KPMG analysis finds Australian “manufacturing renaissance” 

According to a new analysis of jobs data by economists at professional services firm KPMG, there was a “manufacturing renaissance” between 2014 and 2024, with employment growing 9.1 per cent overall.

A statement from the company on Thursday said the workforce in “overall manufacturing occupational groups” grew from 779,800 to 851,000 in the period.

The numbers crunched come from ATO returns, Census employment data, Australian Bureau of Statistics Labour Force Surveys, and Jobs & Skills Australia NERO data sets.

KPMG Urban Economist, Terry Rawnsley, said improvements in jobs numbers started in 2018, followed by “another surge” more recently. 

The “supply chain shocks of COVID-19 and broader geopolitical uncertainty” were seeing “businesses rethink the way they manufacture products, bringing some aspects of their manufacturing process back to Australian shores”, Rawnsley added.

The Supply Chain Support category of jobs in manufacturing (Supply & Distribution Managers, Purchasing & Supply Logistics Clerks, and Product Quality Controllers) were the biggest beneficiary from the shift, growing 23.5 per cent.

Other categories to grow included Metal Manufacturing (up 5.9 per cent to 145,600 workers), Food Manufacturing (up 6.4 per cent) and Wood Manufacturing (up 17.4 per cent.)

Assembly grew slightly, by 1,600 workers, “likely due to increased automation” and Print Manufacturing occupations fell 23.0 per cent, “aligning with the shift towards digital media”, with Fabric manufacturing occupations also dropping sharply, by 17.1 per cent.

“These trends highlight the evolving landscape of the manufacturing sector, with areas of both growth and decline,” added Rawnsley. 

“The data underscores the importance of adapting to technological advancements and market demands to sustain and enhance the manufacturing workforce,”

More on the analysis can be read here.

Picture: credit Australian Department of Defence