Australia to Boost Military Pay to Combat Personnel Shortage
In a bid to bolster its military ranks, the Australian government is set to announce a significant pay increase for soldiers, aiming to reach a total force of 100,000 personnel by 2040, Bloomberg reports.
Defence Minister Richard Marles will unveil a A$600 million ($396 million) package on Tuesday, designed to entice military personnel to remain in service beyond their initial four-year obligation, and further into their careers.
The move is part of a larger strategy to address a concerning decline in military recruitment and retention, driven by a tight labor market and low unemployment rates.
According to the 2024 Defence Workforce Plan, to be released on Tuesday, Australia needs to nearly double its annual recruitment of military personnel from approximately 5,500 to 9,000 over the next decade.
“In parallel, the median length of permanent ADF service must increase from around 7 years to around 12 years,” the plan states, according to excerpts provided by Marles’ office.
This announcement comes as Australia undertakes a significant military modernization, preparing for the arrival of nuclear-powered Virginia class submarines in the early 2030s, under the AUKUS agreement with the UK and the US.
The center-left Labor government is shifting its focus away from traditional warfare methods, emphasizing long-range firepower, automated drones, and the new fleet of US-made submarines.
Last week, the government announced a A$21 billion investment over the next decade to establish a domestic missile and munitions manufacturing industry. This move signifies a commitment to bolstering Australia’s self-reliance in defense capabilities.