Six-figure salaries and $10,000 sign-up bonuses being offered as miners seek 2,000 young employees

The Australian mining sector faces an ‘unprecedented’ shortage of workers and has responded by offering outrageous salaries and bonuses to attract talent.

In Queensland auto electricians can start at about $140,000, while a number of roles, such as metallurgist, automation engineer, apprentice heavy diesel engine and geologist, all have between $100,000 and $130,000.

The staff shortage has led some companies, such as mining services company Thiess, to offer a $10,000 signup bonus and a $5,000 bonus for a successful referral.

Steve Knott, Chief Executive of the Australian Resources and Energy Employer Association, told the Daily Mail Australia that the skills shortage in the mining industry is ‘unprecedented’.

“Overwhelmingly, the biggest problem facing mining, oil and gas and supply chain companies is getting the people they need to do the job,” Mr Knott said.

This is caused by a range of factors, including the disruption of the COVID-19 pandemic and continued high levels of growth in all commodity areas.

“Market demand has pushed base wages up to extraordinary levels and companies are also paying huge signup and retention and loyalty bonuses to try to attract and retain people.”

Recently released data from the Australian Bureau of Statistics (ABS) shows that the mining sector has the highest average full-time income, at around $140,000 per year.

The Queensland Resources Council noted that of the 2007 mining jobs advertised last week on the employment website seek.com.au, 85 percent paid more than six figures.

While specialist skills such as mining, geology and drilling yield the highest salaries, Mr Knott noted that the current environment was “unique” in the high demand for semi-skilled and lower-skilled workers.

“We estimate that the industry will need about 9,000 new factory operators, 3,000 heavy diesel fitters and about 1,100 other occupations, such as electrical and mechanical, over the next five years,” he said.

“Most of that demand will be in the next two to three years.

“There is also a high demand for the jobs needed to run mining sites. Chefs, cooks, cleaners and facility maintenance work is in extremely high demand.

“That’s why the industry is accepting unprecedented numbers of new entrants to the sector.”

As an example of the demand for unskilled jobs in Queensland, trainee tire fitters are offered a starting salary between $75,000 and $85,000.

Mr Knott said the flow of new mining jobs is likely to increase.

“Growth forecasts indicate that the labor shortage is only going to get much worse,” he said.

The 350 future mining projects in the pipeline are expected to create 100,000 new construction and manufacturing-related jobs by 2027.

“If only some of these projects get final investment approval and go ahead, the industry will see the current glowing skills market continue for at least another five years, and probably well beyond,” said Mr Knott.

To fill these jobs, Queensland Resources Council chief executive Ian McFarlane told the: courier post the resource sector will target high school and first-year college students in an effort to persuade them into mining careers.

While Queensland and Western Australia are the states with the highest demand for workers, Mr Knott said miners in NSW, Victoria and South Australia were also desperate for workers.

Despite the high salaries and other benefits on offer, mining is not for everyone.

It usually means that you have to work for at least two weeks in remote areas with sometimes quite basic living conditions.

The 12-hour shifts often involve heavy physical labor in a high-pressure environment, where mistakes can cost a company millions and thus lead to immediate layoffs, which means high employee turnover.

However, Mr Knott encouraged people to think about the industry.

“In today’s environment anyone with the right qualifications and a clean track record should have no qualms entering the industry,” said Mr Knott.

“For those new to the industry, the right attitude is probably more important than experience and qualifications.

“You have to understand that the industry involves long days and shifts, often on schedules where you can be away from home for days or even weeks.

‘You also work in fairly remote environments with very strict health and safety rules.

“For those who can work in such an environment, the reward is a very hefty reward and long-term career prospects.”