Western Australia housing industry proposes $20,000 worth of incentives to lure tradies to the state

Foreign tradesmen are being offered free flights, cheap rent and no stamp duty in a radical plan to lure overseas workers to live in Western Australia and build houses. 

Overseas workers will be offered free flights, a $10,000 rental subsidy and to have stamp duty waived if they purchase a home in the state, in a proposed letter sent to Premier Mark McGowan by the Housing Industry Association in October. 

The incentives are designed to help Western Australia avoid a housing shortage as the state projects a shortfall of between 28,000 to 85,000 homes in four years. 

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International tradies are being offered free flights, a $10,000 rental subsidy and to have their stamp duty waved to build and live in Western Australia (pictured, suburban homes/rooftops in Perth, Western Australia)

The Housing Industry Association (HIA) is pushing for visa applications to be outsourced so that qualified construction workers can bypass a massive Covid pandemic backlog. 

The association is also advocating for the state to allow eligible tradies to apply for permanent residency after three years in the country – as opposed to four years. 

In the letter, which was obtained by The West Australian, HIA Western Australian Executive Director Michael McGowan wrote that residential construction had decreased from 20,000 homes to 13,610 in the year prior to Covid-19. 

He added homebuilding grants provided by the state and the Federal Government during the pandemic then created a mini-boom in the construction sector, with 23,640 homes being built in 2020-21 but the industry struggling to meet the demand for labour. 

The state’s booming resources sector, which saw mining companies add over 9,000  full-time employees in 12 months, also suffered as overseas labourers were shut out of the state by strict border closures. 

‘Western Australian job vacancies are already at record highs . . . and with participation rates also at record levels, immigration will be critical to addressing skills shortages,’ Mr McGowan wrote.

‘However, with housing vacancy at record lows, boosting housing supply will be critical in enabling the State to accommodate the required skilled immigration.’

The state’s residential construction sector struggled during the Covid-19 pandemic as closed borders meant overseas tradies could not work while the state experienced a spike in construction after the government offered Australians grants to build a home (stock image)

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In order to avoid the housing shortage, Mr McGowan noted, the construction sector must lift to 20,000 to 30,000 homes per year and up to 15,000 skilled workers will be needed.

Housing Industry Association Executive Director Michal McGowan (pictured) said the incentives would attract workers to the state amid a competitive global market 

‘HIA, along with other key industry groups, believes it is critical for the Government to move now to establish the workforce necessary to meet this housing need,’ Mr McGowan wrote. 

The HIA boss said the proposed incentives, which total roughly $20,000 per tradie moving to Western Australia, would help the state in a competitive global market.

‘Metro and regional housing continues to be a restraint on WA growing to meet its potential, especially with growth predicted in the resources and energy industries,’ he said 

‘We will continue to work with the government to find ways to attract workers to WA in a very competitive global market for construction skills.’