At Capricorn, we’re proud to be part of the Australian and New Zealand automotive community. We’re a Member-owned organisation with over 30,000 small to medium business Members.
Our Members include a broad mix of businesses (from independent workshops to national franchises) working across mechanical, electrical, collision repair and other automotive services.
But Capricorn is more than just a business partner. Each year, we publish the State of the Nation report to provide a clear and grounded view of how the industry is evolving. We listen to what’s happening in workshops, what challenges businesses and their teams are facing, and where new opportunities are emerging.
This report is developed for mechanics, business owners and policy advisors. It offers insights into the pressures affecting the sector, the support needed to strengthen it, and the areas where growth and innovation are possible.
Capricorn uses these findings to advocate for the industry, raise awareness of key issues, and bring people together to drive meaningful change. Our aim is to support a strong, sustainable future for automotive businesses and our Members who run them.
If you are interested in finding out more, visit capricorn.coop
Capricorn Australia
25,000
Number of Capricorn Members: traded through Capricorn ~$3.3b
140,000 people employed by Capricorn Members
Number of women
30,800
Number of apprentices 15,000
$1.2m average turnover
Welcome
This is Capricorn’s sixth State of the Nation report - our annual look under the bonnet of the automotive aftermarket in Australia.
Those six short years have seen our industry cope with some extreme challenges - a global pandemic, an ongoing skills shortage, and a cost-of-living crisis. For all of those headwinds, every single time we’ve surveyed Members several powerful metrics have held true. Our Members share a strong belief in the value of the work they do. They are determined to succeed and have a strong appetite to grow. The automotive industry continues to be resilient and forward-looking.
... more apprentices are entering the aftermarket with both a passion for, and a high level of confidence in, the automotive industry.” “
This year 989 Members (business owners) and 83 apprentices from across Australia contributed to the findings in this report. The data comes from three sources: Capricorn State of the Nation specific research, Capricorn Apprenticeship Survey – 2025 and EV & Lithium-Ion Battery Safety Research, 2025 (Capricorn). We are proud to have worked with our independent research partner, Klein, to analyse the data and provide the insights for the State of the Nation Survey.
In this year’s State of the Nation you’ll see that despite economic and labour pressures, 77% of Capricorn’s Australian Members have plans to either expand or to improve profitability in 2025 - perfectly demonstrating the faith and resilience of our community.
Once again, this report shows that our number one industry-wide challenge is attracting and retaining good people. The skills shortage affects everything from productivity to customer wait times to the health and wellbeing of business owners. All of which the State of the Nation dives into.
But, we’re also able to show that owners are adapting and innovating. They’re being proactive about finding solutions to navigate these hurdles, to not just remain open for
business but to become ever more efficient and productive. They’re achieving record turnover-reporting a 17% increase, the highest average turnover since the first State of the Nation in 2020. They’re also setting growth goals to perform even better in the year ahead.
For the first time, Capricorn has included data from apprentices in the State of the Nation report and we’re pleased to show that more apprentices are entering the aftermarket with both a passion for, and a high level of confidence in, the automotive industry. Many aspire to business ownership.
Throughout the report we have included a number of case studies from our Community to bring the data to life. We hope you find them insightful and interesting.
We also hope that the insights shared in this report provide a valuable resource for anyone interested in automotive and mobility in Australia.
Our goal is to provide information that not only informs but also help shape the direction of the industry in the years ahead. Thank you for being part of this journey as we continue to support and strengthen the automotive industry together.
Brad Gannon Group CEO, Capricorn
State of the Nation Survey in Numbers
Australia
Source: Capricorn State of the Nation - Wave 6
3 average number of hoists per workshop
32.1 average number of vehicles seen each week
Industry profile by employment
5 TOP challenges faced by businesses
Finding good staff (including apprentices)
Having a good work/ life balance or finding time take a break/holiday
sensitive customers/ cost of living pressures
Number of staff
48% of Members are looking for staff
have unfilled positions
struggling to find skilled staff
Staffing
issues
by business
type
State of the Nation Survey in Numbers
Key Insights
Strong Appetite for Growth
Despite ongoing challenges, the automotive aftermarket industry continues to show resilience and optimism. This year’s findings reveal that 77% of Capricorn’s Australian Members are planning to grow or improve profitability over the next 12 months. This reflects a forward-looking mindset and confidence in the sector’s potential.
Skills Shortage Remains the Top Concern
Attracting and retaining skilled workers is still the number one challenge for automotive businesses. The shortage is affecting staffing levels, customer wait times, and the wellbeing of business owners. Even so, many businesses are pushing ahead, reporting a 17% increase in turnover in relation to gross sales - the highest since the State of the Nation report began in 2020.
Apprentices Bring Energy and Ambition
It’s encouraging to see apprentices entering the industry with enthusiasm and long-term goals. Many are confident about their future and aspire to run their own businesses. With strong turnover and ongoing demand for skilled workers, now is a great time to start a career in the trade.
Capricorn Confidence Index
Understanding Industry Confidence
Now in its fourth year, the Capricorn Confidence Index is a barometer for the health of the automotive aftermarket industry. It’s based on responses to three key statements:
Confidence in the automotive industry
Confidence in their own business’s future Plans to grow or improve profitability over the next 12 months
These responses are combined into a single score out of 100, providing a simple way to track sentiment across the sector.
Confidence Remains Strong
In 2025, the Index rose slightly to 72.5, up from 71.3 in 2024. While there was a small dip in confidence around business and industry conditions, the strong intention to grow (expressed by 77% of workshops) helped lift the overall score. This suggests a positive outlook of the industry, even as businesses navigate ongoing challenges.
72.5
Capricorn Confidence Index
77% of workshops plan to grow or improve profitability
17%
average increase in turnover in relation to gross sales from 2024 to 2025
What this Means for the Industry and Policymakers
The Capricorn Confidence Index reflects how businesses are responding to real-world pressures like labour shortages, cost-of-living impacts, and changing customer expectations. It shows that many workshops are adapting by improving efficiency, reducing costs, and investing in smarter ways of working, such as digitising job cards and documenting processes to boost productivity.
For policymakers, this data highlights where support is most needed - particularly in workforce development, training pathways, and small business resilience. For industry professionals, it provides a benchmark for how peers are feeling and where opportunities for growth and improvement are emerging. These insights help guide practical decisions that can strengthen the sector and support the people working in it.
32.1 vehicles seen per week on average
5.6 employees per workshop on average
Confidence in Business and Industry
A Steady Outlook Despite Pressures
In 2025, automotive businesses across Australia continued to show resilience and confidence. This year, 45% of workshops reported high confidence in the future of the industry, down slightly from 47% last year. Confidence in individual businesses also dipped slightly, with 62% of workshops expressing high confidence in their own future, compared to 65% in 2024.
These small shifts do not suggest instability. Instead, they reflect a realistic and grounded view of current conditions. Business owners tend to feel more confident about their own operations than the broader industry, likely because they have more control over their day-to-day environment, while external factors (like economic conditions and labour market trends) create uncertainty at the industry level.
Generational Perspectives on Confidence
Confidence levels also vary by age. Workshop owners aged 25 to 54 reported higher levels of optimism:
65% are highly confident in their business’s future
48% feel highly confident about the future of the industry
Among owners aged 55 and above, confidence was slightly lower:
55% are highly confident in their business’s future
35% feel highly confident about the future of the industry
These differences may reflect varying business goals, time horizons, or comfort with emerging technologies. Younger owners may be more focused on growth and innovation, while older owners may be approaching succession or retirement.
Q.
Confidence in Business and Industry
Q. Thinking about the automotive industry overall, how confident are you in the industry's future?
Confidence in Industry
Aged 25 to 45
Confidence in Business and Industry
Business Confidence by Business Type
Why it Matters
Understanding confidence levels helps identify where support is most needed. For policymakers and industry these insights can guide workforce planning, training investment, and small business support programs. It highlights the importance of tools and resources that help businesses adapt to change - whether through technology, operational improvements, or succession planning.
Confidence data also helps pinpoint where opportunities lie. A steady outlook, even in the face of challenges, shows that businesses are ready to grow and evolve. Supporting that momentum is key to ensuring the long-term health of the automotive sector.
Business Growth
Growth is a Clear Priority
In 2025, growth remained a strong focus for automotive businesses across Australia. 77% of workshop owners said they plan to expand or improve profitability over the next 12 months. This shows a confident and forward-looking mindset, even in the face of ongoing challenges.
Where Businesses are Focusing
Workshop owners are prioritising three key areas to drive growth:
Improving business efficiency
Increasing profit margins
Reducing operational costs
These areas reflect a practical approach to strengthening performance and building financial stability. By focusing on what they can control, businesses are positioning themselves to thrive.
$1.2m was the average turnover for 2025
Signs of Progress
This strategic focus appears to be paying off. On average, businesses reported a 17% increase in turnover from 2024 to 2025. The number of vehicles seen per week also rose, from 28.9 in 2024 to 32.1 in 2025, the highest figure since the State of the Nation began collecting data in 2021.
Q. Do you have plans in place to grow your business or improve its profitability over the next 12 months?
Expand my business into new industries (e.g. marine, agriculture etc)
Opening new workshops or acquiring workshops
Other (specify)
Q. What plans do you have to grow your business or improve its profitability over the next 12 months?
Why it Matters
The data paints a clear picture: while challenges persist, momentum is building across the automotive sector. Businesses are not just surviving - they’re adapting, innovating, and in many cases, growing.
This progress presents a valuable opportunity for both government and industry to step in with targeted support that amplifies what’s already working. By recognising where businesses are focusing their efforts, stakeholders can help accelerate sustainable growth and ensure the sector remains resilient and competitive.
For policymakers and Industry, these findings highlight where support can make a real difference. At Capricorn we are looking at options to work with other organisations on programs that help businesses improve
efficiency, manage costs, and invest in technology, which have the potential to amplify this momentum. Additional workforce development and training initiatives could also possibly help businesses meet growing demand.
For mechanics and workshop owners, the data shows that growth is achievable, even in a tough environment. It’s a reminder that small changes in operations can lead to big improvements in performance.
Overall, the data shows that growth is not just a goal, it’s already happening. By recognising where businesses are focusing their efforts, government and industry can work together to support sustainable progress and help the sector thrive.
CASE STUDY:
Booking for Growth
– How Mike Optimised his Workshop
For Mike Carnemolla, owner of 313 Automotive in Sydney, running a successful workshop means more than just fixing cars - it’s about adapting to change and staying ahead of the curve.
Mike’s family business has been servicing the Drummoyne and Russell Lea communities for nearly 100 years. But when Mike took the reins, he knew it was time to rethink how things were done.
“We changed our business model,” Mike said. “We now use the Mechanic Desk online platform, so we can utilise an online diary, job cards, and all our staff clock on and off jobs so we can efficiently ascertain billable hours."
"This system has improved efficiency for quoting and invoice generation. We are now able to take on more jobs per day and have confidence that our pricing is correct and competitive."
This shift from reactive scheduling to a fully booked calendar has made a big difference. “We’re doing a lot more work now. The techs are busy all the time and all their labour hours are sold - it’s profitable for us.”
Planning for the Future
The benefits go beyond the bottom line. With a such a versatile online platform, Mike and his team can plan ahead, manage resources better, and deliver a smoother experience for customers.
It’s also helped prepare the business for the future - especially as electric vehicles (EVs), which need less frequent servicing, become more common.
“We’ve been working in the EV space for years,” Mike said. “I did my first EV course 14 years ago. We wanted to be early adopters - the first workshop people think of when it comes to EVs and hybrids.”
Sustainability and Smart Growth
In 2015, Mike built a new workshop with sustainability in mind. “We put solar panels on the roof and Tesla power batteries on the side of the building. We’re pretty much carbon neutral and have won multiple sustainability awards.”
This commitment to sustainability goes hand-in-hand with his focus on business efficiency. “I wanted to grow through more customers, not just more hours. So we changed how we operate.”
Business Challenges
Pressures Persist
In 2025, Australian automotive businesses continued to face three familiar challenges, consistent with those reported in 2024:
Finding and retaining skilled staff
Maintaining a healthy work-life balance
Managing the impact of cost-of-living pressures on customer servicing habits
These issues have remained top concerns for several years.
Shifting Intensity, Not New Problems
While these challenges haven’t changed, their intensity has eased slightly compared to last year. This suggests that while the problems are still present, businesses may be finding ways to manage them more effectively.
For example, many workshops continue to struggle with hiring qualified staff and meeting salary expectations. There’s also a perception among job seekers that the automotive sector is less appealing than other industries. However, it’s encouraging to see that flexible work arrangements are not a major issue as workshops are adapting to employee needs and expectations. This is demonstrated by only 5% of Members stating that accommodating flexible work arrangements was a challenge in terms of addressing the skills shortage.
Why it Matters
The challenges facing automotive businesses (staffing shortages, work-life balance pressures, and shifting customer behaviours) present several opportunities for the future of the industry.
For policymakers, these findings point to areas where targeted support could make a real difference. Addressing workforce shortages through training programs, apprenticeships, and industry promotion will attract new talent. Small businesses also need support and resources to help them manage operational stress.
For business owners, understanding these shared challenges could help to identify where to focus efforts, whether it’s improving recruitment strategies, investing in staff development, or adjusting service models to meet changing customer behaviours.
These challenges are not new, but they are evolving. By working together, government and industry can help businesses adapt and thrive, ensuring the automotive sector continues to serve communities and contribute to the economy.
The Challenges Facing Automotive Businesses
Finding good staff (including apprentices)
Having a good work/life balance or finding time take a break/holiday
Price sensitive customers/cost of living pressures
Increase in parts price
Financial concerns (cash flow, profitability)
Balancing different parts of your role (e.g. mechanical work vs. admin)
Increasing car complexity making it harder to repair and service cars
Access to technical information and diagnostics e.g. scan tools
Keeping staff long term
Shortage of parts
Customers wanting to supply their own parts
Keeping up to date with training and skills development
Insurance companies determining prices
Capped price servicing/longer warranties from dealerships
Electrical vehicle repairs and maintenance
Negative industry perceptions
Keeping up with the digital age e.g. online booking, online quotes
Sourcing sustainable materials and parts
Environmental considerations e.g. sustainable waste management
Customers not coming back/lack of trust
Other (specify)
Q. What are the biggest challenges that you face in running an automotive business?
Outside of the top three challenges, the factors affecting businesses start to vary based on business size. We saw:
struggle more acutely with recruiting and retaining quality staff than Micro businesses. + Small businesses (5-19 employees)
Micro businesses (0-4 employees)
faced additional complexities by often struggling to balance the many roles and responsibilities required to keep operations running smoothly.
CASE STUDY:
Leading with Confidence
– How Adrian got his Workshop Back on Track
Running a workshop can be a tough gig - and after nearly 20 years in the trade, Adrian De Rosa from Noranda Service Centre in Perth’s northern suburbs was feeling the pressure.
Adrian started the business back in 2005 with just a small two-bay workshop. But a couple of years ago, he hit a wall.
“We were stuck in our ways and getting complacent,” Adrian said. “I was burnt out and at a crossroads - either push forward and grow, or think about stepping away.”
Backing Himself to Lead
Instead of walking away, Adrian chose to back himself. He joined a network of other workshop owners who were keen to do things better.
“It opened my eyes,” he said. “We weren’t making staff feel heard or part of the journey. That had to change.”
Adrian started working on his leadership skills - not just managing the day-to-day, but building a team culture where everyone felt valued.
Building a Stronger Business
The shift didn’t happen overnight, but the results speak for themselves. Adrian moved into a bigger workshop and now runs the business with his wife, Anne, and a team of five.
“I’m not trying to do everything anymore,” he said. “Everyone’s got their role, and I get to focus on leading. It’s made work exciting again - I’m proud of what we’ve built.”
Everyone’s got their role, and I get to focus on leading. It’s made work exciting again - I’m proud of what we’ve built.”
Skills Shortage
A Critical Issue
The skills shortage continues to be one of the most pressing issues facing the Australian automotive aftermarket. In 2025, 48% of businesses reported being affected. Of these, 10% had unfilled positions, while 38% said they were actively struggling to find qualified workers.
Staffing Issues by Business Type
This challenge has appeared in every edition of the State of the Nation report, and its persistence highlights the need for long-term, coordinated solutions.
The Challenges Faced in Terms of Skills Shortage
Finding skilled staff
Salary expectations
The automotive sector is less attractive than other industries
Finding permanent staff
Finding apprentices
Retaining staff
Challenges with recruitment process
Accommodating flexible work arrangements
Availability of training and skills development
Other (specify)
Q. What are the biggest challenges that you currently face in terms of skill shortages?
What’s Driving the Shortage
The most common issues reported by businesses include:
Difficulty finding skilled staff
Salar y expectations that are hard to meet
The perception that automotive trades are less attractive than other industries
These challenges are limiting business capacity and affecting customer service. Some workshops are turning away work or facing longer turnaround times due to being understaffed.
On a personal level, 27% of business owners said the shortage is impacting their work-life balance, adding stress and increasing the mental load of running a business without enough support.
“
Effects of Being Understaffed
Longer turnaround times for customers
Turning away work
Negative impact on work life balance
Increased workload for staff
Reduced productivity due to insufficient staff to handle the workload
Unable to focus on growing the business
Q. What effect has being understaffed had on your business?
IN OUR MEMBERS’ WORDS:
I feel that in the next 5-10 years we should hopefully see a change in staff shortages. We have pretty much missed a generation. Now with school pushing and promoting trades again I think we should start seeing changes filtering through moving forward.”
Why it Matters
The skills shortage is not new, but it is urgent. Addressing it will be key to ensuring the automotive sector remains strong, competitive, and ready for the future.
For policymakers, these findings highlight the need for targeted action. Investment in training programs, apprenticeships, and industry promotion could help attract new talent and build a stronger pipeline of skilled workers. Additionally, supporting small businesses with recruitment resources and wage subsidies could also ease the pressure.
For the industry, it’s a call to work together on long-term solutions, whether that’s improving career pathways, modernising perceptions of the trade, or creating more attractive working conditions.
Working to improve the skills shortage is not just about filling roles, it’s about building a future-ready workforce that can support the growth and sustainability of the automotive industry. With coordinated action, both government and industry can help turn this challenge into an opportunity.
CASE STUDY:
Investing in People
– How Matthew Kept his Team Engaged
For Matthew Philips, owner of A-One Mechanics in Alice Springs, running a successful workshop means more than just keeping cars on the road - it’s about keeping a good team around you, too.
Like many in the trade, Matthew was facing a common challenge: finding and holding onto skilled staff. And being in a remote location made it even harder.
At the same time, he saw another issue - his team was fitting plenty of tyres, but they couldn’t do wheel alignments in-house. That meant sending customers elsewhere and hoping for the best.
“We were losing time and control,” Matthew said. “Customers would come back unhappy with the alignment job, and we’d have to wear it. I thought, why not just do it ourselves?”
Planning for the Future
To bring wheel alignments in-house, Matthew turned to Capricorn Finance. With the hoist, alignment machine and install, the total came to around $80,000 - but the process was quick and easy.
“It’s made a huge difference to how we plan our day,” Matthew said. “We used to lose half a day sending cars out. Now we do it all here - it’s faster, smoother, and we know the job’s done right.”
Supporting Staff Growth
The new equipment didn’t just improve workflow - it gave Matthew a way to support his team’s development.
“One of our tyre fitters was keen to learn something new,” he said. “So we trained him up on wheel alignments. It gave him a new skill and made his job more rewarding.”
That kind of upskilling has helped Matthew keep good people around - a big win in a place like Alice Springs, where recruitment is tough.
Apprentices: The Future Workforce1
Building Skills for Tomorrow
Apprenticeships continue to play a vital role in addressing the skills shortage across the automotive industry. In 2025, 44% of business owners are employing an apprentice. This reflects a strong commitment by businesses to develop future talent to ensure the industry remains equipped for the road ahead.
A More Diverse Workforce
One of the most promising developments is the doubling of female apprentices over the past year. This shift signals growing diversity and inclusion in the trade, helping to broaden the talent pool and challenge outdated perceptions of who belongs in the automotive sector.
Long-Term Intent
The intent to take on apprentices remains consistent, with 38% of business owners saying they are highly likely to employ an apprentice in the future. This ongoing commitment shows that workshops see apprenticeships not just as a short-term fix, but as a long-term investment in workforce sustainability.
Employed an Apprentice
Q. Have you ever employed an apprentice?
Apprentices in Focus: How They See the Road Ahead
Confidence among apprentices is high, with 80% expressing optimism about the future of the industry. Their outlook is shaped by three key beliefs:
Job Security: Vehicles will always need servicing, diagnostics, and repairsregardless of how technology evolves.
Career Growth: Nearly half of current apprentices aspire to own their own business one day.
Hands-On Passion: Many apprentices are drawn to the trade by a love of cars, family influence, and the appeal of practical work.
Top Challenges
New technologies (e.g. EVs, autonomous driving) Lack of qualified staff
Having a good work/life balance
Negative perceptions of the industry
Access to technical information and diagnostics
Sourcing sustainable parts and materials
Environmental considerations (e.g. waste)
Lack of career opportunities
Apprentices: The Future Workforce
However, apprentices also recognise challenges. Their concerns mirror those of business owners:
Difficulty finding qualified staff
Maintaining a healthy work-life balance
Negative perceptions of the industry
Many apprentices report limited exposure to electric vehicles, advanced driver-assistance systems, and emerging digital tools. This highlights a need for updated training and better access to modern vehicle systemsensuring the next generation of technicians is ready for the vehicles of tomorrow.
Q. In your opinion, what are the biggest challenges faced by the automotive industry? (Respondents: apprentices only) 1 Apprentices: The
Vehicle Mechanic
Heavy Vehicle Mechanic
Vehicle Body Technician/Spray Painter
Auto Electrician
Vehicle Body Technician/Panel Beater
Parts Interpreter (Sales)
Engine Reconditioner
IN THE WORDS OF APPRENTICES:
“ I’m extremely confident in the automotive industry's future because it’s constantly evolving and full of opportunities. With the rise of electric vehicles, hybrid technology, and smart car systems, there’s never been a more exciting time to be involved. The demand for skilled technicians who understand both traditional and modern vehicle systems is growing, and I want to be part of that future. I see a career in this industry as not only secure but also full of potential to grow and make a real impact.”
Shaun, Qld
Q. What Are You Training to Become?
Why it Matters
Apprenticeships are more than a training pathway, they’re a foundation for the future of the automotive industry. Supporting apprentices can help build a skilled, motivated, and future-ready workforce to keep up with evolving technologies and customer expectations.
For policymakers, these findings highlight the need for targeted action. Investment in modern, hands-on training programs (especially those that include emerging technologies like EVs and ADAS) which have the potential to help apprentices gain the experience they need. Promoting automotive careers in schools and supporting diversity in the trade could also help attract a broader range of young people into the industry. Additionally, potentially providing wage subsidies and mentoring support for small
businesses could be an opportunity to ease the cost and complexity of taking on apprentices.
For the industry, it’s a call to strengthen the pipeline of future talent. This means potentially taking the opportunity to offer apprentices real exposure to modern vehicle systems, supporting their career development, and creating workshop environments that foster learning and growth. Sharing success stories and mentoring young workers can help shift perceptions and build long-term engagement.
Investing in apprentices is not just about filling gaps, it’s about shaping a workforce that’s confident, capable, and ready to lead the industry forward. With coordinated action, government and industry can turn today’s enthusiasm into tomorrow’s expertise.
IN THE WORDS OF APPRENTICES:
“ The passion and excitement I have for working with cars started at a young age. I’ve always been fascinated by how things work, and the hands-on, problem-solving nature of the automotive industry really speaks to me. Choosing this career path was about turning that passion into a purposeI love the challenge, the continuous learning, and the satisfaction of fixing something and seeing it perform at its best. It’s more than a job to me - it’s what I genuinely enjoy doing every day.”
Level of Exposure
Electrical systems in vehicles
Exposure to emerging digital technologies (e.g. AI-assisted tools, advanced software, etc.)
Work on large range internal combustion engines (ICE) vehicles
Business side of workshop management (e.g. bookkeeping, managing people, marketing)
Advanced driver-assistance systems (ADAS) service and calibration
Electric and hybrid vehicle repair and maintenance
Not interested at all + Not very interested Neutral Very interested + Extremely interested
Q. And how interested are you in completing further training in the future that focuses on …
CASE STUDY:
From Apprentice to Business Owner
Ross’s Story
At just 20 years old, Ross Menniti made a bold move - he bought Midway Auto Port in Ryde, NSW, only weeks after hearing it was up for sale.
“I was very ambitious at that age,” Ross said. “I just really wanted to get ahead, and I knew the best way to do that in this industry was to own my own workshop.”
That decision changed the course of his career.
Over the next 15 years, Ross turned the business into a thriving operation. He doubled his team, tripled the number of cars coming through the doors each day, and focused on improving how everything ran. His time as an apprentice gave him a head start - he’d already learned how to deal with customers, write up invoices, and order parts.
“It removed that mental barrier for me early on,” he said. “I saw that it could be done.”
Learning on the Job
Like any business owner, Ross faced his fair share of challenges - managing staff, learning the financial side, and earning respect as a young boss.
“I felt like I had something to prove,” he said. “People could see I was young, so I worked hard to win their trust. I went above and beyond - and I still do - to make sure customers are happy.”
That determination paid off. Ross built a strong reputation and a successful business, all while continuing to learn and grow as a leader.
A strong appetite for growth means you’ve got to keep finding ways to do things better. You’ve got to shift with the market and stay ahead.”
Emerging Vehicle Technologies2
Preparing for the Road Ahead
New vehicle technologies are steadily reshaping the automotive industry, and workshops across Australia are beginning to adapt. This year, a survey conducted by Capricorn involved 705 Members and took a closer look at electric and hybrid vehicles (EVs), revealing that many businesses are already servicing these vehicles and expect them to make up a larger share of their workload in the future.
Currently, 66% of workshop owners report servicing EVs - a significant increase from previous years. Looking ahead, businesses predict that hybrids will account for 31% of their total workload and battery electric vehicles (BEVs) 24% over the next decade. While internal combustion engine (ICE) vehicles still dominate at 94% of current workload, the average number of EVs and hybrids serviced per month has nearly doubled, from 2.6 in 2021 to 4.9 in 2025
of Hybrid and Electric Vehicles Serviced
Adapting to Change
To keep pace with these changes, 65% of businesses are actively staying up to date with new technologies and more than half plan to increase their focus on electric and hybrid vehicles in the coming years. However, despite this momentum, many businessesand particularly apprentices - still feel underprepared. A lack of hands-on experience with newer vehicle systems is a common concern, and for younger workers, emerging technologies are among the top challenges they believe the industry must address.
However, this challenge is not limited to younger workers. Business owners also face significant barriers, with a key concern being the lack of awareness around essential safety protocols. This is compounded by the financial and resource pressures of properly outfitting workshops and ensuring staff are adequately trained. Many report feeling unprepared for the anticipated rise in EVs and hybrids within their fleets, and describe the current training environment as confusing and difficult to navigate.
In many cases, training demand exceeds supply, highlighting the urgent need for accessible training options, clearly defined pathways, and consistent communication of safety requirements tailored to different business types.
As of 2025, only 16% of business owners feel prepared for an increase in EVs, and 26% feel ready for more hybrids. These figures underscore the importance of structured training, hands-on exposure, and real-world experience in building the confidence and operational readiness needed to support Australia’s transition to new vehicle technologies.
Amongst Panel and Paint/ Collision repairs only
Q. On average, how many vehicles in total do you service / work on each month?
"I keep up to date with the latest automotive technology"
Why it Matters
The shift toward electric and hybrid vehicles is already underway. By working together, government and industry can ensure the workforce is ready, businesses are equipped, and customers continue to receive high-quality service. Investing in training and technology now could help future-proof the sector and keep Australia’s automotive industry moving forward.
For policymakers, these findings highlight the need for targeted investment in training and education. Potentially expanding access to EV and hybrid-specific programs (particularly for
apprentices) could help build a workforce that’s ready for the future. Additionally, supporting small businesses with funding and resources to upgrade tools and skills could help these businesses keep up with technological change.
For the industry, this is a chance to lead the transition. By investing in training, mentoring, and modern equipment, businesses should be able to strengthen their teams, improve service offerings, and position themselves for long-term success.
Q.
There are cars that do come in, and I like to take the challenge, work on them and learn from them.” “
CASE STUDY:
Taking on New Tech
Romeo’s Electric Vehicle Journey
Romeo Bruno and his wife Sandra run West Car Clinic in Ridgehaven, in Adelaide’s north-east. Like many workshop owners, Romeo saw the industry changing - and decided to get ahead of the curve.
“In the last two or three years, we’ve been working on EVs and hybrid vehicles,” Romeo said. “We’ve wanted to learn, so we’ve done courses in Melbourne and a few online ones too.”
Even though electric vehicles still make up a small percentage of the cars coming into the workshop, Romeo sees the value in being ready.
“There are cars that do come in, and I like to take the challenge, work on them and learn from them,” he said.
Learning and Adapting
Romeo’s approach shows how important it is to stay curious and keep learning. He’s taken the time to upskill, explore new technology, and build confidence working on EVs and hybrids - even before they become mainstream in his area.
By investing in training and embracing change, Romeo is making sure his business stays relevant and competitive.
Women in Automotive
A More Inclusive Industry
The automotive industry is gradually becoming more inclusive, with more women stepping into a wider range of roles across workshops and businesses. In 2025, women made up 22% of the total workforce, a figure that has remained steady over time. However, the types of roles women are taking on are expanding and that’s a positive sign for the future of the industry.
Strong Representation in Administrative Roles
Female participation in admin and office-based roles remains high, with 94% of businesses reporting at least one woman in these positions - up from 81% in 2024. This shows that women continue to play a vital role in the day-to-day operations of automotive businesses.
22% of the total workforce are women
Growth in Trade Roles
The most exciting progress is happening in trade and technical roles:
Estimators: 52% of businesses now employ one or more female estimators, up from 21% in 2024.
Qualified Mechanics: Female representation rose from 11% in 2024 to 16% in 2025.
Apprentices: The proportion of female apprentices doubled (from 16% to 32%) in just one year.
Spray Painters: Female representation jumped from 11% to 39%.
These increases reflect a meaningful shift in attitudes and opportunities. More women are entering the trades, and more businesses are recognising the value of a diverse workforce. This not only helps address the ongoing skills shortage but also strengthens the industry’s long-term sustainability.
86% of businesses employ at least one female
Why it Matters
Gender diversity in the automotive industry is not just a social milestone, it’s a strategic opportunity and about unlocking potential. Supporting more women into trade and technical roles can help expand the talent pool, strengthen teams, and build a more resilient industry.
For policymakers, these findings highlight the need for targeted action. Things like investment in inclusive training programs, school-based career awareness, and industry promotion could potentially help attract more women into automotive careers. Supporting small businesses with infrastructure upgrades,
mentorship initiatives, and hiring incentives could also help create more welcoming and equitable workplaces.
For the industry, it’s a call to work together on long-term solutions, whether showcasing female role models, modernising workplace culture, or creating clearer career pathways for women in trade roles.
Improving gender diversity is not just about representation, it’s about building a futureready workforce that reflects the communities it serves. With coordinated action, both government and industry can help turn this momentum into lasting change.
CASE STUDY:
A Family Workshop Finds Its Groove
Bryce and Bianca’s Story
In July 2024, Bryce Spiteri and his wife Bianca officially took over the family workshop from Bryce’s dad, Frank. The business, now called B&B Spiteri Automotive, has been a part of the Milperra community in south-west Sydney for decades.
Bryce started his apprenticeship in the workshop back in 2009, leaving school early to jump into the trade. He knew how to fix cars inside and out - but running a business was a whole new challenge.
“We winged it,” Bryce said. “There wasn’t a proper succession plan. Everything I knew about running a business came from watching my dad.”
There’s so much more to look forward to than to worry about what’s behind you.” “
Bringing in Fresh Ideas
The handover was made smoother with Frank still working three days a week. But the real game-changer came when Bianca left her corporate career to join the business full-time in November 2024.
“I saw a huge opportunity to improve how the business ran,” Bianca said. With her background in digital operations and systems from companies like Lendlease and Allianz, she brought a fresh perspective and a whole lot of structure.
Together, Bryce and Bianca introduced: Individual training plans for staff
Regular one-on-one feedback sessions, known as “airtime sessions”
“It’s one-on-one time with each of our employees to discuss anything they want to discuss, and then we also just give them feedback in those sessions,” Bianca said.
A new operations manual
A switch from paper to digital job cards
These changes boosted productivity to around 80% and increased net profit by 10%.
Lessons in Growth
Bryce and Bianca have learned a lot through the transition and have some advice for other workshop owners thinking about succession or business growth:
Respect the past: “There’s wisdom in how things were done,” Bryce said.
“My dad knew his customers beyond their cars - people still ask for him. We’re keeping that going.”
Take it slow: Learning how to run a business takes time. Bryce now checks his profit and loss statement every Monday and sets aside time each week to stay on top of things.
Back yourself: Change can be uncomfortable, but it’s necessary. “If you’re not evolving, you’re not growing,” Bryce said. “Trust yourself to lead.”
Use your data: Know your numbers. “Stay on top of your financials and use your workshop system to track team productivity,” Bryce said.
Simplify your processes: “You can’t do everything yourself,” Bryce said. “Make things repeatable so you can delegate.”
Put customers first: “Ask for feedback and use it to improve the experience for new customers,” Bryce said.
Plan for succession: “Don’t be afraid to veer from what you’ve always known,” Bianca said. “It’s scary to change, but that change can mean that 10% increase in net profit. If you stay the same, it could mean your net profit does, too.”
Thank you for reading
As we wrap up this year’s State of the Nation report, one thing is clear - the Australian automotive industry is not standing still - it’s evolving, adapting, and showing a strong appetite for growth, even in the face of persistent challenges. This is a great credit to the automotive industry and everyone in it, that we just “find a way”.
Across workshops big and small, business owners are backing themselves. They’re investing in smarter ways of working, setting bold goals, and reporting record turnover. Confidence in the future remains steady, especially among younger owners who are embracing innovation and planning for long-term success. This optimism is not just encouraging - it’s a signal that the industry is ready to move forward.
But growth doesn’t happen in isolation. The skills shortage continues to be the most pressing issue, affecting productivity, customer service, and the wellbeing of business owners. Yet, there’s momentum building. Apprentices are entering the trade with energy and ambition, and more women are stepping into technical roles than ever before. These shifts point to a more diverse, future-ready workforce - one that reflects the communities it serves and strengthens the industry’s foundations.
Technology is also reshaping the road ahead. Electric and hybrid vehicles are becoming part of everyday workshop life, and while many businesses still feel under-prepared, the desire to learn and adapt is strong. This is a prime opportunity for government and industry to work together - investing in training, upgrading tools, and ensuring the workforce is equipped for what’s next.
Throughout this report, we’ve heard from Members who are leading by example. They’ve restructured their businesses, embraced sustainability, and built strong, supportive teams. Their stories show that with the right mindset and support, growth isn’t just possible - it’s already happening.
For policymakers, these findings offer a clear roadmap for action. Supporting workforce development, promoting trades in schools, and helping small businesses innovate has the potential to make a real difference.
For Members and business owners, the report provides practical insights and inspiration - a reminder that even small changes can lead to big results.
Ultimately, this report matters because it gives a voice to the people who keep Australia moving. It highlights what’s working, where help is needed, and how we can build a stronger, more sustainable future for our industry – together.
If you’d like to continue the conversation about State of the Nation please reach out.
Brad Gannon Group CEO, Capricorn
Capricorn has been exploring key trends in the automotive industry over the last six years
Key themes emerging over the last few years include:
Capricorn’s first State of the Nation report reveals the industry faces a lack of qualified technicians and struggles to maintain a healthy work-life balance
The industry shows resilience through COVID, despite worldwide parts shortages
A shortage of qualified technicians and being able to create a healthy work-life balance remain the top two issues in the industry.
Workshops work on an average of 2 EVs per month.
and hit 10% of
new car sales.
Businesses increase their investment in training and new vehicle technology
Finding skilled staff and maintaining a work-life balance remain difficult for business owners.
A Skills Shortage special edition of State of the Nation revealed only 4 in 10 businesses adequately staffed.
As the cost of living pressures mount, car owners are servicing their vehicles less frequently, which is a challenge felt by Members.
Attracting young people into the industry is a growing challenge.
The skills shortage and finding a worklife balance remain industry-wide issues.
Workshops are focusing on business growth through finding efficiencies and reducing operational costs.
1 in 2 workshops continue to be impacted by the skills shortage
On average, workshops work on 5 EVs per month, up from 2 EVs per month in 2021.
