What’s behind record public sector job growth

Public sector job growth presents opportunities for those wanting to enter public service

There’s never been a better time to consider a career in the public sector, with government-funded roles now making up an increasing share of the Australian job market. Over the past two years, an extraordinary 82% of all new jobs have come from the public sector. By comparison, only 53,000 private sector jobs were created in 2024. This is a stark reversal from previous decades where the private sector typically drove two-thirds of job creation.

This shift signals a fundamental change in where opportunities lie for job seekers. More opportunities are now available in stable, government-backed roles across health, education and community services.  Public service positions also provide pathways for long-term careers, steady wage growth and the ability to contribute to vital community services. So, what’s behind this trend?

Growth of the care economy

Experts say the biggest driver has been the rapid expansion of jobs in the care economy. Australia’s ageing population and growing demand for disability services have created unprecedented demand for health and care workers. According to the Victorian Government, aged and disability services and registered nurses are among the most in-demand roles in the state.

The growth is staggering. Over the next ten years, healthcare roles in Victoria alone are expected to increase by more than 335,000. In the next three years, 86,000 jobs are forecast. This isn’t just a Victorian trend. Across the country, healthcare jobs have grown by 13 per cent in the last year. This makes the sector one of the fastest growing in Australia. Roles include not only doctors and nurses, but also allied health professionals, personal care assistants, aged care workers and disability support staff.

With demand projected to rise further, governments at all levels are investing heavily in health and care infrastructure, creating thousands of jobs while also offering opportunities for reskilling and career transitions.

Increase in public sector staffing

Beyond healthcare, there has also been a significant increase in general public sector staffing levels. In Queensland, where the public service is already the state’s largest employer, public sector roles have grown sharply in the past year. Professional positions in areas such as law, marketing and human resources have expanded by more than 3 per cent. Frontline roles — including police officers, teachers and firefighters — have grown by more than 4 per cent.

The federal and state governments argue that increasing permanent staffing reduces reliance on costly consultants. They also believe it ensures that high-quality advice remains within departments. This strategy has not only created more jobs but also improved career stability for those working within government. In addition, opportunities are no longer limited to traditional administrative roles. Graduates and mid-career professionals are finding demand in IT, project management, policy, finance and digital services.

A broader range of opportunities

This surge in government-funded opportunities means the public sector is not only a stable career choice but also one rich in variety. Whether you’re drawn to frontline positions such as teaching, policing and emergency services, or professional fields like Human Resources, law, Information Technology  and marketing, there are more pathways than ever. For younger Australians entering the workforce, the public service offers a chance to develop skills with long-term career potential. For those considering a mid-career switch, it represents stability and a chance to contribute directly to the community.

Are you looking for a new career? Public Service Resumes can help. We are pleased to offer a range of services including professional resume writing and tailored cover letter writing to help you secure your next role in the public sector. With demand for government-backed positions at an all-time high, having the right application documents can give you a crucial edge.

 

Article References

Benson, S (3 August 2025) ‘Collapse in private-sector job creation behind productivity slump’, The Australian, accessed 8 September 2025.

Victorian State Government (n.d) ‘Health care and social assistance and construction are expected to have the most workforce growth’, Victorian State Government, accessed 8 September 2025.

Wright, S (26 June 2025) ‘Australia now has 1 million public servants despite government vows to cut red tape’, Sydney Morning Herald, accessed 8 September 2025.