New South Wales is the largest employing state (with Sydney accounting for two thirds of state employment). Employment growth over the past five years was above the national average, with the largest rises in
- Professional, Scientific and Technical Services (up by 116,800)
- Construction (99,000).
Around 69% of this workforce have post-school qualifications and they are more likely to hold a bachelor degree or higher than workers nationally. Sydney has the most highly educated workforce in the state, with 71% holding post-school qualifications including 43% with a bachelor degree or higher.
The age profile of this state is in line with the national average, although some regions have relatively large shares of workers aged 15 to 24 years (see table below).
Current conditions (to January 2019)
Labour market conditions have strengthened in New South Wales over the year, with employment increasing by 161,600 (or 4.1%). Full-time employment has risen by 79,500 (or 2.9%) over the year, while part-time employment has increased by 82,100 (or 6.9%). The state’s unemployment rate has declined by 1.2 percentage points over the year to 3.9% in January 2019, the lowest rate on record.
The state’s participation rate has risen by 0.7 percentage points over the year to 65.2% in January 2019 (the equal highest rate on record), but it remains below the national rate of 65.7%.
Conditions for youth in New South Wales have also improved over the year, with youth employment rising by 32,100 (or 5.4%). The state’s youth unemployment rate has declined by 0.6 percentage points over the year to 10.2% in January 2019, the equal lowest rate recorded since December 2008 and below the national rate of 11.5%.
The short-term outlook for the New South Wales economy is reasonably positive. The New South Wales Treasury has forecast employment growth of 1½% in 2019-20, while the unemployment rate is expected to average 4½% over the period. Over the five years to May 2023, New South Wales employment is projected to increase by 7.7% (above the projected national growth of 7.1%).
Sources: ABS, Labour Force (trend and annual averages of original data); ABS, Education and Work; Department of Jobs and Small Business, Employment Projections; New South Wales Treasury
For more information see lmip.gov.au