THE LABOUR MARKET
LABOUR FORCE STATUS
Employed people
At March 2006, there were an estimated 181,700 employed people in the ACT. This was similar to the estimate at March 2005 (181,500), and an increase of 3% from March 2004 (177,200).
At March 2006, 53% of these employed people were male and 47% were female. Of the total persons employed, 75% (136,000) worked full-time and 25% (45,700) worked part-time.
Eighty-four percent of employed males in the ACT worked full-time compared with 65% of employed females. The number of females employed part-time (30,200) was almost twice the number of males employed part-time (15,500).
Participation rates
The ACT's trend labour force participation rate at March 2006 was 72.1%. This represented a decrease of 0.7 percentage points from March 2005 (72.8%). The female trend participation rate decreased by 1.5% over the same period, while the male trend participation rate remained comparatively stable.
The ACT's trend participation rate at March 2006 was the highest of any Australian state or territory. The Northern Territory (NT) had the second highest trend participation rate (69.9%) followed by Western Australia (WA) (67.9%) and Queensland (66.2%). The national trend participation rate was 64.4%.
10.1 LABOUR FORCE STATUS (AGED 15 AND OVER), ACT: Trend series - March |
|  |
| | Employed full-time | Total employed | Total unemployed | Unemployment rate | Participation rate | Civilian population aged 15 years and over | |
| | '000 | '000 | '000 | % | % | '000 | |
| |
| Males | | | | | | | |
| 2004 | 76.2 | 92.7 | 3.8 | 4.0 | 77.7 | 124.3 | |
| 2005 | 79.4 | 94.0 | 3.5 | 3.6 | 77.7 | 125.4 | |
| 2006 | 80.0 | 95.5 | 3.2 | 3.2 | 77.8 | 126.8 | |
| Females | | | | | | | |
| 2004 | 53.1 | 84.5 | 3.0 | 3.4 | 66.2 | 132.1 | |
| 2005 | 55.2 | 87.5 | 2.7 | 3.0 | 68.1 | 132.6 | |
| 2006 | 56.0 | 86.2 | 2.8 | 3.2 | 66.6 | 133.7 | |
| Persons | | | | | | | |
| 2004 | 129.2 | 177.2 | 6.8 | 3.7 | 71.8 | 256.4 | |
| 2005 | 134.6 | 181.5 | 6.2 | 3.3 | 72.8 | 257.9 | |
| 2006 | 136.0 | 181.7 | 6.0 | 3.2 | 72.1 | 260.5 | |
| |
| Source: Labour Force, Australia, March 2006 (cat. no. 6202.0). |
Unemployment
The ACT's trend unemployment rate at March 2006 was 3.2%, which was similar to March 2005 (3.3%). After rising to 5.6% in June 2001 from 5.0% in March 2001, the trend unemployment rate generally declined over the following five years. The national trend unemployment rate for March 2006 was 5.1%.
10.2 UNEMPLOYMENT RATE, ACT and Australia: Trend series - 2001-2006
At March 2006, there was an estimated 6,000 unemployed people in the ACT, which was comparable with March 2005 (6,200). At March 2006, 53% of unemployed people were male and 47% were female.
TEENAGE LABOUR MARKET
One of the major factors affecting teenage participation in the labour market is the number of teenagers who attend full-time educational institutions. The number of people aged 15-19 years who study full-time is typically higher than any other age group.
In the ACT, the civilian population aged 15-19 years at March 2006 was 23,300. Of these, 17,400 attended an educational institution full-time. There were 11,900 employed people aged 15-19 years, comprised of 3,400 full-time workers, and 8,500 part-time workers. Of those employed, 7,200 (61%) also attended full-time education.
The unemployment rate for people aged 15-19 years in the ACT at March 2006 was 12.4%. This represented a decrease of 2.2 percentage points since March 2005 (14.6%). Of the other states and territories at March 2006, only the NT had a lower unemployment rate (8.6%) than the ACT for people aged 15-19 years.
The ACT's labour force participation rate for people aged 15-19 years at March 2006 was 58.4%. This is 6.3 percentage points lower than in March 2005 (64.7%).
10.3 PERSONS AGED 15-19 YEARS, ACT: Original series - March 2006 |
| |
| | | Not attending full-time education | Attending full-time education | Total | |
| |
| Employed | | | | | |
| Full-time | '000 | 3.4 | * - | 3.4 | |
| Part-time | '000 | 1.3 | 7.2 | 8.5 | |
| Total | '000 | 4.7 | 7.2 | 11.9 | |
| Unemployed | | | | | |
| Looking for f/t work | '000 | *0.5 | *0.2 | *0.7 | |
| Total | '000 | *0.5 | *1.2 | 1.7 | |
| Labour force | '000 | 5.2 | 8.4 | 13.6 | |
| Not in the labour force | '000 | *0.7 | 9.0 | 9.7 | |
| Civilian population aged 15-19 years | '000 | 5.9 | 17.4 | 23.3 | |
| Unemployment rate | | | | | |
| Looking for f/t work | % | *13.3 | *100.0 | *16.9 | |
| Total | % | *10.0 | *13.9 | 12.4 | |
| Participation rate | % | 88.9 | 48.2 | 58.4 | |
| Unemployment to population ratio-looking for full-time work | ratio | *8.9 | *1.0 | *3.0 | |
| |
| * estimate has a relative standard error of 25% to 50% and should be used with caution |
| - nil or rounded to zero (including null cells) |
| Source: Labour Force, Australia, March 2006 (cat. no. 6202.0). |
EMPLOYMENT GROWTH BY INDUSTRY
The Electricity, gas and water supply sector had the highest employment growth rate in the year to February 2006, with a 50% increase in the number of employed persons. The Wholesale trade sector had the second highest growth rate, increasing by 48% over the same period. The largest decrease was in the Accommodation, cafes and restaurants sector, where employee numbers dropped by 24%. The Health and community services sector had the second largest decrease of 17%.
10.4 EMPLOYED PERSONS BY INDUSTRY, ACT - February quarter |
| |
| 2005 | 2006 | 2005 to 2006 | |
| '000 | % | '000 | % | % change | |
| |
| Agriculture, forestry and fishing | 1.0 | 0.6 | 1.4 | 0.8 | 40.0 | |
| Mining | 0.1 | 0.1 | - | - | - | |
| Manufacturing | 5.2 | 2.9 | 4.5 | 2.5 | -13.5 | |
| Electricity, gas and water supply | 0.8 | 0.4 | 1.2 | 0.7 | 50.0 | |
| Construction | 11.2 | 6.2 | 11.1 | 6.2 | -0.9 | |
| Wholesale trade | 2.9 | 1.6 | 4.3 | 2.4 | 48.3 | |
| Retail trade | 23.0 | 12.7 | 20.7 | 11.6 | -10.0 | |
| Accommodation, cafes and restaurants | 8.7 | 4.8 | 6.6 | 3.7 | -24.1 | |
| Transport and storage | 4.5 | 2.5 | 4.2 | 2.3 | -6.7 | |
| Communication services | 2.7 | 1.5 | 2.8 | 1.6 | 3.7 | |
| Finance and insurance | 3.9 | 2.1 | 4.0 | 2.2 | 2.6 | |
| Property and business services | 26.1 | 14.4 | 26.7 | 14.9 | 2.3 | |
| Government administration and defence | 44.6 | 24.6 | 46.1 | 25.7 | 3.4 | |
| Education | 13.6 | 7.5 | 16.1 | 9.0 | 18.4 | |
| Health and community services | 19.1 | 10.5 | 15.8 | 8.8 | -17.3 | |
| Cultural and recreational services | 7.2 | 4.0 | 6.0 | 3.3 | -16.7 | |
| Personal and other services | 6.9 | 3.8 | 7.7 | 4.3 | 11.6 | |
| Total | 181.5 | 100.0 | 179.2 | 100.0 | -1.3 | |
| |
| - nil or rounded to zero (including null cells) |
| Source: Labour Force, Australia, Detailed, electronic delivery (cat. no. 6291.0.55.003), Datacube E12, February Quarter 2006. |
PERSONS NOT IN THE LABOUR FORCE
The ABS conducted the Persons Not in the Labour Force survey in September 2005 as a supplement to the Labour Force Survey (LFS). The data measure the potential supply of labour not reflected in the employment and unemployment statistics.
Persons not in the labour force are those people in the civilian population aged 15 years or over who are neither employed nor unemployed. At September 2005, 71,500 people in the ACT were classified as not in the labour force.
Persons not in the labour force can be divided further into those who are marginally attached to the labour force and those who are not.
Persons not in the labour force are considered to be marginally attached to the labour force if they:
- want to work and are actively looking for work but are not available to start work in the reference week, or
- want to work and are not actively looking for work but are available to start work within four weeks.
Persons not in the labour force are not marginally attached to the labour force if they:
- do not want to work, or
- want to work but are not actively looking for work and are not available to start work within four weeks.
At September 2005, 14,000 people had a marginal attachment to the labour force. Of the 57,500 people without a marginal attachment to the labour force, 4,700 wanted to work, but were not actively looking, and were not available to start work within four weeks. A further 49,500 people did not want to work. The remaining 3,300 were permanently unable to work.
JOB VACANCIES
At February 2006, there were a total of 3,800 job vacancies in the ACT, a decrease of 6.2% from February 2005 (4,000). In the private sector there were 2,000 job vacancies for February 2006, a decrease of 6.0% from February 2005 (2,100). In the public sector there were 1,800 job vacancies for February 2006, a decrease of 6.4% from February 2005 (1,900). These changes were relatively stable when compared with the fluctuations between February 2001 and February 2005.
10.5 JOB VACANCIES, ACT - February |
| |
| Private | Public | Total | |
| '000 | '000 | '000 | |
| |
| 2001 | 2.0 | 1.3 | 3.3 | |
| 2002 | 2.6 | 1.6 | 4.2 | |
| 2003 | 1.3 | 1.0 | 2.3 | |
| 2004 | 0.9 | 1.3 | 2.2 | |
| 2005 | 2.1 | 1.9 | 4.0 | |
| 2006 | 2.0 | 1.8 | 3.8 | |
| |
| Source: Job Vacancies, Australia, February 2006 (cat. no. 6354.0), Time Series Spreadsheets. |
WAGE PRICE INDEX
The Wage Price Index (formally called the Wage Cost Index) has been re-based from the September quarter 1997 to the financial year 2003-2004 = 100.0. The quarterly Wage Cost Index publication, now renamed Labour Price Index, has retained its catalogue number (6345.0) but includes annual non-wage costs, such as annual and public holiday leave, superannuation, workers' compensation and payroll tax. (In the September quarter publication Wage Price Index tables 1-12, Non Wage tables 13-20 and Labour Price Index tables 21-23 are published. In all other quarters only Wage Price Index tables 1-12 are published and a summary of the Non Wage and Labour Price Index data appears in appendix 3). Further information about the new price index series is available through Labour Price Index: Concepts, Sources and Methods, 2004, (cat. no. 6351.0.55.001).
10.6 WAGE PRICE INDEX(a), ACT - 2003-2005
AVERAGE WEEKLY EARNINGS
At November 2005, the ACT average weekly ordinary time earnings (AWOTE) figure for all full-time adult employees was $1,191.20, which was 16% higher than the national figure of $1,029.50. The trend estimate of AWOTE for full-time adult males in the ACT was $1,275.60, 17% higher than the national figure ($1,088.30). For full-time adult female employees, the trend AWOTE was $1,077.10, 17% higher than the national figure ($922.60).
The ACT continues to have the highest AWOTE of all states and territories for full-time adult employees. New South Wales (NSW) had the second highest AWOTE for both males ($1,157.40) and females ($973.90). In the December quarter 2005, the ACT Wage Price Index (for total hourly rates of pay excluding bonuses) was 108.7 for the public sector, and 107.0 for the private sector. This represents an increase of 3.7 index points for the public sector from December 2004 (104.8), and 3.8 index points for the private sector (103.1) over the same period. The wage prices in both sectors have risen steadily over the last two years.
10.7 AVERAGE WEEKLY ORDINARY TIME EARNINGS(a), Full-time Adults: Trend series - November 2005 |
| |
| Males | Females | Persons | |
| $ | $ | $ | |
| |
| Australian Capital Territory | 1 275.6 | 1 077.1 | 1 191.2 | |
| New South Wales | 1 157.4 | 973.9 | 1 089.0 | |
| Victoria | 1 055.7 | 915.0 | 1 010.1 | |
| Queensland | 1 014.0 | 866.7 | 959.6 | |
| South Australia | 982.4 | 891.0 | 950.6 | |
| Western Australia | 1 148.6 | 863.4 | 1 054.8 | |
| Tasmania | 955.9 | 827.6 | 911.4 | |
| Northern Territory | 1 150.1 | 895.5 | 1 042.5 | |
| Australia | 1 088.3 | 922.6 | 1 029.5 | |
| |
| (a) 'Adult' is defined as 21 years of age or over, or people paid at the adult rate for their occupation. |
| Source: Average Weekly Earnings, November 2005 (cat. no. 6302.0). |
GROSS HOUSEHOLD DISPOSABLE INCOME
Gross household disposable income (GHDI) is gross household income after subtracting:
- income tax payable,
- other current taxes on income,
- wealth etc.,
- consumer debt interest,
- interest payable by unincorporated enterprises,
- net non-life insurance premiums, and
- other current transfers payable by households.
In 2004-05, GHDI for the ACT was $43,084 per capita. This represented an increase of $2,188 (5%) from 2003-04 ($40,896), and an increase of $4,325 (11%) from 2002-03. The ACT's GHDI was over $10,000 per capita higher than any other state or territory in 2004-05. NSW had the second highest GHDI at $28,629 per capita, while the national GHDI was $27,468 per capita, 36% lower than the ACT.
10.8 GROSS HOUSEHOLD DISPOSABLE INCOME: Per capita |
| |
| 2002-03 | 2003-04 | 2004-05 | |
| $ | $ | $ | |
| |
| Australian Capital Territory | 38 759 | 40 896 | 43 084 | |
| New South Wales | 26 759 | 27 649 | 28 629 | |
| Victoria | 25 680 | 27 259 | 28 501 | |
| Queensland | 22 037 | 23 273 | 24 455 | |
| South Australia | 24 075 | 24 839 | 25 513 | |
| Western Australia | 24 558 | 26 248 | 27 016 | |
| Tasmania | 20 441 | 21 711 | 22 967 | |
| Northern Territory | 23 334 | 24 809 | 26 728 | |
| Australia | 25 181 | 26 401 | 27 468 | |
| |
| Source: Australian National Accounts: State Accounts, 2004-05 (cat no. 5220.0). |
LABOUR COSTS
Compensation of employees covers wages and salaries received by employees, and employers' social contributions (pension and superannuation funds, and workers compensation).
In 2004-05, employee compensation in the ACT totalled $11.2b, or 61% of Gross State Product (GSP) at current prices. This is an increase of $583m from 2003-04 ($10.7b). Nationally, compensation of employees totalled $426.4b, or 48% of Gross Domestic Product (GDP) at current prices, up $27.8b since 2003-04 ($398.7b).
10.9 LABOUR COSTS, ACT and Australia: In current prices |
| |
| | | 2002-03 | 2003-04 | 2004-05 | |
| |
| ACT | | | | | |
| Compensation of Employees(a) | $m | 9 989 | 10 651 | 11 234 | |
| Gross State Product | $m | 16 091 | 17 309 | 18 306 | |
| Proportion of GSP | % | 62 | 62 | 61 | |
| Australia | | | | | |
| Compensation of Employees(a) | $m | 377 268 | 398 662 | 426 419 | |
| Gross Domestic Product | $m | 782 798 | 838 251 | 891 524 | |
| Proportion of GDP | % | 48 | 48 | 48 | |
| |
| (a) Compensation of employees as a component of Gross State Product (GSP) for the ACT, and Gross Domestic Product (GDP) for Australia, consists of the value of entitlements earned by employees from their employers for services rendered during the accounting period. |
| Source: Australian National Accounts: State Accounts, 2004-05 (cat no. 5220.0). |
TRADE UNION MEMBERSHIPS
At August 2005, an estimated 165,600 people had their main job in the ACT. Of these, 33,800 (20%) were members of a trade union in their main job, which was the same number of trade union members estimated at August 2004.
Nationally, 1,911,900 employees were members of a trade union in their main job at August 2005, up 3.8% from August 2004 (1,842,100). The proportion of employees who were trade union members decreased from 23% in 2004 to 22% in 2005.
INDUSTRIAL DISPUTES
For the year ended December 2005, there were 100 working days lost due to industrial action in the ACT, compared to 500 working days lost in 2004.
There were 0.4 working days lost per thousand employees in the ACT in the year ended December 2005. This was well below the national figure of 26.4 working days lost per thousand employees.
BIBLIOGRAPHY
ABS
Australian National Accounts: State Accounts, 2004-05, cat. no. 5220.0.
Average Weekly Earnings, Australia, November 2005, cat. no. 6302.0.
Employee Earnings, Benefits and Trade Union Memberships, Australia, August 2005, cat. no. 6310.0.
Industrial Disputes, Australia, December 2005, cat. no. 6321.0.55.001, Time Series Spreadsheets.
Industrial Disputes, Australia, Data available on request.
Job Vacancies, Australia, February 2006, cat. no. 6354.0, Time Series Spreadsheets.
Labour Force, Australia, March 2006, cat. no. 6202.0.
Labour Force, Australia, Detailed, Electronic Delivery, March 2006, cat. no. 6291.0.55.001, Datacube E12.
Labour Price Index, Australia, December 2005, cat. no. 6345.0.
Labour Price Index: Concepts, Sources and Methods, 2004, cat. no. 6351.0.55.001.
Persons Not In The Labour Force, Australia, September 2005, cat. no. 6220.0.
Print Page
Print All