Key workers are generally defined as people who provide an essential service to the community. They play a critical role in keeping our economy functioning and our services operating. They are unable to work from home and often work outside of traditional business hours. Some examples of key worker occupations are cleaners, childcare workers, and chefs.

Our research shows that key workers are more likely to earn lower incomes, more likely to commute long distances to work, and are more likely to be in ‘housing stress’ (spending more than 30% of their gross household income on housing). There is significant demand from key workers for affordable rental housing in the City of Melbourne.

The proposed definition of key worker housing is: “Affordable rental housing that is appropriate for people who work within the City of Melbourne, who require a physical presence to perform their work, and whose household earns very low, low or moderate incomes. The housing must be allocated and monitored by a Registered Housing Agency.”

Key workers provide essential services, but are being displaced from our city due to the rising cost of housing.

The City of Melbourne is seeking to refine the draft key worker housing definition to provide clarity to the development sector, to inform negotiations for affordable housing contributions, and to assist with advocacy opportunities.

Affordable housing provides housing for households on very low to moderate incomes. The housing is quality, fit for purpose and priced at a level which is affordable relative to the income of its occupants. Affordable housing is owned and operated by state governments and not-for-profit registered housing providers.

Further information about affordable housing and why it is important to the city can be found in the Affordable Housing Strategy.

Further information about registered housing providers can be found at Housing Registrar.

You can find more information about affordable housing at Current affordable housing projects.

The information collected through this consultation will inform the final recommended key worker housing definition presented back to Council in early 2024.

All information collected will be de-identified. We will not share any of your personal information. For more information, refer to our privacy policy.