Royal Commission into AI must not ignore workforce shortage, ETU says

The South Australian Government’s recent announcement of a Royal Commission into Artificial Intelligence has been received by the Electrical Trades Union (ETU) as an opportunity to address a national shortage of electrical workers.

Expected to commence on 1 October, the Royal Commission aims to hear evidence and receive submissions from a broad cross-section of the South Australian community, including business, industry bodies, unions, technology developers, academics, independent experts and representatives of creative industries. A final report should be handed to government no later than 1 July 2027.

In its response to this news, the ETU said the commission shouldn’t just focus on AI products like Claude, ChatGPT and Gemini, but also on the infrastructure that powers them — namely, data centres.

The ETU underlined an electrical workforce shortage that has existed since 1981 and is forecast to rapidly worsen as housing, infrastructure, energy and data centres drive demand for electrical skills.

With data centre construction set to expand significantly in coming years, the ETU and its South Australian affiliate branch the Communications, Electrical and Plumbing Union (CEPU) have called on the South Australian Government to provide terms of reference that include the use of data centre construction to accelerate Australia’s training of electrical workers.

According to the ETU, one in 10 of its members is currently working on data centre construction, up from zero in only a few years. It’s an opportunity for young South Australians that should be maximised, according to CEPU South Australia Secretary John Adley.

“Data centres are the physical infrastructure powering AI, and they represent a major training opportunity for Australians who want rewarding, secure work in electrical trades,” Adley said.

“Australia has a shortage of 100,000 electrical workers by 2050, before you even factor in data centres and AI.”

However, Adley said, there was no shortage of people who wanted to become electrical workers, with 600 applicants for every advertised position.

ETU National Secretary Michael Wright said the terms of the inquiry should examine how to ensure data centres create opportunities in both skills and energy transition.

“Data centre builds require large numbers of people with electrical skills. If they train new electrical workers, they can add to the number of people building our way out of housing shortages and wiring our economy into the 21st Century,” Wright said.

“If they only syphon existing skilled workers away from other national priorities like housing and infrastructure, Australia is worse for their presence.”

In the energy space, Wright said data centres that add new renewable energy can accelerate the deployment of generation assets and play a positive role in energy transition. “But if they just bid up power prices it will only hurt households and small businesses,” he cautioned.

“The Royal Commission terms of reference should explicitly address how we use the data centre boom driving AI to give Australia the skills and power it needs to get ahead.”

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