Understanding the growing labour demand for Psychiatrists

Australia is facing growing mental health challenges. Nearly half of all Australians will experience a mental health condition at some stage during their lifetime, and so, the demand for Psychiatrists is high. Growing mental health awareness has intensified the need for specialist care, with job ads for this occupation in February 2025, nearly 90% higher than the 2019 monthly average. 

New workforce strategy seeks to refine ways of attracting, training, supporting, and retaining more skilled workers emphasising a collaborative approach between governments, service providers, and education institutions.

While the demand for Psychiatrists remains high, Australia’s overall job market is showing further signs of cooling, with February 2025 marking the largest monthly drop in job ads since late 2022. The latest Internet Vacancy Index report reveals a 5.9% decline last month.

The same is seen across all states and territories, with South Australia (-8%), Northern Territory (-7.4%), and Tasmania (-6.3%) recording the biggest drops. Recruitment activity also fell across all major occupation groups, with Managers (-9.7%) and Machinery Operators & Drivers (-7.1%) experiencing the sharpest declines.

Job ads in regional areas have fallen by 13.4% over the past year, while capital cities have seen a slightly steeper drop of 14.5%.

Read more about it in the full report.

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For direct queries email us at JSA-Nowcasting@jobsandskills.gov.au