Australia’s construction industry is warning that a shrinking pool of apprentices could make it harder to deliver the federal government’s plan to build 1.2 million homes over the next five years.

The warning comes as industry bodies push for changes to migration and training rules to bring more workers into the building sector, including allowing international students to undertake apprenticeships.

The number of construction apprentices in training fell 6.7 per cent last year to 59,355, according to industry figures. The decline was particularly pronounced among carpenters and joiners, where apprentice numbers dropped 8.3 per cent.

Plumbing apprentices fell 2.5 per cent, while electrical apprenticeships declined 1.5 per cent.

The falling numbers are raising concerns about whether Australia can build its planned housing supply without a significant increase in the construction workforce.

The Housing Industry Association estimates the country will need an additional 83,000 skilled tradespeople over the next five years to meet the government’s housing target.

It says the shortage is already increasing construction labour costs. The cost of hiring electricians rose 9 per cent in the 12 months to June last year, while labour costs for carpentry and roofing increased by 6 per cent.

HIA has called for international students to be given access to apprenticeships in construction trades including plumbing, electrical work, carpentry, bricklaying and tiling.

It has also proposed a pilot scheme allowing overseas apprentices to train and work in industries or regions experiencing acute shortages.

Master Builders Australia has backed the broader push, calling for a dedicated visa pathway for international students who want to undertake trade apprenticeships.

The organisation also wants vocational construction qualifications, including Certificate III courses and above, to receive post-study work rights similar to those available to university graduates.

Master Builders has separately proposed a dedicated construction skills visa and changes to the Pacific Australia Labour Mobility program to allow workers to take up some entry-level and non-licensed construction roles.

The proposals come at a politically sensitive time for Australia’s migration system, with about 680,000 international students already in the country and the federal government under pressure to manage migration levels.

Industry groups argue, however, that migration is only one part of the workforce problem.

The Electrical Trades Union has supported skilled migration while warning that overseas workers must not be used to suppress wages, displace Australian apprentices or create opportunities for visa exploitation.

The union has proposed strengthening the domestic training pipeline by requiring employers to take on at least one apprentice for every three qualified tradespeople under collective agreements.

The federal government is also attempting to encourage more young Australians into vocational careers.

Skills and Training Minister Andrew Giles has urged school students to consider apprenticeships and pointed to free TAFE and pre-apprenticeship programs as ways of expanding the domestic workforce.

Almost 20,000 teenagers enrolled in school-based apprenticeships last year, allowing them to begin trade training while completing secondary school.

Programs such as those offered by Industry School in Queensland combine secondary education with TAFE and workplace training. The private provider has about 1250 students across six Queensland campuses and plans to expand into Melbourne next year.

The construction industry says initiatives such as these will be important, but argues they may not produce workers quickly enough to meet the immediate demand created by Australia’s housing ambitions.

The government is therefore facing a difficult balancing act: increasing the supply of skilled tradespeople quickly enough to support housing construction while ensuring migration does not weaken wages, domestic apprenticeship opportunities or training standards.