Immigrant workers seek WA

Tuesday, 25 September, 2007 - 22:00

Western Australia is attracting more immigrant workers relative to its population and finding more jobs for them than any other state in Australia, according to a Reserve Bank report into immigration and labour supply.

Between January 2006 and July this year, 28,900 working-age immigrants arrived in WA, constituting 1.7 per cent of the state’s population.

This compares with a national arrival rate of 1.1 per cent of the total population. 

WA’s strong employment market has also placed the state’s immigrant labour force participation rate (73 per cent) well above the national average of 60 per cent.

It is also significantly higher than in New South Wales (62.4 per cent), Queensland (58.8 per cent) and Victoria (54.2 per cent).

The unemployment rate for recent immigrants, arriving between January 2006 and July this year, was lower in WA than in other states (7.7 per cent).

All of the other states had unemployment rates in double figures, with recent immigrants facing significantly higher unemployment in South Australia (24.6 per cent), Victoria (20.7 per cent) and NSW (12 per cent).

Queensland had an unemployment rate of 10.6 per cent. 

Immigrants arriving in WA before 2006 have also experienced a strong employment market, according to the data.

For those arriving between 2001 and 2005, the unemployment rate in WA was just 3.3 per cent, measured in July this year, compared with 4.2 per cent in NSW, 4.6 per cent in Queensland and 5.9 per cent in Victoria.

WA’s participation rate for this cohort was 70.4 per cent, second only to Queensland (75 per cent) and well above the national average of 68.2 per cent.

Nationally, the employment rate for new immigrants is at its highest level since reporting began in 1979.

Between 2001 and 2006, new immigrants made up 30 per cent of total employment growth, above the 25 per cent average rate for the previous two decades.

At the same time, unemployment among recent immigrants is at its lowest level since 1980.

A second study, by the Reserve Bank, showed Australia’s labour force participation rate had risen since 2004, from a long-term average of 63.5 per cent to 65 per cent of the total population.

This is due to increased retention of both women and potential retirees in the workforce.

The data showed the participation rate for workers aged 55 years and over had increased significantly over the past decade, with male baby boomers (aged 55 to 64 years) having a much higher participation rate than their forebears.

The report attributed this to strong labour market conditions and the expectation of longer retirement periods for this age group.

The participation rate for women of prime working age (25 to 54 years) has also increased significantly over the past two decades, while the participation rate for males of the same age has stabilised.