Growth in Perth’s younger adult population last year bodes well for the city’s economic growth in the year ahead, according to recent analysis from KPMG.
Growth in Perth’s younger adult population last year bodes well for the city’s economic growth in the year ahead, according to recent analysis from KPMG.
Perth outperformed the broader market in the professional firm’s latest Enterprising Cities report, which projected job growth in the city of 192,000 roles from now through to 2030.
Perth’s population growth among younger professionals and families was a standout figure last year, with the city’s 20-29-year-old age cohort population growing by 22,700 people last year and the 30-39-year-old group growing by 12,000 people.
The resource sector remains a formidable presence, but it was healthcare where the most jobs were created last year.
KPMG said 23,500 jobs were added to the healthcare workforce in Perth in 2024, to a total figure of 201,500 in a move which highlighted growing demand for aged care, healthcare and NDIS services.
Construction and education jobs each increased by 6,500 roles last year to 122,500 and 108,000 respectively, and professional services roles were up 10,500 to 121,000.
KPMG Perth partner Matt Woods said the figures showed Western Australia’s economy was diversifying away from its traditional roots in the resources sector – though this area remains strong.
“Historically Western Australia’s economy is quite aligned to prosperity in the mining and energy sectors, but we are seeing a diversification,” he said.
“In fact, the sector that grew the most from a jobs perspective in the last 12 months has actually been healthcare, by quite a way as well.
“Mining continues to be the cornerstone of the economy, and while it had consistent growth in the last five years, it’s actually healthcare that’s been growing at the fastest rate.”
Population growth was seen as a significant plus, with a forecast influx of jobs in the years ahead likely to soak up new workforce supply.
Mr Woods also noted that dwelling approvals were at multi-year highs – a barrier to growth in years gone.
“We’ve seen five-year-high record dwelling approvals,” he said.
“Constraints on the housing market have been a natural constraint on population growth as well, so the trends are improving there.
“That’s not to say it isn’t still a problem, and a significant one for the three tiers of government to solve, but Perth is starting to lead the way in terms of the percentage increase in housing dwelling approvals as well.”
KPMG’s analysis suggested growth in AUKUS-related activity and defence industry would make the city a force in that industry and continue to attract younger workers to the west coast.
Mr Woods said a strong pipeline for growth off the back of the state government’s Made in WA election mandate would be a driver in the years ahead.
“There’s three real pillars to the plan,” he said.
“One is a boost in manufacturing and support for manufacturing, another is $1 billion for strategic industrial sites, and the third is renewable projects.
“When you couple that with our five-year growth projection in terms of jobs, the two reconcile neatly – that’s probably why construction is starting to show as one of the highest areas of employment growth for people coming into Western Australia, and Perth specifically.”
The Enterprising Cities report compares 12 cities around the country with the opportunities on offer in the Sydney, Brisbane and Melbourne CBDs.
