked.
● Engage underrepresented groups: Consider mature-aged workers, return-to-work parents, people with disabilities, Indigenous Australians, or refugees. These groups often bring resilience, loyalty, and fresh perspectives to teams.
● Tap into skilled migration programs: For roles with limited local talent, sponsoring skilled migrants or using temporary skilled visa pathways can provide access to qualified professionals. Recruitment agencies can assist with compliance and documentation.
● Revisit strong past applicants: “Silver medal” candidates who previously made it far in your hiring process may still be a great fit. Reaching out to them can save time and effort compared to starting from scratch.
● Partner with diversity-focused organisations: Working with programs and community organisations that support inclusive employment can connect you to valuable candidates while reinforcing your commitment to equitable hiring.
7. Partner with Specialised Recruitment Agencies
Working with a recruitment agency can save time, reduce hiring costs, and provide access to a wider pool of qualified candidates, especially when internal resources are stretched.
● Save time and resources: Agencies handle the time-consuming tasks of sourcing, screening, and shortlisting candidates. This allows your team to focus on core operations while still filling roles quickly.
● Access to hidden talent: Recruitment firms often have networks that include passive candidates, those who aren’t actively job-hunting but may be open to the right opportunity. This can significantly widen your reach.
● Get industry-specific support: Agencies like WellsGray tailor recruitment strategies based on your business size, industry, and specific needs. Their consultants focus on skills and cultural fit to ensure long-term success.
● Fill temp and permanent roles: Whether you need immediate short-term cover or are hiring for growth, specialised agencies can deliver flexible solutions to match shifting demands.
● Ongoing partnership benefits: The right recruitment partner can support onboarding, follow up on performance, and even replace a hire if things don’t work out. Long-term partnerships also help agencies better understand your culture, which improves future hiring outcomes.
See also: Why Outsourcing Staffing is a Smart Move for Modern Employers
Addressing Staff Shortages Starts with the Right Strategy
Staff shortages in Australia are a growing challenge, but they’re not impossible to solve. Whether you’re a small business or an established enterprise, now is the time to act. By refining your hiring practices, improving employee retention, or exploring flexible options like hiring temporary staff, you can overcome staff shortages and position your business for long-term growth.
If you're wondering how to find staff in Australia, the key lies in smarter recruitment and tapping into new hiring methods. Working with trusted recruitment agencies in Melbourne, such as WellsGray, can save you time and connect you with the right talent quickly.
Looking for practical, cost-effective ways to overcome staffing challenges? Partner with WellsGray for temporary staff or permanent staff that meets your business needs. Contact us today!
