Population Growth And Its Effect On Employment In Australia

BUSN20019 Professional Project

Population growth trend in Australia

Question:

Discuss about the Population Growth And Its Effect On Employment In Australia.

Population growth is the increase in the number of individuals in the population. The Australia population has been having an upward trend in the census that has being conducted. The population increase half has been attributed to the immigration according to Ken Henry, the chairman of the National Australia Bank. The increased population stimulates economic growth, from small and simple quantities like increased labour force, which has improved the GDP to increased human capital ability of the population to innovate and create.

Since the Sydney Olympics the Australia population has grown by 25 percent. The Australia’s population reached 23.7 million on 5^th January 2015, according to Australia Bureau of Statistics.

The Australia population has increased and the employment has been an issue for all the residents of Australia. The ageing bracket has increased in Australia while the young percentage in the population has been increasing in an upward trend. These indicate that the ageing percentage in the population have different preference for good and services. The labour to be provided in ageing is more official while the young person provides technical labour.

The growth in the population has been contributed by an upward birth rate and immigration. The birth rate has been carried out by improved health facilities and medical education. This has lead to low death rate and thus an increased ageing bracket.

The employment in Australia has paid workers who offer labour to business and get paid. The wage levels largely depend on the operation of demand and supply in labour market. The case of powerful labour include dentist, doctor and has a low supply where few can do the job the wage are high. The cases of less powerful labour include cleaners and have a high supply where most of the persons can attend to then the wages are low.

The labour market has a weak, strong and ideal condition. The weak market condition there few job vacancies and those who can do the job are many. The strong market condition there are many job vacancies. The ideal both vacancies and those to fill exist.

Population growth in Australia is in an upward trend and opportunities for these populations are a matter to be addressed.

When the opportunity are created the gender composition is to be addressed, males and females in these population should be given chances equally to allow gender equality.

Employment and ageing bracket in Australia

Employment schemes where part-time and full time on both genders should be addressed to allow growth of the economy.

The growth in population should also view the creating opportunities and employments, food security, health facilities and infrastructures to the growing population.

This study had both general and specific objectives;

The general objective of this study was to evaluate the growth of population in Australia and effect on employment

The study intends to achieve the following specific objectives

1. To identify population growth and its effect on employment rate.
2. To identify population growth and its effect on employment on the sex composition.
3. To identify if the population growth affects unemployment rate.

The study aimed at testing the following hypothesis question:

H0: Employment on gender does not differ

H1: Employment on gender differ

H0: Employment on job class on gender does not differs

H1: Employment on job class on gender differ

H0: Employment ratio does not differs

H1: Employment ratio differ

The project finding will guide population schemes and employment schemes to improve the plan for the future population growth in years to come.

The project finding will guide in identifying factors leading to population growth in Australia and allocation of resources.

The study finding will guide in allocation of employment rate in males and females.

The study will help in identifying the unemployment rate in Australia and the government role to this bracket of population.

This chapter of the literature review views academic literature provide in the population growth in Australia and other region. The review also viewed effect of population growth on employment at Australia.

Australian population is experiencing change in demography where proportions of old people are on rise while proportions of young are on decline (Robyn L., 2008). The government has started to impose policies which address issues of ageing population. With high number of aged person and low number of young person, the labour force is at risk of losing manpower.

The Australia Bureau of Statistics (ABS, 2013) estimated the population to 23 million. The Australia bureau of statistics also made future estimations for the population based on different assumptions i.e. migration and birth. The estimated population could reach 41.5 million by 2061, and estimated to 53.6 million by 2101.

The population of Australia has increased by double in the period of 50 years ago, which has been resulted to natural births and immigration. The natural births rate of growths yielding 42 percent of the population growth while 58 percent being attributed to immigration.

Cities are characterized by high population which led to unemployment. The population increases and job opportunities are few. The factors which led to high unemployment rate are rural urban migration, improper or lack of government policies, mismanagement of population and urban bias (Ilegbinosa et ela, 2014). In order to improve employment rate and discourage unemployment there is need to review socio-economic organization, manage rural-urban migration, and invest in human capital and encouraging spirit of entrepreneurship.

Factors contributing to population growth in Australia

The Australia natural rate has been influenced by economical, political and social factors.  More has been attributed to health science and medical facilities, improved standards of living and infrastructure according to Ken Henry (National Australia Bank, 2015)

According to National Research Council (1986), the role of males and female in the household and occupations has impact on the natural growth of the population. The economic prospect of the population cost of living, community attribute and family size. The economy such as inflation and unemployment greatly influence population growth. The cost of living if it is high then people will maintain small family size to be in a position to provide to them. The community attributes also influences since some have two children while other more than two children.

The migration rate is due to improved standards of living for economical, political and social factor. The initial policy of migration was ‘populate or perish’ then after some time the policy was changed to skilled labour. The policy was changed to cater for the modernization that was changing in the industrial. The change in the population the ageing population has a higher expectancy in terms of health, transport, entertainment and diet methods. The young population tends to have different types of transport, health, dressing code and entertainment (Wiley, 2014)

In the international labour review (2004), the growing population has local market for good and service. The production in the company calls for economy of scale. The production process will be cheaper in the production of more units as compared to fewer units since the maintenance is a constant value. The rise in the labour force in the Australia is effective by immigrants helps overcome shortage of skills. The growing population create job for the skilled and the unskilled in the population. The wage’s competition is improved compared oversee wages.

Pauline M. & Neil A. (2011) in their study population growth and change identified population growth as big challenge to social, economic, environment and infrastructure in cities and rural areas. In cities the major issue is affordable housing, employment, social amenities and political management which are threatened by growing population. Rural areas are faced by threat of ageing population, depopulation and threats to socio-economic pattern.

Australia 12 million work as paid worker, where wage levels largely depend on the operation of demand and supply in the labour market. The other section is contributed by volunteers who give their services for free. In cleaning, cultivating and nursing the old. The unemployment has also been a challenge for most of the families. The part time job are those that offer job for given hours in a day. These people tend to rest the remaining hour as well as having fun thus spending much as compared to earned amount. This kind of the seasonal job tends to influence unemployment at certain durations of the year. In the journal of population research (2005), the unemployment is a issue of discussion by the government to cater for the growing population.

Unemployment and labour force in Australia

John D. (2016) described descriptive statistics require one variable to conduct the study. It have three main importance’s which are explaining, validating and describing research findings. Descriptive statistics are used to describe behavior and characteristics of sample population. It involves measure of locations such mean median and mode and also measures of variation such range, minimum, maximum, standard deviation and quartile.

Inferential statistics are used to test the data. The researcher mainly uses inferential statistics to test if there is a relationship between an outcome and intervention. The first step is to check the distribution of data under study (Decaro S., 2011). It includes hypothesis testing and estimation statistics.

The data used in the study is secondary data obtained from Australian Bureau of Statistics. The population under study was Australian population, who are either employed or unemployed consisting of male and female. Simple random sampling was used to obtain a sample of 474. These sampling techniques give every object in the population equal chance of being in the sample. This gives a representative sample which is free from biases.

The data was then entered in Excel software for cleaning and analysis. Descriptive and inferential statistics were used to describe the data and to answer research question. The variables under study were rate of employment, unemployment, composition of employment per gender and ratio of employment.

Correlation is used to check statistical association between variables. The relations between the variables may be causal or not causal. Analysis of variance is statistical technique used to check differences among means and association between means. It also referred to Fisher analysis of variance which was used to improve t and z test which were only used for nominal categorical data test only.

Population changes

The rate of natural growth has recorded an upward trend since 1981 but started to show a decline in September 2016. This indicates that there has been high birthrate as compared with death rate in Australia. Generally there is population increase from 1981 to 2016 in Australia.

The Pearson product moment correlation coefficient between population growth and employment is 0.421632. There is positive correlation between population growth and employment. An increase in population led to an increase in employment. This does not mean as population increase the rate of employment changes, it implies the number people in employment increase as population rise.

The analysis of variance between population growth and employment total as given above at 5% level of significance, the p-value is 0.0000000029 which is less than 0.05.We reject null hypothesis that state there is no significance between population growth and employment totals and conclude that the population differ significantly. Which implies the number of employment per year is not proportion to population rise.

Descriptive and inferential statistics in population growth research

Difference between employment and gender

The null hypothesis states that there is no difference between employment rate and gender in Australia. From analysis of variance between gender and employment at 5% level of significance, the p-value is 2.47E-71 which is less than level of significance 0.05. Thus we reject null hypothesis and conclude that there is significance between gender and employment. This implies that the mean employment of males and females is not the same in Australia. One gender has higher rate of employment as compared to the other. There exists gender imbalance in employment with one gender being favored. Males are more in labour force as compared to females.

The graph above shows that the level of employment between genders differs, male have high level of employment than females. The labour force of males and females increases from 1981 to 2016 as population increases in Australia. This indicates although high population results to increase in labour force, employment is not affected by population growth.

Those employed in Australian labour force are either part-time or full time. The question is there any difference between these two groups of employment. The null hypothesis states that there is no difference between job types.

The p-value is 0 which is less than 5% level of significance. Null hypothesis is rejected and conclude that the mean employment of different job type differs significantly. Full time average employment is 6623427 while part time 2317771 persons. There is high level of employment as full time employee as compared to part time employee. Most people in Australia are employed as fulltime employees.

The composition of employment using gender and job type that is part time and full time employment, female are more than any other grouping in part time employment. The difference between numbers of females in part time and those in full time employments is very high as compared to males who have almost equal in full time jobs and in part time jobs.

Employment to population ratio is given by employment level divided by number of females or males. Pearson correlation coefficient is -0.37453 which implies that there is negative weak linear relationship between employments to population ratio of female and male.

The mean of employment to population ratio of male is 68.25934 with variance 3.279746 of and mean of employment to population ratio of female is 50.00593 with variance of 24.26645 high variance indicates high variation of observed data from the mean in females. The p value is 0 which is less than 0.05 the significance level. Thus we reject null hypothesis that there is no significance differences in mean employment to population ratio of both gender and conclude that mean employment to population ratio differs significantly in both genders.

The relationship between population growth and number of employment is positive linear, where population increase results to higher employment. Though the relationship is not causal that is population increase does not mean increase in employments. Males are more employed compared to females, although females are more employed in part time jobs as compared to males. This is due responsibilities of females at home as mother they opt to be employed as part time employment. The employment to population ratio of female is less compared to male this shows that higher level of employment of males in Australia.

The study did not establish the cause of higher employment in males as compared to females. This is major limitation of this study and more study is required to check and explain the causal of imparities in employment composition and gender and also to establish the causal of employment rate increase.

References

Ethridge, D.  (2004). Research Methodology in Applied Economics. Chicago:John Wiley & Sons, pg 24.

Fox W. & Bayat M. (2007). A guide to managing Research. London: Juta publications, pg 45.

Ilegbinosa I., Moses O. & Praise U., (2014). Population and its Impact on Level of Unemployment in Least Developed Countries. Arts Social Science, vol J5, pg 81.

John, D. (2016). The ultimate guide to writing dissertation

Desaro S. (2011). A Students guide to conceptual side of inferential statistics. Retreived[September 19 2017] from https://psycology.sdcnet.com

Tashakkori & C. Teddlie (2003). Handbook of mixed methods in social & research Thousands Oaks, CA: Sage, pg 273-296.

Robyn L. (2008). The Changing Face of the Australian Population. Public Health, vol 188, pg 720-723.

Neuman, W. L. (2014). Social Research Methods: Qualitative and Quantitative Approaches, 7th Edition. Pearson Education Limited: UK.

Australia Bureau of Statistics (2016). Australian demographic statistics[online] www.abs.gov.au

Australia Bureau of Statistics (2017). Labour force, Australia[online] www.abs.gov.au

The conversation (2017). Australia doesn’t have population policy[online] https://theconvesation.com

Pauline M. & Neil A., (2011). Population Growth and Change: Implication for Australia’s Cities and Regions. Geographical Research, vol 49, pg 317-335.

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