Queensland is in the middle of a major development surge, but not all sectors are growing at the same pace. Construction is running hot, with demand for vertical builds stronger than ever. Meanwhile, the civil infrastructure market is facing a noticeable dip in activity, and many businesses and professionals are feeling the slowdown.

With government priorities shifting, funding redirected, and some major projects delayed, the civil sector is experiencing a quiet period. So, what’s driving this divide? And what can we expect over the next 6 months?

Let’s break it down.

📊 Two Sectors, Two Speeds

🔼 Construction: Full Steam Ahead

The vertical construction space – covering everything from apartment towers and commercial precincts to health and education builds – is booming across South East Queensland.

  • Private investment is strong, driven by population growth and housing demand.
  • Government continues to fund schools, hospitals, and mixed-use developments, especially in growth corridors.
  • Builders are under pressure to deliver projects quickly, and the demand for skilled labour is intense.

🔽 Civil: A Slower Season

By contrast, the civil construction sector, covering roads, rail, drainage, utilities, and large-scale infrastructure is going through a low period.

  • Project pipelines have slowed as governments reassess priorities and budgets.
  • Civil companies are experiencing fewer tenders, smaller scopes, and delayed decisions.
  • Contractors and consultants are reporting increased competition and reduced margins.

💰 The Government Funding Shift

One of the most significant factors behind the civil slowdown is the shift in government spending:

  • At both state and federal levels, there’s been a reallocation of funds away from major new infrastructure projects toward vertical construction, social services, and maintenance of existing assets.
  • Several headline projects, especially in transport and roadworks have been delayed, re-scoped, or pushed out to later stages.
  • Local councils are also tightening their budgets, prioritising basic upgrades over new capital works.

While this move supports much-needed community infrastructure, it has slowed momentum in the civil market, leaving many mid-tier contractors and subcontractors underutilised.

🔭 What’s Coming: Infrastructure Still Has a Pulse

The good news? Civil isn’t down and out, just in a holding pattern. There are major projects on the horizon that are expected to reboot the sector in the near future:

  • Brisbane 2032 Olympics Infrastructure: Venues, athlete villages, transport links, and public realm works are coming but are still in planning or early procurement stages.
  • SEQ City Deal: While slow to mobilise, it promises long-term investment in transport, water, and digital infrastructure.
  • Inland Rail & Bruce Highway Upgrades: Key national projects expected to move ahead in stages through late 2025 and beyond.
  • Regional projects (e.g., flood recovery works and water upgrades) may stimulate activity in outer areas.

Once these large-scale initiatives gain traction, the civil market will rebound but it may not be until late 2025 or early 2026 that we see consistent project flow.

👷 Workforce Impacts & Market Trends

The talent market is responding to these changes:

📈 Construction:

  • Strong hiring demand across PMs, contract admins, site teams, and estimators.
  • Employers are offering competitive salaries, retention incentives, and accelerated promotion paths.
  • Talent shortages are prompting some to consider candidates from adjacent sectors, including civil.

📉 Civil:

  • Reductions in hiring, with a focus on shorter-term contracts and lean project teams.
  • Some civil professionals are being forced to pivot into landscaping, utilities, or construction delivery roles.
  • Employers are reluctant to onboard until more projects are confirmed.

🕐 The Next 6 Months: What to Expect

 Construction:

  • Continued growth, especially in residential, education, and health infrastructure.
  • Increasing pressure on builders to secure labour, meet timelines, and manage rising costs.
  • Sustained demand for project and site personnel across SEQ and regional hubs.

 Civil:

  • A flat to modestly improving market, with activity still patchy.
  • More design and early planning roles may emerge as government bodies prepare for 2026 delivery.
  • Potential uplift in late 2025 as Olympic-related works begin rolling out.

💡 Final Thoughts

The divide between Queensland’s construction and civil markets is a reminder of how quickly industry dynamics can shift. While construction is thriving on the back of private investment and vertical infrastructure priorities, civil is in a holding pattern—waiting for major public works to gain momentum.

For now, adaptability is key. Whether you’re an employer looking to future-proof your team or a candidate weighing your next move, understanding these market forces can help you stay ahead of the curve.

 

Maddi Carroll

Team Leader

9 years of experience in the service industry, I have developed a comprehensive understanding of HVAC, fire, electrical, and facilities management. My career has seen me lead the East Coast administrative function and manage strategic accounts, roles that required not just technical knowledge but also a strategic approach to operations and asset management…

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