Income, work and education: insights for closing the gap in urban Australia

Existing analysis of the Closing the Gap outcomes is limited by the lack of adequate wage data for Indigenous Australians. This paper attempts to redress this situation by using a geography recently developed by the ABS - Significant Urban Areas - to document the crucial relationships between income, labour force status and education. Abstract: Many factors contribute to differences in an individual’s command over resources. One of the factors is differences in labour market engagement and the level of education attainment across different geographical areas. However, existing analysis of the Closing the Gap outcomes is limited by the lack of adequate wage data for Indigenous Australians. Using the newly introduced geography Significant Urban Areas (SUAs), which distinguish between major cities, regional centres and remote areas, this paper analyses average personal income while adjusting for labour force status and education levels. We impute average wage data by focusing on the personal income of people who are employed full-time and assuming that the average weekly personal income is a reasonable approximation of wages. The findings suggest that wage differences between Indigenous and non-Indigenous Australians in urban areas are minimal after education attainment levels are adjusted for, with a gradient in wages according to the level of qualification. There are gender differences in wages in favour of men, both across SUAs and by education level. This is partly a reflection of the structure of employment and segregation in the labour market, which can reach as high as 40 per cent in some the SUAs. Considering the importance of wage data in the theory of economic development, it is essential that direct information on wages is collected in future surveys with a substantial sample of Indigenous Australians

The geographic distribution of Indigenous disability

The rate of disability in the Indigenous population is substantially higher than for the Australian population as a whole. Despite the relatively high rates of disability experienced by the Indigenous population, there is surprisingly little research which provides basic descriptive information on where those Indigenous Australians with a disability live and what their demographic characteristics are. This paper attempts to fill this knowledge gap by providing an overview of the geographic distribution of disability in the Indigenous population. It has been written for the First Peoples Disability Network of Australia in order to support their aim to work towards better outcomes for Indigenous Australians with a disability. The second section of the paper provides an overview of the data used in the analysis, as well as a picture of the distribution of the Indigenous population. The section that follows gives a comparison of rates of self-reported disability across the Indigenous lifecourse, with data also presented for the non-Indigenous population. The fourth section of the paper gives a summary of the rates of reported disability across 38 Indigenous Regions

Effectiveness of traineeships and apprenticeships for the Aboriginal and Torres Strait Islander population

Among those enrolled in apprenticeships and traineeships, Indigenous students are more likely to be participating in courses of study leading to lower qualifications, according to this report. Summary What we know Indigenous Australians, particularly females, are more likely than the rest of the population to participate in apprenticeships and traineeships, mostly due to the relatively younger demographic structure of the Indigenous population (as apprenticeships are typically undertaken during youth). Among those enrolled in apprenticeships and traineeships, Indigenous students are more likely to be participating in courses of study leading to lower qualifications (Certificate I and II). For both Indigenous and non-Indigenous students, the key determinant of field of study is gender: males are much more likely to be participating in apprenticeships and traineeships that will result in them becoming tradespersons or related workers, and females are more likely to be working towards an occupation as an Intermediate Clerical, Sales and Service Worker. Indigenous Australians are less likely to be employed across all age groups. Apprenticeships are commonly seen as a useful tool for ‘Closing the Gap’. Not all apprentices and trainees are employed, but they have a much higher rate of employment compared with other students (52.1% of Indigenous apprentices are employed, compared with 31.6% of other Indigenous students). When surveyed, students generally report the benefits of having an apprenticeship as being to ‘advance my skills more generally’ and having the ‘satisfaction of achievement’. However, in addition to these universal benefits, Indigenous Australians are also much more likely to report being ‘seen as a role model for others in the community’. What works Evidence from overseas studies suggests that participation in traineeships and apprenticeships can have a positive effect on employment outcomes and earnings. A statistical analysis of the Skilling Queenslanders for Work (SQW) program found that almost 15% of those who found employment through the SQW programs would not have otherwise been able to find employment. Pre-apprenticeship training nearly doubles the chance of enrolment in an apprenticeship from a base of about 10% of potential students. Pre-apprenticeship training can also be associated with higher job satisfaction, although the evidence is inconclusive. Reviews of some Indigenous-specific training and employment programs show a positive effect on employment and education and relatively high levels of job satisfaction for participants. It appears that the provision of mentors reduces cancellation rates for Indigenous apprentices. What doesn\u27t work An analysis of the Australian Apprenticeship Incentive Scheme found that incentives increase the number of people commencing an apprenticeship, but the scheme has no effect on retention. Apprenticeships have very little effect on employment outcomes (increased hours or wages) for those who were employed before training. What we don\u27t know There is a need for more robust data on the diverse effects of apprenticeships in an Australian, and particularly an Indigenous Australian, context. Existing studies suffer from self-selection bias. Furthermore, often only participants in apprenticeships are included in the studies, so it is possible that the observed outcome is linked to an unobserved characteristic shared by those who enrol (for example, above-average levels of motivation) that is not uniform across the population. Although there are many effective Indigenous-specific trainee programs in industries where Indigenous engagement is already relatively high (for example, mining and land management), there is no analysis on whether or not programs in these industries are more effective than other programs (for example, programs by the National Australia Bank as part of their Reconciliation Action Plan). One missing piece of evidence on effective apprenticeships and traineeships is the extent to which Indigenous apprentices and trainees are discriminated against or treated unfairly in different industries, regions and employer types.   &nbsp

Income, work and education: insights for closing the gap in urban Australia

Many factors contribute to differences in an individual’s command over resources. One of the factors is differences in labour market engagement and the level of education attainment across different geographical areas. However, existing analysis of the Closing the Gap outcomes is limited by the lack of adequate wage data for Indigenous Australians. Using the newly introduced geography Significant Urban Areas (SUAs), which distinguish between major cities, regional centres and remote areas, this paper analyses average personal income while adjusting for labour force status and education levels. We impute average wage data by focusing on the personal income of people who are employed full-time and assuming that the average weekly personal income is a reasonable approximation of wages. The findings suggest that wage differences between Indigenous and non-Indigenous Australians in urban areas are minimal after education attainment levels are adjusted for, with a gradient in wages according to the level of qualification. There are gender differences in wages in favour of men, both across SUAs and by education level. This is partly a reflection of the structure of employment and segregation in the labour market, which can reach as high as 40 per cent in some the SUAs. Considering the importance of wage data in the theory of economic development, it is essential that direct information on wages is collected in future surveys with a substantial sample of Indigenous Australians

Unpaid Work, Unpaid Care, Unpaid Assistance and Volunteering

The care economy includes activities such as providing unpaid child care; unpaid assistance for someone with a disability, a long-term illness, or problems related to old age; undertaking domestic work; and volunteering. Information on the level and type of unpaid work undertaken by all Australians was first collected in the 2006 Census. The questions were included again in the 2011 Census. The benefits from the care sector to the Australian economy is significant. From a financial perspective, it represents savings in expenditure that otherwise would need to be allocated. For those receiving care, there are tremendous benefits to individuals and their families. While there are benefits from the carer's perspective, there are also likely to be substantial economic and non-economic costs that are often hidden. Previous research has shown that carers have lower financial security and a greater likelihood of having lower mental health. Furthermore, Indigenous carers currently providing informal care represent a potential care workforce that should be harnessed. Analysis of data from the 2011 Census suggests that a relatively high proportion of caring activities are being undertaken in regional and remote parts of the country. Indigenous Australians in outer regional and remote areas are more likely to be carers than those in other parts of the country. This may reflect the lack of availability of formal care or assistance in these areas, or perhaps a preference for more informal channels of care in those locations. Within the Indigenous and non-Indigenous population, the burden of undertaking caring activities tends to fall predominately on females.The analysis in the series was funded by the Commonwealth Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) through the Strategic Research Project as well as FaHCSIA and State/Territory governments through the Indigenous Populations Project

Predicting the need for aged care services at the small area level: the CAREMOD spatial microsimulation model

Most industrialised societies face rapid population ageing over the next two decades, including sharp increases in the number of people aged 85 years and over. As a result, the supply of and demand for aged care services has assumed increasing policy prominence. The likely spatial distribution of the need for aged care services is critical for planners and policy makers. This article describes the development of a regional microsimulation model of the need for aged care in New South Wales, a state of Australia. It details the methods involved in reweighting the 1998 Survey of Disability, Ageing and Carers, a national level dataset, against the 2001 Census to produce synthetic small area estimates at the statistical local area level. Validation shows that survey variables not constrained in the weighting process can provide unreliable local estimates. A proposed solution to this problem is outlined, involving record cloning, value imputation and alignment. Indicative disability estimates arising from this process are then discussed.Disability, ageing, spatial analysis, aged care, cloning; imputation; alignment; NATSEM

Demographic and Socioeconomic Outcomes Across the Indigenous Australian Lifecourse

Across almost all standard indicators, the Indigenous population of Australia has worse outcomes than the non-Indigenous population. Despite the abundance of statistics and a plethora of government reports on Indigenous outcomes, there is very little information on how Indigenous disadvantage accumulates or is mitigated through time at the individual level. The research that is available highlights two key findings. Firstly, that Indigenous disadvantage starts from a very early age and widens over time. Secondly, that the timing of key life events including education attendance, marriage, childbirth and retirement occur on average at different ages for the Indigenous compared to the non-Indigenous population. To target policy interventions that will contribute to meeting the Council of Australian Governments’ (COAG) Closing the Gap targets, it is important to understand and acknowledge the differences between the Indigenous and non-Indigenous lifecourse in Australia, as well as the factors that lead to variation within the Indigenous population

Indigenous Fertility and Family Formation

This paper presents an analysis of the fertility and family formation patterns of Indigenous Australians in the 2006 and 2011 Censuses of Population and Housing. Marital status is sometimes seen as a precursor to family formation. However, there are differences in the notion of marriage as a legal process, with the Indigenous population more likely to be in de facto relationships rather than legally married. The analysis in this paper suggests that the fertility patterns of Indigenous females differ from non-Indigenous females both in terms of the level and the timing of fertility. Indigenous females have higher fertility rates and are more likely to have children at a younger age in comparison with non-Indigenous females. This has implications for the education and career prospects of females, but also for the wider Indigenous population through flow-on impacts on the future labour�force.The analysis in the series was funded by the Commonwealth Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) through the Strategic Research Project as well as FaHCSIA and State/Territory governments through the Indigenous Populations Project

Indigenous Participation in Regional Labour Markets, 2001-06

This paper examines the extent to which Indigenous Australians have shared in the large expansion of the Australian workforce that is revealed by a comparison of 2001 and 2006 census results. It considers whether this is reflected in changes to regional patterns of Indigenous labour force status, income, occupation and industry of employment. As such, it provides the first comprehensive assessment of possible impacts of federal Indigenous employment policies introduced just prior to the 2001 Census and it contributes to the policy discourse on 'closing the gap' between Indigenous and other Australians. Conventional census measures of labour force status are established for each of 37 Indigenous Regions and administrative data are also deployed to produce a more accurate picture of the spread of CDEP program employment and the effect of this on labour force outcomes. Changes in occupational and industry segregation are established as is the effect of employment change on the gap in median incomes. In line with previous gap analyses conducted by CAEPR an attempt is made to estimate future job requirements using a projection of the Indigenous working-age population to 2016. This reveals a need for more than 70,000 additional jobs to meet current government target

Effectiveness of traineeships and apprenticeships for the Aboriginal and Torres Strait Islander population

Indigenous young people in Australia are much more likely to be neither studying nor participating in paid employment than their non-Indigenous peers. However, there is evidence that traineeships and apprenticeships can have a positive effect on employment outcomes and earnings. This paper provides an overview of the effectiveness of apprenticeships and traineeships for Indigenous young people in Australia. It looks at the data on participation rates, gender differences, occupation types, employment outcomes, and personal outcomes, and reviews the local and international research evidence on their impacts. The paper also discusses the gaps in the research and what is needed to support effective policy in this area.This report was commisioned by Closing the Gap Clearing Hous