Read The Times Australia

Daily Bulletin

Recession will hit job-poor parts of Western Sydney very hard

  • Written by: Phillip O'Neill, Director, Centre for Western Sydney, Western Sydney University

This is the second of three articles based on newly released research on the impacts of a lack of local jobs on the rapidly growing Western Sydney region.

After 2016 – but before COVID-19, it should be said – Western Sydney experienced a mini jobs boom. Growth came from the region’s extraordinary surge in population, driven by record levels of immigration.

Recession will hit job-poor parts of Western Sydney very hard Centre for Western Sydney, Author provided The residential construction sector was flat-out. Also thriving were the population-serving sectors: health care and social assistance, education and training, retailing, and accommodation and food services. Recession will hit job-poor parts of Western Sydney very hard Centre for Western Sydney, Data: National Economics (NIEIR), 2018, Author provided Read more: Jobs deficit drives army of daily commuters out of Western Sydney But the tide has turned By late 2019 the construction boom had ended, as it always does. Now, with a COVID-19 recession, the capacity of the population-serving sectors to maintain jobs, let alone stimulate job growth, is greatly reduced. The mini jobs boom was good for Western Sydney’s long-suffering unskilled workers. Construction, for men, and for women the population-serving sectors – retailing and the domesticated side of the health, personal and child-care sectors – offered jobs without qualifications hurdles. Recession will hit job-poor parts of Western Sydney very hard Centre for Western Sydney, Data: National Economics (NIEIR), 2018, Author provided Now it’s back to insecure, short-term work stints in a dwindling pool of jobs. Often these are outside the regulated labour market, always needing a car, and competing with many others looking for the same work. The COVID-19 recession, like the early 1990s recession, will hit those Western Sydney neighbourhoods with large concentrations of unskilled workers as hard as anywhere else in Australia. Read more: The economy in 7 graphs. How a tightening of wallets pushed Australia into recession Even in the boom, local jobs were scarce Even before this recession, indeed at the height of Western Sydney’s 2016-18 jobs boom, employment access for these neighbourhoods was miserable. Using the Australian Bureau of Statistics’ (ABS) community-level statistical area, SA2, we find unemployment rates in 2018 were double and triple the metropolitan average. Recession will hit job-poor parts of Western Sydney very hard Centre for Western Sydney, Author provided In the Fairfield area, Fairfield City SA2 had 18.7% unemployment in 2018, Fairfield-East 16.0% and Fairfield-West 12.2%. In the Blacktown area, Bidwell-Hebersham-Emerton had 16.3% unemployment, Lethbridge Park-Tregear 12.9% and Mount Druitt-Whalan 11.3%. In the Cumberland local government area, Guilford-South Granville had 14.7% and Guilford West-Merrylands West 10.8%. In Liverpool, Ashcroft-Busby-Miller had 14.8% unemployment. Western Sydney’s jobs deficit is having broad and unacceptable consequences. Significant numbers of households record no paid work for long periods of time. Unemployment in the 15-24 age group typically exceeds 25%. About the same proportion of this age bracket has completely dropped out of education and the workforce, as our recent report on youth unemployment in Western Sydney explains. These areas have among the highest levels of socio-economic disadvantage in Australia. Joblessness has become inter-generational. It’s a result of poor education and training qualifications, patchy job experience, immobility, too many others seeking the same jobs, round and round. Recession will hit job-poor parts of Western Sydney very hard Centre for Western Sydney, Author provided Read more: A closer look at jobless youth in Western Sydney points us to the solutions Women are excluded from work Away from the job-starved neighbourhoods, poor access to jobs strikes at Western Sydney households in relatively hidden ways, but we can see it in low rates of labour force participation. For Australia, at the 2016 census, the male participation rate was 64.8% while the female rate was 8.9 points lower at 55.9%. In outer Western Sydney, in the greenfields mortgage belt, participation rates are significantly higher than national averages. In Camden local government area, for example, the rate in 2016 was 70.1% while The Hills recorded 68.0%. These rates indicate young dual-income households are prepared to move to the outer suburbs for affordable housing, in exchange for the long commute. In the old industrial districts of Western Sydney, however, participation rates are five or more percentage points below the national average. We see extremely low rates of female participation in three areas: Cumberland at 47.9%, Canterbury-Bankstown 47.7% and Fairfield with an extraordinarily low 43.2%. These rates compare poorly with female participation rates elsewhere in Sydney, such as Inner West at 65.5%, North Sydney 67.6%, Waverley 63.6% and Sutherland 61.5%. The difference in rates is arresting. Disadvantage flows through generations The obvious consequence of lower labour force participation is lower household income. Longer term, households with lower participation rates are likely to have lower retirement incomes. And the children in households where fewer adults are working tend to have impaired development and poor job prospects. We can see, therefore, Western Sydney’s jobs deficit can crush a neighbourhood, packing it with intense, persistent poverty. It can also make things very tough in households scattered across other suburbs. Poor access to jobs reduces workforce participation, especially among women, for all sorts of reasons, but with outcomes not compatible with the idea of Sydney as the generous, wealth-generating Emerald City. In a region that has a million workers but only 790,000 jobs, many workers migrate daily to other regions to find work. Others with less competitive CVs miss out completely. The consequences are grossly unfair. The COVID-19 recession will only make them worse. The Centre for Western Sydney has released three reports on Western Sydney’s growing jobs deficit. You can read the reports here.

Authors: Phillip O'Neill, Director, Centre for Western Sydney, Western Sydney University

Read more https://theconversation.com/recession-will-hit-job-poor-parts-of-western-sydney-very-hard-139385

Business News

How Telematics Helps Australian Companies Improve Productivity

Operating a commercial fleet in Australia is a uniquely demanding endeavour. Between the sprawling urban sprawl of cities like Sydney and Melbourne and the immense, unforgiving stretches of the Outb...

Daily Bulletin - avatar Daily Bulletin

Inside the Icon: The BridgeMuseum Officially Opens at the Sydney Harbour Bridge

A bold new way to experience one of Australia’s most recognisable landmarks has arrived, with BridgeClimb Sydney officially opening the all-new BridgeMuseum.  Located inside the Sydney Harbour Bridge...

Daily Bulletin - avatar Daily Bulletin

Is Your Brand Showing Up in AI Search? Most Melbourne Brands Aren't.

The New Front Door Nobody Told You About Something changed. Quietly. Without a press release. The way buyers find businesses in Australia has been rewired. Not replaced, rewired. Google isn't dead...

Daily Bulletin - avatar Daily Bulletin

How Australian Businesses Can Measure SEO ROI

SEO can feel vague when you are staring at a dashboard full of numbers that do not clearly connect to revenue. The key is to measure the right signals in the right order, then tie them back to outcome...

Daily Bulletin - avatar Daily Bulletin

How Commercial Roller Shutters Improve Site Security Without Slowing Operations

Security upgrades can be frustrating when they make everyday work harder. A door that takes too long to open, creates bottlenecks at shift change, or fails at the worst time can turn “better protectio...

Daily Bulletin - avatar Daily Bulletin

Why a Document Destruction Service Still Matters for Modern Businesses

Businesses generate large volumes of information every day, from staff records and contracts to invoices, reports and customer files. While attention often focuses on how documents are stored, the way...

Daily Bulletin - avatar Daily Bulletin

Bicycle Rack Safety and Space-Smart Storage

Bike storage problems usually show up as small annoyances first: tangled handlebars, scratched frames, and bikes that topple when you pull one out. Over time, those issues become safety risks, especia...

Daily Bulletin - avatar Daily Bulletin

How to Tell if a Childcare Centre Is a Good Fit for Your Child

Choosing childcare can feel like you’re making a huge decision with limited information. Tours are short, centres are often on their best behaviour, and your child might act differently in a new space...

Daily Bulletin - avatar Daily Bulletin

Car Import Timeline: What Usually Happens at Each Stage

Importing a car into Australia can feel confusing because multiple agencies and checkpoints are involved, and the timeline is shaped as much by paperwork quality as it is by shipping speed. The most u...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Gold Migration Lawyers in Liquidation: How the Closure Affects Your ART Appeal

If your appeal was with Gold Migration Lawyers, a recent change to how the Tribunal decides cases ...

The pressure cooker: life in urban Australia in 2026

Australian cities have always been demanding. Long commutes, rising housing costs, busy schedules a...

What Actually Makes a Good Criminal Lawyer in Melbourne

Most people only think about this question once. That is usually too late. Most people charged wi...

Why Working With A Chatswood Tutor Can Improve Academic Performance

Academic expectations continue increasing for students across primary school, high school, and senio...

Is It Worth Getting Solar Panels in Melbourne?

The real question is not whether solar works in Melbourne. It works. The question is what it is co...

How A Diploma Of Project Management Builds Practical Skills For Modern Work Environments

Developing the ability to plan, execute, and deliver outcomes efficiently is a key requirement in to...

How to Choose the Right Football for Every Level

Choosing a football may seem straightforward, but the right option depends on who will be using it a...

What to Ask a Wedding Photographer Before You Book

Booking a wedding photographer can feel deceptively simple: you like the photos, you like the vibe...

Why Stress Relief For Dogs Is Essential For Emotional Balance And Long-Term Wellbeing

Managing emotional health is just as important as physical care when it comes to pets, which is why ...