Monday,
23 June 2025
Essential worker housing needs to be addressed

Changes are needed to address the critical lack of housing that is forcing essential workers out of the NSW communities they serve, a new parliamentary report has found.

The report, released last week by the Legislative Assembly Select Committee on Essential Worker Housing, makes 20 recommendations for NSW Government intervention, warning that inaction threatens the delivery of vital services.

The inquiry found that limited housing options are having a significant impact on the essential workers who are crucial to New South Wales.

A key finding was no single government agency is currently responsible for coordinating essential worker housing.

The report contains recommendations for the government to consider these workers in future planning and developments.

The report does not impose a rigid definition of essential versus ‘non-essential’ workers, but recommends a framework that can be used by councils to tailor definitions to local contexts and needs.

It also finds that ‘essential workers’ extends beyond public sector workers.

“Lack of housing for essential workers is having a significant impact on communities in New South Wales," Chair of the Select Committee and Member for Sydney, Alex Greenwich MP said.

"We heard that many essential workers are priced out of the communities they serve, living in unstable accommodation or far away from workplaces.

"Many of these workers are the ‘missing middle’: earning too much to be eligible for affordable housing, but not enough to afford market rent.

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"Our report calls for the NSW Government to intervene, with Homes NSW leading a coordinated effort.

"As part of this, it should develop a plan and framework for essential worker housing in New South Wales and integrate essential worker housing within existing policies.

"These efforts will not be sufficient without also increasing the supply of housing, including affordable and essential worker housing. Therefore, our report sets out several options for the NSW Government in maximising these opportunities including using government land and fast-tracking planning worker approvals for essential housing.”

The Committee began its inquiry in June 2024.

It received 113 submissions and heard from 99 stakeholders across five public hearings, including in Seaforth, Nowra and Blacktown.

The Committee is grateful to all those who gave evidence at hearings or submitted written evidence.