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6359.0 - Forms of Employment, Australia, Nov 2004  
Previous ISSUE Released at 11:30 AM (CANBERRA TIME) 19/05/2005   
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ABOUT THIS PUBLICATION

This publication presents information about the nature of employment arrangements in the Australian workforce.


The statistics in this publication were compiled from data collected in the Forms of Employment Survey (FOES), that was conducted throughout Australia in November 2004 as a supplement to the Australian Bureau of Statistics (ABS) monthly Labour Force Survey (LFS). Questions were asked about employment arrangements in the main job of all employed persons, except contributing family workers.


This survey provides information on the structure and incidence of different employment arrangements, aspects of job tenure and job security. The publication presents cross-classification of different types of employment by selected employment characteristics (such as hours worked, industry and occupation) and demographic characteristics (such as age, sex and country of birth).



NOTES ABOUT THE ESTIMATES

The FOES was conducted for the first time in August 1998. The survey underwent a redesign in 2001 to reflect the changes in the labour market that had occurred. The redesign also restricted the scope of the survey to persons aged 15-69 years. For the most recent FOES, the scope includes all persons aged 15 years and over, which aligns with the 1998 survey. Table 1 provides a time series of persons aged between 15 and 69 years. The remaining tables in the publication are based on the age scope of 15 years and over.


Information on self-identified casuals collected in the latest survey is no longer considered to be an employment type for this survey. For the 2004 FOES, the conceptual framework for Employed persons has been altered to reflect this change.


The employment type classification used in FOES 2004 accords with the LFS status in employment classification. The LFS status in employment classification is a classification of employed persons and is based on the International Labour Organisation's 1993 International Classification of Status in Employment (ICSE). The ICSE notes that while it is consistent with the System of National Accounts to classify people working in their own incorporated enterprise as employees - Owner managers of incorporated enterprises (OMIEs), in many respects they have more in common with Owner managers of unincorporated enterprises (OMUEs). See Appendix 1 for further information.



ROUNDING

As estimates have been rounded, discrepancies may occur between sums of the component items and totals.



INQUIRIES

For further information about these and related statistics, contact the National Information and Referral Service on 1300 135 070 or Labour Household Surveys on Canberra (02) 6252 7206.



CONCEPTUAL FRAMEWORK


INTRODUCTION

Australia's workforce continues to change. There is an increasing diversity of employment arrangements, more flexible working time patterns, and significant increases in the extent of part-time and casual employment.


The Forms of Employment Survey (FOES) describes forms of employment and working arrangements in the Australian labour market. The FOES also describes some of the employment and demographic characteristics of people in different employment types.



THE FRAMEWORK

The FOES conceptual framework classifies jobholders to an employment type category on the basis of their main job, that is, the job in which they usually worked the most hours. Under this framework, Owner managers of incorporated enterprises (OMIEs) are presented separately from other employees. Employees (excluding OMIEs) are classified according to their paid leave entitlements. Unlike the conceptual framework used for the 2001 FOES, employees who are self-identified casuals are not separately identified in the 2004 framework.

Diagram: Forms of Employment Survey conceptual framework




SUMMARY OF FINDINGS


OVERVIEW

In November 2004, there were 9,641,000 persons aged 15 years and over who were employed. Of these, 60% were Employees (excluding OMIEs) with paid leave entitlements. Of the remaining employed persons:
  • 1,988,900 were Employees (excluding OMIEs) without paid leave entitlements
  • 687,200 were Owner managers of incorporated enterprises
  • 1,220,700 were Owner managers of unincorporated enterprises.


EMPLOYMENT TYPE

Employees (excluding OMIEs) with paid leave entitlements

Of the 5,744,100 persons who were Employees (excluding OMIEs) with paid leave entitlements, 67% worked 35 hours or more in their main job. The industry with the highest proportion of Employees (excluding OMIEs) with paid leave entitlements was Government administration and defence (91%). Fourteen per cent of Employees (excluding OMIEs) with paid leave entitlements were in the Manufacturing industry, and a further 12% were in the Health and community services industry. Employees (excluding OMIEs) with paid leave entitlements were more likely to be Professionals (23%) than any other occupation group.


Employees (excluding OMIEs) without paid leave entitlements

There were 1,988,900 persons who were Employees (excluding OMIEs) without paid leave entitlements in November 2004. Just over three-quarters (1,512,300) worked less than 35 hours in their main job, with 818,800 persons working 15 hours or less. The majority (84%) of Employees (excluding OMIEs) without paid leave entitlements considered their job to be casual (91% of females and 84% of males). Twenty-nine per cent of Employees (excluding OMIEs) without paid leave entitlements were in the Retail trade industry. Employees (excluding OMIEs) without paid leave entitlements were more likely to be Elementary clerical, sales and service workers (26%) than any other occupation group.


Owner managers of incorporated enterprises

Of the 687,200 Owner managers of incorporated enterprises, 72% worked 35 hours or more in their main job, with 42% working 49 hours or more. This compares with 12% of Employees (excluding OMIEs) working 49 hours or more. Almost three-quarters (73%) of Owner managers of incorporated enterprises were males. Almost one-third (32%) were aged 45-54 years. Slightly less than one-quarter (23%) of OMIEs were in the Property and business services industry. Of the occupation groups, OMIEs were more likely to be Associate professionals (23%).


Owner managers of unincorporated enterprises

Of the 9,641,000 employed people, 13% were Owner managers of unincorporated enterprises (OMUEs). Of these, 58% worked 35 hours or more in their main job, with just under one-third (31%) working 49 hours or more. Two-thirds of OMUEs were males. Twenty-two per cent of OMUEs were in the Construction industry. Almost one-quarter (23%) of OMUEs were Tradespersons and related workers.



EMPLOYED PERSONS

Length of time with employer or business

Of the 9,641,000 employed persons aged 15 years and over, 24% had been with their employer or business for more than 10 years. This length of time with an employer or business was most commonly reported for all employment types, except Employees (excluding OMIEs) without paid leave entitlements, where nearly half (47%) reported a duration of less than 1 year.


Graph: Continuous duration with current employer or business by employment type



Hours worked in main job

Approximately one in four (24%) Employed persons worked 45 hours or more in their main job in the reference week. Of these, 35% were Owner managers and 59% were Employees (excluding OMIEs) with paid leave entitlements.


Tenure of employment

Nearly all (90%) Employed persons in November 2004 expected to be with their current employer or business in 12 months time.


Almost one-quarter (23%) of Employees (excluding OMIEs) without paid leave entitlements did not expect to be with their current employer in 12 months. This compares with 8% of Employees (excluding OMIEs) with paid leave entitlements, 5% for OMUEs, and 3% for OMIEs.


Contract work

Of the 221,000 Employees (excluding OMIEs) who said they worked on a contract basis, 19% worked in the Property and business services industry and 18% worked in Education. Almost one-third (31%) of Employees (excluding OMIEs) who said they worked on a contract basis were Professionals.


More than one-third (35%) of the 450,200 Owner managers who said they worked on a contract basis were working in the Construction industry. More than one-quarter (29%) of Owner managers working on a contract basis were Tradespersons and related workers.


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