Recent reports from ServiceSeeking reveal that some tradies in Australia are pocketing as high as $124 hourly wages, making them among the highest-paid construction workers worldwide. This means that tradies earning this much would make $243,000 a year if they worked a regular 38-hour week.
Delving deeper into the skyrocketing wages of tradies shows that the loss of skilled migrants during the coronavirus pandemic is the primary factor for the increase in labor costs. This explains why tradies rarely need to apply for jobs, but when they do, the whole process doesn’t take more than a week to negotiate a contract.
The loss of skilled migrants in the past two years had a considerable impact on the availability of construction labor, which has subsequently pushed up costs, making it among the most expensive regions for construction labor.
On top of the losses of skilled labor, demand for construction workers is predicted to increase by 70% in the next ten years, pushing costs higher. The country will need more young people to consider and enter careers in the trades.
How to Start a Business as a Tradesman
Many tradesmen reach a point where going solo seems like the next logical step. Tradies who start their own business have the freedom to choose their own clients, have a better work-life balance, and earn more.
Launching a tradesman business requires a practical set of skills and ambition. But, it isn’t something people should jump into hastily.
Not just anyone can start a business as a tradesman. It takes a certain level of experience and skill to be able to complete jobs single-handedly and satisfy customers. “People who are interested in a career as a self-employed tradesman will need to work on their qualifications. The most effective way to gain skills is to specialize and acquire the proper training and certificate,” a ServiceSeeking spokesman said.
It’s not just the qualifications, tradies need to have a broader experience by gaining some temporary or contract work.
According to ServiceSeeking, it’s also a good idea to develop some business skills when starting a business as a tradesman. Some may focus on accounting, which is also right, as tradies will also need to handle their finances and taxes. But, tradesmen also need to develop marketing skills to successfully promote the business.
Partnering with ServiceSeeking
Technology has enabled consumers to access the world at their fingertips. This unparalleled access to services has shifted most of the power to the consumer, prompting businesses to go where the consumers are.
As businesses expand into new sales channels, platforms continue to grow in appeal with greater reach. This trend was further accelerated by the coronavirus pandemic. While the adoption of the internet to complete transactions has been steadily climbing for years, the pandemic pushed all types of transactions online.
This rapid shift has had an impact on people’s behavior, creating a demand for convenience and personalization. As consumer behavior has changed, businesses have had to shift their approaches accordingly, and the same holds for tradies.
This desire for ease and accessibility has pushed many consumers to turn to platforms like ServiceSeeking. Since its inception in 2007, it has helped more than 4 million Australians get jobs done, with over 200,000 SMEs registered to quote on a job. Tradies who are still starting may want to consider entering the platform.
