6362.0 - Employer Training Expenditure and Practices, Australia, 2001-02  
Latest ISSUE Released at 11:30 AM (CANBERRA TIME) 02/04/2003   
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INTRODUCTION

1. This publication contains estimates obtained from a sample survey of employers conducted by mail in July 2002. The survey was designed to obtain information from employers on structured and unstructured training practices, and expenditure on structured training, in respect of the financial year ended June 2002. Similar surveys were previously conducted in 1989-90, 1993-94 and 1996-97.


SCOPE AND COVERAGE

2. The survey covered employers in all states and territories and all industries except those primarily engaged in Agriculture, forestry and fishing; private households employing staff; overseas embassies, consulates etc.; and the Australian permanent defence forces.

3. The sample for the 2001-02 Training Expenditure and Practices Survey (TEPS), like most Australian Bureau of Statistics (ABS) business surveys, was selected from the ABS Business Register which is primarily based on registrations to the Australian Taxation Office's (ATO) Pay-As-You-Go-Withholding (PAYGW) scheme. The population is updated quarterly to take account of:

  • new businesses
  • businesses which have ceased employing
  • changes in employment levels
  • changes in industry
  • other general business changes.

4. Estimates from the survey include adjustments to allow for the time lag between businesses commencing operation and their inclusion on the ABS Business Register. For more details refer to the Information Paper: Improvements to ABS Economic Statistics, 1997 (cat. no. 1357.0).

5. Businesses which have ceased employing are identified when the ATO cancels their PAYGW registration. In addition, businesses which did not remit under the PAYGW scheme for the previous five quarters are removed from the frame.


SURVEY METHODOLOGY AND DESIGN

6. The statistical unit for the survey was derived from the management unit, which is the largest type of unit within an enterprise group which controls its productive activities and for which accounts are kept. Specifically, the statistical unit for the survey comprised all activities of a management unit in a particular state or territory (the management unit/state or MUS). In nearly all cases the MUS coincides with the legal entity owning the business (i.e. the company, partnership, trust, sole proprietor etc.). However, in the case of larger diversified businesses there may be more than one management unit, each coinciding with a 'division' or 'line of business'. A division or line of business is recognised where separate and comprehensive financial accounts are compiled for it.

7. A sample of approximately 7,100 statistical units was selected from the ABS Business Register. Each statistical unit was classified to an industry which reflected the predominant activity of the unit in the state or territory. Statistical units were stratified by state or territory, sector, industry and employment size. A small number of strata were completely enumerated, and for each of the remaining strata a simple random sample was selected from each stratum.

8. Responses were received from 92.8% of in-scope sampled units, resulting in a final sample size of 5,889. Survey records were weighted and imputed to take account of full and partial non-response.


INDUSTRY

9. Industry data have been classified according to the Australian and New Zealand Standard Industrial Classification (ANZSIC), 1993 (cat. no. 1292.0). Each employer is classified to a single industry. The industry allocation is based on the primary activity of the mangement unit/state (MUS) irrespective of whether a range of activities or a single activity is undertaken by the unit. For example, a MUS which derives most of its income from construction activities would have all operations included in the aggregates and ratios for the Construction industry division, even if significant secondary activities (e.g. quarrying) were undertaken.


OCCUPATION

10. Occupation groups are based on the Australian Standard Classification of Occupations (ASCO), Second Edition (cat. no. 1220.0). For the purposes of this survey, the following groupings of occupations were used:
  • Major Groups Managers and administrators, Professionals and Associate professionals were combined to form Managers and administrators, professionals and associate professionals
  • Major Group Tradespersons and related workers remains unaltered
  • Major Groups Advanced clerical and service workers, Intermediate clerical, sales and service workers and Elementary clerical, sales and service workers were combined to form Clerical, sales and service workers
  • Major Groups Intermediate production and transport workers and Labourers and related workers were combined to form Production workers, transport workers and labourers.


COMPARABILITY OF RESULTS

11. Users should note that results from TEPS are not fully comparable with those from previous training surveys. The main differences are listed below:
  • Training expenditure was collected in TEPS for all in-scope employers, not just those that provided or supported structured training for their employees during the reference period, as was the case for the 1996 Training Expenditure Survey (TES).
  • Training costs associated with persons who contributed to the productive work of a business but who were not employees of that business, were included in TEPS expenditure estimates but not those from TES.
  • Training expenditure estimates from TEPS includes wages and salaries of employees whose main job involved training other employees, but not those of other employees involved in training provision. TES included wages and salaries of all employees for the time they spent actually involved in training other employees.

12. Some data from the 1997 Training Practices Survey (TPS) and 1996 TES data are presented in this publication for comparison with TEPS estimates. Where methodological differences occur between these surveys, efforts have been made to maximise the comparability of the estimates presented. As a result, training expenditure estimates from the 1996 TES included in this publication differ to those previously published in Employer Training Expenditure, Australia, July to September 1996 (cat. no. 6353.0) and Employer Training Practices, Australia, February 1997 (cat. no. 6356.0) in the following ways:
  • Training expenditure estimates from TES included in this publication generally refer to net expenditure, that is, expenditure from which any subsidies, grants or payments received for training activities have been deducted. Previously published data from TES refer to gross expenditure, where subsidies, grants and payments have not been deducted.
  • Training expenditure estimates from TES included in this publication have been adjusted to exclude wages and salaries of employees for time spent receiving training, however previously published estimates included this component.
  • The TEPS reference period (year ended 30 June) differs from the TES and TPS reference periods (September quarter, and year ended 28 February, respectively). Data from TES presented in this publication has been annualised to allow comparisons on a full-year basis (notwithstanding the comparability issues outlined in paragraph 11, above); however this did not take into account any seasonal variation which may have occurred.


RELIABILITY OF ESTIMATES

13. Estimates are subject to sampling and non-sampling errors. For information on the reliability of estimates see the Technical Note.


ACKNOWLEDGMENT

14. ABS publications draw extensively on information provided freely by individuals, businesses, governments and other organisations. Their continued cooperation is very much appreciated: without it, the wide range of statistics published by the ABS would not be available. Information received by the ABS is treated in strict confidence as required by the Census and Statistics Act 1905.


RELATED PUBLICATIONS

15. Users may also wish to refer to the following publications:
  • A Directory of Education and Training Statistics, cat. no. 1136.0
  • Education and Training Experience, Australia, 2001, cat. no. 6278.0 - last issued 2002
  • Education and Training Indicators, Australia, cat. no. 4230.0 - issued 2002
  • Employer Training Expenditure, Australia, July to September 1996, cat. no. 6353.0 - issued 1997
  • Employer Training Practices, Australia, February 1997, cat. no. 6356.0 - issued 1998
  • Labour Statistics: Concepts, Sources and Methods, 2001, cat. no. 6102.0
  • Measuring Learning in Australia-A Framework for Education and Training Statistics, cat. no. 4213.0 - issued 2003

16. Current publications and other products released by the ABS are listed in the Catalogue of Publications and Products (cat. no. 1101.0). The catalogue is available from any ABS office or the ABS web site. The ABS also issues a daily Release Advice on the web site which details products to be released in the week ahead.


ROUNDING

17. Estimates of proportions of employers shown in the tables are rounded to one tenth of a percentage point. Estimates of numbers of employers are rounded to the nearest 100.

18. Estimates of direct training expenditure and subsidies, grants and payments aggregated for all employers are rounded to the nearest $100,000. Estimates of training expenditure per employer are rounded to the nearest $100, and those of expenditure per employee are rounded to the nearest 10 cents.

19. Estimates of training expenditure as a proportion of gross wages and salaries are rounded to one tenth of a percentage point.

20. Where figures have been rounded, discrepancies may occur between sums of the component items and totals.