Explore our State of the Nation Hub

Content Hub

Opinion article

Healthcare workforce futures: The system needs people and capability

Australia’s healthcare workforce challenge is no longer just about shortages — it’s about whether the system can build the capability, leadership and resilience needed for a far more complex future.

If we keep describing the future health workforce problem as a “shortage,” we will keep designing the insufficient solutions. The health system is not only running out of people — it is running out of capability, coherence and leadership at precisely the moment complexity is accelerating.

In the workforce strategies there is a critical enabling line: management and leadership. For decades, health systems have quietly relied on clinicians to step into leadership roles with limited comprehensive preparation, fragmented development pathways and the need to optimise organisational support. The result is predictable. Teams fracture under pressure, culture becomes a vague aspiration rather than an operational reality and retention strategies default to superficial fixes rather than structural change.

A future‑ready health system also depends on how intentionally we design clinical workforce pathways. Australia trains world‑class clinicians, yet too often they enter service environments that are fragmented, under‑supervised and disconnected from long‑term development. Universities and health services must operate as equal partners—aligning education, placement models and early‑career transitions with real service need. Structured pathways, strong supervision and deliberate exposure to leadership, digital health and multidisciplinary practice are not optional extras; they are essential infrastructure for retention, performance and system resilience.

This is not only a training problem. It is a design problem.

The future workforce will not be stabilised by producing more graduates alone. Early-career attrition — particularly in nursing, midwifery, allied health and medicine — is not only a pipeline issue; it is a lived experience issue. When clinicians leave within their first few years, they are not rejecting healthcare — they are rejecting environments where support is inconsistent, leadership is variable, and the “employee experience” is poorly understood. The system is effectively leaking talent faster than it can be produced. There are currently five generations in the health workforce, soon to be six, and greater sophistication in support approach is warranted.

Layered onto this is a profound geographical imbalance. Rural and remote services are not just understaffed; they are structurally fragile. These environments demand a different kind of leader — one capable of operating across governance, service integration, cultural responsiveness and crisis conditions. Yet the pipeline for such leadership is thin, episodic and often metropolitan-centric. Without deliberate investment in place-based leadership capability, rural inequity will persist regardless of workforce supply.

But a significant disruption to workforce futures is not demographic — it is technological.

Digital health, data analytics and artificial intelligence are not peripheral capabilities; they are becoming a core infrastructure of modern healthcare delivery. Yet capability in these domains remains underdeveloped across both clinical and managerial cohorts. This creates a problematic asymmetry: systems are investing in technology faster than they are investing in the workforce required to use, govern and trust it.

The consequence? Digital transformation without workforce transformation — is a potential for inefficiency, risk and disengagement.

What is required now is a shift from workforce planning to capability architecture.

Leadership must be treated as critical infrastructure. This means structured, tiered pathways from early-career supervision through to executive leadership, with embedded coaching, applied learning and organisational accountability. One-off workshops and disconnected programs will not suffice; leadership development must be continuous, contextual and system-aligned.

Workforce strategies must move beyond generic solutions. Attrition is not homogeneous. The drivers for nurses, midwives, doctors, allied health professionals and Aboriginal and Torres Strait Islander health workers are distinct and well evidenced. Designing single retention strategies is not just ineffective — it is inefficient.

The system must operationalise the concept of employee experience. Healthcare has long focused on patient-centred care but the workforce experience remains fragmented and poorly coordinated. Voice mechanisms exist but are often incoherent, overlapping and constrained by hierarchy. If people do not feel heard, supported and able to influence their environment then no amount of recruitment will solve retention.

Digital capability must be democratised. AI and data literacy cannot sit within IT departments alone. Every clinician, manager and leader must develop a working fluency in these tools — not as an optional skillset but as a core professional competency. This requires deep partnerships between health services, universities and industry with continuous upskilling embedded into career pathways.

Governance cannot be an afterthought. Large-scale transformation — particularly digital — fails not because of ambition but because of unclear accountability. Without defined leadership structures and system-level coordination, workforce initiatives will remain fragmented and disconnected from service design. These reforms need impact from corporate and clinical governance.

The future health workforce will not be defined by how many people we train but by how well we design the system they enter.

If we continue to chase only numbers we will continue to fall short. If we build capability, coherence and leadership the workforce will follow.

CEDA Members contribute to our collective impact by engaging in conversations that are crucial to achieving long-term prosperity for all Australians. Find out more about becoming a member or getting involved in our research today.
About the author
MA

Mark Avery

See all articles
Dr. Mark Avery is an academic in health services management at Griffith University and an experienced international healthcare leader with more than 35 years’ executive, governance and regulatory experience across Australia and in England. He is the current President of the Queensland Branch of Australasian College of Health Service Management and Editor-in-Chief of the Asia Pacific Journal of Health Management.