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2022 Survey Put Perth Construction Labour Costs Among Australia’s Highest—Here’s What the Figures Mean

The 2022 survey figures that sparked debate were employer construction labour costs, not a current estimate of Perth tradies’ take-home pay. Contemporary reports disagree on Perth’s exact figure.
From TheFinanceBase Team3 min to read
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The figures behind the debate are historical construction labour-cost estimates, not a current guide to what Perth tradies take home or charge customers. PerthNow reported A$117.28 an hour for Perth in July 2022, while a contemporaneous Australian Workers’ Union report gave A$118.15; both cited A$124 for Melbourne. The accessible official survey materials do not confirm which Perth figure is correct.

What the 2022 figures actually measured

Turner & Townsend’s International Construction Market Survey reported labour costs for construction markets. Its measure was an all-inclusive cost to the employer, not simply the cash wage paid to a worker. It included a basic hourly wage, allowances, taxes and annual leave, and could also include employer-paid workers’ compensation, health insurance, pensions and travel. It excluded overheads, margins and overtime bonuses. Turner & Townsend’s survey overview and its 2022 survey PDF describe the measure.

That distinction matters. An employer’s labour cost is not automatically an individual tradie’s gross cash wage, take-home pay after tax, or the hourly rate a customer sees on a quote. A consumer-facing charge may reflect different costs and work arrangements, and the survey does not establish what any particular Perth tradesperson earns or bills.

Perth and Melbourne: the reported rates

Source Perth Melbourne What the figure represents
PerthNow, 18 July 2022 A$117.28 per hour A$124 per hour Reported construction labour-cost figures attributed to the survey
Australian Workers’ Union, 2022 A$118.15 per hour A$124 per hour Contemporary report of the survey figures

The two accounts agree on Melbourne but differ by A$0.87 for Perth. The accessible official survey table does not expose a Perth-specific hourly figure, so neither Perth number can be independently confirmed from it. These should be treated as figures reported by contemporary sources, not as a resolved exact rate.

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Why the story prompted disagreement

PerthNow’s reader comments reflected competing intuitions: some objected to tradie charges as excessive, while others pointed to skilled work, physical demands, exposure to weather, tools, insurance and Perth living costs. Those comments are examples of public reaction, not representative research or evidence about typical wages.

The article also relayed an individual reader’s claim that an electrician earned A$38.50 an hour. A single anecdote cannot be compared directly with the survey’s employer-cost measure or used to establish what electricians generally earn. The survey grouped labour into categories such as plumber/electrician, carpenter/bricklayer, other trades, general labourer and site foreman, underscoring that an all-trades figure is not a pay rate for every occupation.

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What was driving construction-cost pressure

Turner & Townsend recorded its cost data in Q1 2022; sentiment and forecasts related to Q2. The survey covered 88 markets, so its findings describe that period rather than current Perth conditions. It reported that construction labour costs across Australia and New Zealand rose 6.5% over the preceding 12 months and 28% since 2019. Those are regional survey statistics, not Perth-only wage increases.

The firm attributed higher costs in Australia and New Zealand to material prices, labour shortages and extended project schedules. It said Queensland and Western Australia were operating at full capacity, with reduced competition pushing prices higher. Matt Billingham, then Turner & Townsend’s Managing Director WA, said the construction sectors in Queensland and Western Australia were at full capacity and reduced competition was pushing prices higher. The firm’s survey commentary provides this context; it does not establish that every trade or customer experienced the same pressure.

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How to compare a tradie rate with these figures

  • Match the measure: distinguish employer labour cost from gross wages, after-tax pay and customer charges.
  • Match the work: compare the same trade category, job type and employment arrangement rather than applying an all-trades market figure to one occupation.
  • Match the place and period: keep geography consistent and label the 2022 survey period; these figures are not a current Perth wage guide.
  • Check the source: retain the PerthNow/AWU discrepancy instead of presenting either Perth amount as an officially confirmed value.

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