Post-election, the Labor government has reaffirmed its commitment to innovation and cost savings, though the scale of project commitments from the election and budget may challenge how achievable this really is. Health, Aged Care, and Disability sectors continue to be major growth areas, supported by multi-billion-dollar investments in initiatives such as the NDIS capability uplift, Aged Care reform, and Medicare enhancements. The current state of the Coalition may embolden the government to advance more assertively with its policy and reform agenda, particularly across social and public infrastructure sectors.

BuyICT and People Panel remain the main approved procurement models for engaging contingent and labour hire workers across government. Adoption of these models is now consistent across most agencies, and demand for compliant sourcing strategies is expected to grow. Providers and candidates should ensure full familiarity with these frameworks and align with compliance requirements.

Stability and security are now top of mind for contractors. Following a year of budget constraints and uncertainty, there is a clear preference for long-term engagements, fully funded projects, and strong visibility of the project pipeline. Hybrid and flexible work remain the default expectation, but there is growing openness to full-time onsite roles, especially where the work is meaningful, team culture is strong, and compensation is appropriate.

Many departments are facing dual pressures: reducing reliance on external labour while still needing to deliver ambitious digital and infrastructure programs, often without sufficient internal capability. As a result, clients are increasingly seeking adaptable, pragmatic, and collaborative candidates. Those who are flexible on rates in exchange for long-term, high-impact work are particularly valued.