SERVICE INDUSTRIES OVERVIEW

The contribution of an industry to the overall production of goods and services in an economy, gross domestic product (GDP), is measured by industry gross value added (GVA). Information on the relationship between industry GVA and GDP is provided in the INDUSTRY STRUCTURE AND PERFORMANCE chapter.

In 2010–11, the largest services-producing industry, in terms of industry GVA was the Financial and insurance services industry, which accounted for 10% of total GDP.

The Professional, scientific and technical services industry recorded the largest percentage increase in GVA over the period 2006–07 to 2010–11 (25%), or an average annual growth rate of 6% per year (in volume terms). The next largest average annual growth rate over the period was recorded by the Health care and social assistance industry (5%) and Arts and recreation services (3%). At the other end of the scale, the Accommodation and food services industry suffered a period of negative growth in GVA between 2006–07 and 2010–11, with an average annual decrease of 1% (table 22.1).

22.1 SERVICE INDUSTRIES(a), Gross value added(b)
	2006–07	2010–11	Average annual growth from 2006–07 to 2010–11
ANSZIC Division	$m	$m	%
Wholesale trade	51 168	54 794	1.8
Retail trade	54 551	59 092	2.1
Accommodation and food services	31 381	29 941	–1.1
Transport, postal and warehousing	61 288	67 720	2.6
Information media and telecommunications	38 472	42 367	2.5
Financial and insurance services	115 172	127 984	2.8
Rental, hiring and real estate services(c)	26 489	26 736	0.2
Professional, scientific and technical services	69 488	86 604	6.2
Administrative and support services	31 059	32 254	1.0
Public administration and safety	60 302	65 266	2.1
Education and training	52 890	58 821	2.8
Health care and social assistance	62 097	74 307	4.9
Arts and recreation services	9 906	11 172	3.2
Other services	22 955	22 671	–0.3
Total	687 218	759 729	2.6
(a) Classified according to the Australian and New Zealand Standard Industrial Classification (ANZSIC), 2006 edition (1292.0). Excludes the Electricity, gas, water and waste services industry, which is both a goods-producing and services-producing industry. See next section for more information.
(b) Volume measures. Reference year is 2009–10.
(c) Excludes ownership of dwellings.
Source: Australian System of National Accounts (5204.0).

Average annual total employment in the service industries in 2010–11 was 8,620,700 people (table 22.2), which represented 76% of all employment.

The largest employing service industry was Health care and social assistance, with average annual employment in 2010–11 of 1,291,800 people, accounting for 15% of total employment in the services sector. Other large employing industries were Retail trade (1,234,400 people), Education and training (866,900 people), and Professional, scientific and technical services (861,000 people).

Between 2009–10 and 2010–11, employment in the Rental, hiring and real estate services increased by 20,600 people or 11%, followed by Administrative and support services with 7% growth. The only decrease in total employed persons occurred in Wholesale trade with a fall of 11,500 people or nearly 3%.

22.2 SERVICE INDUSTRIES(a), Employment(b)
	2009–10	2010–11	Change 2009–10 to 2010–11
ANSZIC Division	'000	'000	%
Wholesale trade	424.0	412.5	–2.7
Retail trade	1 195.9	1 234.4	3.2
Accommodation and food services	754.6	776.0	2.8
Transport, postal and warehousing	578.7	583.4	0.8
Information media and telecommunications	214.9	215.6	0.3
Financial and insurance services	402.3	406.1	0.9
Rental, hiring and real estate services	185.6	206.2	11.1
Professional, scientific and technical services	834.0	861.0	3.2
Administrative and support services	374.0	400.7	7.1
Public administration and safety	679.4	705.4	3.8
Education and training	830.8	866.9	4.3
Health care and social assistance	1 216.7	1 291.8	6.2
Arts and recreation services	197.8	201.9	2.1
Other services	454.0	458.8	1.1
Total	8 342.7	8 620.7	3.3
(a) Classified according to the Australian and New Zealand Standard Industrial Classification (ANZSIC), 2006 edition (1292.0). Excludes the Electricity, gas, water and waste services industry, which is both a goods-producing and services-producing industry.
(b) Annual average of quarterly data.
Source: Labour Force, Australia, Detailed, Quarterly (6291.0.55.003).