Choosing a trade instead of a degree might seem unconventional, but it is increasingly becoming a more practical financial decision, especially in an era where artificial intelligence is reshaping many professions. While office-based roles face greater risks from automation, skilled trades remain in high demand and less prone to disruption. They also offer strong starting salaries and reliable long-term prospects.
Over the last 10 years, wages for trades such as electricians and plumbers have remained strong despite broader wage stagnation. Electricians, for example, earn an average of $122,000 a year, second only to miners at $156,000. By comparison, workers in information media and finance earn average annual salaries of $113,000 and $104,000 respectively. Many trade roles also include overtime, which can push actual take-home pay even higher.
There is also growing demand for trades in unexpected areas, including the rapidly expanding data centre industry. This sector now employs both engineers and tradespeople to support AI and cloud infrastructure. National workforce data shows that nearly half of all trade occupations are currently facing shortages. This gap is expected to widen, making trade qualifications a reliable path to employment.
Lifetime earnings for those in trades are often stronger than expected. Data shows early-career electricians can earn more than graduate lawyers, while the long-term earning potential for many tradespeople rivals that of highly paid university-qualified professionals. A top-earning electrician can make up to $225,000 a year, surpassing teachers and closely trailing lawyers. Real estate agents and computer scientists have the highest earning ceilings, although their markets tend to be more volatile or niche.
Looking forward, workforce forecasts show continued growth in industries like healthcare, education and the trades. These are fields that depend on practical skills and are more resistant to automation. However, experts warn that while trades offer appealing opportunities, especially for those less interested in academic study, they cannot accommodate unlimited numbers. A strong future for skilled trades also depends on better support and inclusion, particularly with women still underrepresented in many of these higher-income roles.
In the end, whether choosing university or a trade, further education after high school remains crucial. Vocational qualifications have delivered strong wage growth over the past decade, confirming their growing importance in Australia's job market. The key is choosing a path that fits individual strengths and meets market demand.
