Recruitment Blog
Staff retention hits crisis point in Australia
Over the past few years in particular, recruiters have been laser-focused on sourcing talent in a tight market. But new JobAdder research suggests a bigger issue is at play: even when businesses find the right people, they’re struggling to keep them.
We conducted an 18-month analysis of job vacancy data from the Australian Bureau of Statistics and Jobs and Skills Australia across 18 Australian industries, and found many sectors are dealing with a structural retention crisis.
Here, we take a closer look at some of the more critical (and stable) industries, and unpack what it means for the recruitment world.
What the data tells us
Using ABS and Jobs and Skills Australia data from November 2023 to May 2025, we tracked job vacancy patterns and workforce pressure using three key indicators:
- Vacancy ratio – vacancies per 1,000 workers.
- Consistency of vacancies – using Coefficient of Variation (CV%).
- Turnover change – to distinguish growth from churn.
By combining these data points, we were able to pinpoint which sectors are growing, which are stabilising, and which are stuck in a cycle of churn.
Healthcare and public administration top the list for critical staff shortages
While many sectors face high vacancy rates, healthcare and public administration now stand out for persistent staffing shortages.
In healthcare, roles remain unfilled quarter after quarter, driven by long-term challenges like an ageing population, rising chronic illness and burnout. With a Coefficient of Variation (CV) of 4.79%, the sector consistently struggles with retention. Although vacancy levels are beginning to decline, the sector remains critically understaffed.
The public sector is now also showing signs of structural shortage. With a CV of 7.7% and 22.34 vacancies per 1,000 workers, roles in public administration are staying vacant despite recent efforts.
“Some roles remain open quarter after quarter because workers are leaving faster than they can be replaced,” explained Victoria Cleghorn, Talent Acquisition Lead at JobAdder.
“Persistent vacancies, especially when coupled with weak turnover growth, are a proxy for deeper retention issues. This framework helps differentiate between hiring driven by business growth and long-term structural shortages.”
High vacancy, high churn: Pressure mounts across multiple sectors
Several industries continue to face structural and persistent hiring pressure, with roles that are repeatedly vacated and refilled; clear signs of churn and retention challenges.
Administrative and support services
Leading the nation in vacancy ratios at 61.4 per 1,000 workers, this sector, covering cleaning, labour hire, and call centres, remains under consistent pressure despite a 16.5% drop in vacancies. A CV of 9.3% reflects persistent demand, driven by casual, short-term and high-pressure roles.
Mining
Long seen as stable and lucrative, mining is under quiet strain. With a 31.12 vacancy ratio and CV of 12.57%, the sector shows signs of workforce instability. A 3.1% drop in turnover indicates issues with retention, especially in remote and specialised roles.
Professional, scientific and technical services
This knowledge-intensive sector (engineering, consulting, tech) is experiencing steady demand, with 28.5 vacancies per 1,000 workers and a CV of 8.43%. Modest turnover growth (+4%) suggests hiring pressure is driven more by skills shortages than growth.
Wholesale trade
Wholesale trade is grappling with high vacancy rates (29.33 per 1,000) and moderately consistent churn (CV 14.83%). Even with a 25% drop in vacancies over 15 months, low turnover growth (+1.6%) signals lingering issues around job sustainability.
Signs of stability in education, real estate and transport
Some sectors are showing welcome signs of stability.
Education and training, despite ongoing concerns from teachers, has a low vacancy ratio of 9.7 per 1,000 workers and a 10.3% drop in vacancies, suggesting improved alignment between workforce supply and demand.
Similarly, the rental, hiring and real estate sector is expanding steadily, with a 20.83% rise in vacancies but only moderate volatility (CV 10%), pointing to sustainable growth. Transport, postal and warehousing also remains stable, with modest hiring pressure and a healthy 4.9% rise in turnover.
Why retention matters more than ever
At a time when time-to-hire remains a key KPI for recruiters, the real challenge might actually be sustainability, not speed.
“When the same roles remain unfilled for 12 months or more, it’s a sign of a deeper disconnect between the job and what workers can realistically sustain, not a hiring problem,” said Victoria.
“In high-churn sectors, the most effective recruiters will be those who help organisations reframe what makes a role sustainable. That’s where a smart ATS can make all the difference, by helping recruiters better manage the candidate selection process, identify long-term fit and improve how roles are positioned from the start.”
The takeaway for recruiters
For recruiters, these insights present a big opportunity. Helping clients understand the difference between growth hiring and structural churn is a strategic advantage. It’s about shifting the conversation from how fast to hire, to how long great talent will stay.
Retention is a shared challenge. The most successful recruiters will be those who help solve it.
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