We have been living with shortages since COVID appeared 18 months ago. First, it was ventilators and PPE. Then it was hand sanitiser and toilet paper. More recently, lumber. Then new vehicles. Shipping containers are now scarce. And the world’s most traded commodity, semiconductors, is currently in short supply.

But the most critical and widespread challenge facing businesses right now is the inability to hire the qualified workers they need. When businesses do not have enough employees, they must refuse potential jobs, reduce their hours, scale down operations, and at worst, permanently close. I hear every day from our member organisations —of every size and industry—that they’re facing unprecedented challenges trying to find workers to fill job openings. In industries as diverse as healthcare and hospitality, agriculture and computer software, manufacturing and construction, most businesses are finding it difficult to hire workers now; the vast majority say that it’s significantly harder than it was just five years ago.

The shortage could be partly due to reduced immigration due to pandemic-induced border closures. It might be because of the decline in outsourcing to foreign destinations during COVID. Maybe some income-substitution schemes have encouraged the less motivated to stay home. Or perhaps a significant percentage of the population is feeling uneasy about working in an office, store or restaurant due to health concerns.

Whatever the reason, businesses are having trouble finding and retaining the talent they need. This is part of the reason we started the AmCham Jobs Board for member companies to promote open positions to a qualified and interested audience that is accustomed to working with international companies. Staffing concerns was also one of the reasons we launched the Give a Vet a Go pledge, encouraging leaders to explore the benefits of hiring people who have recently separated from the military. Our Executive Search, Recruitment, and HR companies are also tackling the issue by encouraging employers to expand the pool of possible applicants through inclusion and diversity.

Although COVID has had a distinct impact on the labour market, we know that the worker shortage isn’t new. Even before the pandemic hit, there were more open jobs than unemployed individuals. Keeping the Australian economy growing will require these jobs to be filled. To fill the jobs, we need to remove barriers to entering the workforce, upskill individuals for the open positions, and re-open our borders with a sensible immigration policy. If business and government work together to grow the workforce, Australia will remain a vibrant, prosperous nation and play a leading role in the world economy for years to come.

Yours sincerely,