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6102.0.55.001 - Labour Statistics: Concepts, Sources and Methods, Apr 2007  
Previous ISSUE Released at 11:30 AM (CANBERRA TIME) 19/04/2007   
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Contents >> Methods >> Business Collections >> Chapter 31. Survey of Employment and Earnings

CHAPTER 31. SURVEY OF EMPLOYMENT AND EARNINGS


INTRODUCTION

31.1 The Survey of Employment and Earnings (SEE) is conducted on an annual basis. From September quarter 1983 to June quarter 2007, SEE was conducted on a quarterly basis, with the annual SEE commencing in respect of the 2007–08 reference year.


31.2 The purpose of the survey is to provide estimates of (payroll) employees and cash wages and salaries for the public sector. Data contribute to the Australian National Accounts, for estimates of compensation of employees and of labour productivity. Prior to the March quarter 2002 the survey collected data for both the public and private sector.


SURVEY OUTPUT

31.3 Estimates from the annual survey are published in
Employment and Earnings, Public Sector, Australia (cat. no. 6248.0.55.002). Estimates from the quarterly survey were published in Wage and Salary Earners, Public Sector, Australia (cat. no. 6248.0.55.001).

31.4 The population of interest is public sector civilian employee jobs, for which wage and salary payments were made in the survey reference period, excluding employee jobs based outside of Australia. Two main series are published for the annual SEE:

  • public sector payroll employees (employee jobs) as at 30 June; and
  • cash wages and salaries for public sector employees.

31.5 Cash wages and salaries comprises regular and irregular payments for work done, including salary sacrificed amounts and paid leave; before tax and other items (e.g. superannuation) are deducted.

31.6 Data are compiled according to the concepts and definitions outlined in Chapter 12: Employee remuneration. Estimates of cash wages and salaries produced from the annual SEE are based on the Australian conceptual framework for measures of employee remuneration. See Information Paper: Changes to ABS Measures of Employee Remuneration, 2006 (cat. no. 6313.0).

31.7 Data are available for: state and territory; level of government; industry; and public institutional sector.

31.8 Data on earnings for the private sector is collected in the Quarterly Business Indicators Survey and is published in Business Indicators, Australia (cat. no. 5676.0).


SCOPE

31.9 Public sector employing organisations operating in the Agriculture, Forestry and Fishing industries (ANZSIC Division A) are included in the scope of this survey. Otherwise, the standard scope exclusions for ABS labour-related business surveys (outlined in
Chapter 25: Methods used in ABS business surveys) apply to this survey. Further information is available in the explanatory notes of the publication.


SURVEY METHODOLOGY

31.10 The SEE collects information using a mail-out/mail-back collection methodology from a sample of public sector employer units. Some government departments provide their information to the ABS electronically.


31.11 Employers who do not mail back their completed questionnaire within a reasonable period of time after the reference period are followed up by mail and then phone if necessary.


SAMPLE DESIGN

31.12 A sample of units is selected from the ABS Business Register using the process outlined in
Chapter 25: Methods used in ABS business surveys. Employing units are stratified by:
  • state or territory;
  • industry division based on the Australian and New Zealand Standard Industrial Classification (ANZSIC) 2006 edition; and
  • employment size (the ranges used vary between states and territories, and industries).

31.13 Strata on the survey frame that are completely enumerated include those containing statistical units with benchmark employment greater than a set cut-off (this cut-off will vary for different states/territories and industries) and strata with a very small number of sampling units.


31.14 In addition to constraints outlined in
Chapter 25: Methods used in ABS business surveys, sample selection is constrained by the need to ensure that there is minimum overlap with other labour-related business surveys.


SAMPLE SIZE AND ALLOCATION

31.15 Approximately 2,000 public sector employer units are selected in the sample to yield a live sample of approximately 1,900 employer units. The sample size decreased from the 2008–09 survey onwards, from around 2,500 to 2,000 employing units. This resulted in increased standard errors, in particular by level of government.

31.16 The sample is allocated optimally across sampled strata using a technique designed to minimise the variance of employment and cash wages and salaries at both the national and state/territory level.

31.17 The sample is updated each year to reflect changes in the ABS Business Register. Approximately one third of the sample from non-completely enumerated strata is replaced each year. Sample rotation is implemented for the majority of sampled strata comprising organisations with 50 employees or less.


ESTIMATION

31.18 Ratio estimation is used in all strata. Ratio imputation is used for non-responding units in both the completely enumerated and sampled strata.

31.19 Survey outliers are dealt with using the 'surprise outlier' technique.
For further information on outliers and the surprise outlier technique, refer to Chapter 17: Overview of survey methods.

31.20 For further information on estimation methods used in ABS Business Surveys, refer to
Chapter 25: Methods used in ABS business surveys.


RELIABILITY OF THE ESTIMATES

31.21 Estimates from the survey are subject to both sampling and non-sampling error. The standard errors of survey estimates are available in the publication.

31.22 The bootstrap replication method is used to calculate estimates of variance for this survey.


DATA COMPARABILITY OVER TIME

31.23 In order to provide a high degree of consistency and comparability over time, changes to survey methods, survey concepts, data item definitions, and time series analysis methods are made as infrequently as possible. There are also significant series breaks for public sector data over time due to the privatisation of a number of public sector enterprises. Significant privatisation of public sector enterprises began in the 1990s and further significant privatisation occurred in the 2000s. Other significant changes have included:
    1961
    Survey commenced.

    1983
    Quarterly survey commenced; based on the existing ABS Business register, replacing civilian employees series based on payroll tax, which was discontinued in April 1980. Public sector completely enumerated.

    1988
    Size of private sector sample reduced. Sampling introduced for public sector.

    1989
    Seasonally adjusted estimates introduced.

    1991
    First data collected electronically.

    1993
    Trend estimates introduced.

    1995
    Publication suspended after March quarter, but collection continued.

    1996
    Male and female employment last collected separately in May 1996.

    1997
    Publication resumed with March quarter, data published back to June quarter 1995. Extensive revisions made to previously published data due to past deficiencies in the coverage of small businesses on the ABS Business Register. New business provisions adjustment introduced and backcast to beginning of the series. Survey redesigned on ANZSIC 1993 basis, previously published ASIC estimates recompiled on equivalent ANZSIC 1993 basis back to September quarter 1983. Public sector sample size reduced, except for some industries with small populations in Northern Territory and the Australian Capital Territory becoming fully enumerated.

    2002
    Collection of private sector data discontinued from March quarter 2002. Monthly employment and the full-time/part-time split of employment in the middle month of the quarter discontinued.

    2003
    Estimates published in 6248.0.55.001, replacing 6248.0.

    2007–08
    Quarterly Survey of Employment and Earnings ceased after June quarter 2007. Annual Survey of Employment and Earnings commenced for 2007–08. Survey undertaken on an ANZSIC 2006 industry basis, as well as the 1993 edition. Employee remuneration data based on new conceptual framework for measures of employee remuneration. Salary sacrificed earnings collected. Severance, termination and redundancy payments still collected, but not included in the annual cash earnings series. Telstra privatised, and no longer included in estimates.

    2008–09
    Sample redesign undertaken for 2008–09 survey, based only on the 2006 edition of ANZSIC. Sample size decreased from about 2,500 units (2007–08) to about 2,000 (2008–09), resulting in increases of standard errors.

    2011–12
    Survey not conducted for this period. Estimates produced from the Major Labour Costs Survey (MLC). For further information on MLC refer to Chapter 28: Survey of Major Labour Costs.


FURTHER INFORMATION

31.24 For further details contact the Labour Market Statistics Section in Canberra on (02) 6252 7206 or email <labour.statistics@abs.gov.au>.


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