Aerospace industry in Australia The Australian Bureau of Statistics (ABS) conducts a census of the manufacturing industry every five years. The last ABS census on manufacturing in Australia was 2006 – 07. The next census will be in 2011 – 12. Information is gathered using the Australian New Zealand Standard Industrial Classification (ANZSIC) system which was reviewed in 2006. The Aerospace industry is classified in the following subdivision in Division C:
Subdivision 23 – Transport Equipment Manufacturing o Group 239 Other Transport Equipment Manufacturing Class 2394 Aircraft Manufacturing and Repair Services
It does not include the manufacture of:
Hang gliders (Class 2593 Toy, Sporting and Recreational Product Manufacturing) or Hovercraft (Class 2399 Other Transport Equipment Manufacturing not elsewhere classified)
Unless otherwise stated the data included is only for the ANZSIC subdivision listed above. The Aerospace industry includes maintenance, repair and overhaul services for general aviation, airlines and the Australian Defence Force (ADF). ADF data is not publicly available.
Manufacturing Skills Australia – Industry statistics as at February 2010
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Employment Employment data is released by the ABS quarterly (February, May, August and November). The data tables only give data to the ANZSIC group level. Class 2394 Aircraft Manufacturing and Repair Services is included in the data for Group 239 Other Transport Equipment Manufacturing together with:
2391 Shipbuilding and Repair Services 2392 Boatbuilding and Repair Services 2393 Railway Rolling Stock Manufacturing and Repair Services, and 2399 Other Transport Equipment Manufacturing n.e.c.
May 2009 figures showed that an estimated 40,000 people were employed in Group 239 Other Transport Equipment Manufacturing1. The majority of employees were males.
Other transport equipment manufacturing Employment by gender May 2009
3% 7%
13% Males Full Time (31,000) 77%
Males Part Time (3,000) Females Full Time (5,000) Females Part Time (1,000)
Source: ABS Labour Force May 2009
1
Australian Bureau of Statistics Labour Force May 2009
Manufacturing Skills Australia – Industry statistics as at February 2010
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New South Wales (15,000) was the major employing state in May 20092. It is difficult to generalise from these figures for the Aerospace industry with any accuracy.
10 9 8 7 6 5 4 3 2 1 0
Males Full Time
Australian Capital Territory
State
Norther Territory
Tasmania
Western Australia
South Australia
Queensland
Victoria
Males Part Time New South Wales
Thousands
Other transport equipment manufacturing Employment by state May 2009
Females Full Time Females Part Time
Source: ABS Labour Force May 2009
Employment data provided in Manufacturing Industry, Australia, 2006 -07 showed that as at June 2007 there were 13,248 people employed in the Aircraft Manufacturing and Repair Services sector3.
2 3
Australian Bureau of Statistics Labour Force May 2009 Australian Bureau of Statistics Manufacturing Industry Australia 2006-07
Manufacturing Skills Australia – Industry statistics as at February 2010
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The Department of Education, Employment and Workplace Relations (DEEWR) report, ‘Employment Outlook for Manufacturing’ (no date), projects that employment within the manufacturing industry will continue to decrease with a projected fall of 1.2% per annum over the next five years. The Transport Equipment Manufacturing sector has the highest projected decrease in employment growth (- 3.4%) of all sectors within manufacturing4. Manufacturing - Projected Employment Growth (% pa) to 2013-14 ALL INDUSTRIES
1.0
Food Product Manufacturing
0.5
Beverage, Tobacco Manufacturing
0.0
Basic Chemical, Chemical Manufacturing
-0.2
Pulp, Paper, Converted Paper Mfg
-1.2
Petroleum and Coal Product Manufacturing
-1.2
Machinery and Equipment Manufacturing
-1.2
Manufacturing
-1.2
Non-Metallic Mineral Manufacturing
-1.4
Primary Metal, Metal Product Manufacturing
-1.4
Wood Product Manufacturing
-1.4
Printing (incl Recorded Media)
-1.8
Fabricated Metal Product Manufacturing
-1.8
Furniture and Other Manufacturing
-2.3
Polymer, Rubber Product Manufacturing
-2.8
Textile, Leather, Clothing, Footwear Mfg
-3.1
Transport Equipment Manufacturing
-3.4
-4.0
-3.5
-3.0
-2.5
-2.0
-1.5
-1.0
-0.5
0.0
0.5
1.0
1.5
Source: http://www.skillsinfo.gov.au/skills - Industry Profiles/Future Growth by Industry
Aerospace is only one sector in Transport Equipment Manufacturing therefore generalisation of these figures should be done with caution. Recently the Federal Government announced the Australian Space Research Program which is designed to develop Australia’s niche space capabilities. The program will provide $40 million over four years to support space-related research, education and innovation activities5.
4 5
Department of Education, Employment and Workplace Relations Employment Outlook for Manufacturing http://www.innovation.gov.au/Industry/Space/Documents/ASRP_Factsheet_October_2009.pdf
Manufacturing Skills Australia – Industry statistics as at February 2010
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The Aerospace industry – business numbers In 2006 the ANZSIC underwent a major review and the majority of classifications were changed. The ABS report, ‘Counts of Australian Businesses 2007’ uses the codes from ANZSIC 1993. This means accurate data relating to the number of businesses operating within the Aerospace industry is difficult to obtain.6 The largest number of businesses (264) were in Queensland with New South Wales having 2197.
Aircraft manufacturing industry Businesses by state June 2007 300 250
Fifities
200
Non employing
150
1-19
100
20-199 200+
50
Total Australian Capital Territory
State
Northern Territory
Tasmania
Western Australia
South Australia
Queensland
Victoria
New South Wales
0
Source: ABS Counts of Australian Businesses 2007
6 7
Australian Bureau of Statistics Counts of Australian Businesses 2007 Australian Bureau of Statistics Australian and New Zealand Standard Industrial Classification 1993
Manufacturing Skills Australia – Industry statistics as at February 2010
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Skills and training The Education and Work report is published by the ABS annually. The most recent edition of Education and Work May 2009 was published in November 2009. Data published in the Education and Work report is classified according to the Australian Standard Classification of Education 2001 (ASCED). In Education and Work May 2009, the most relevant classification is the narrow field: 0315 Aerospace engineering and technology. This classification includes (but is not limited to):
031501 Aerospace engineering 031503 Aircraft maintenance engineering 031599 Aerospace engineering and technology n.e.c.8
Education and Work May 2009, released in November 2009, only contains data relating to the broad field ‘03 Engineering and Related Technologies’9 and is too broad to be considered within this document. The Aerospace industry is covered by the MEA07 Aeroskills Training Package. There are 16 qualifications in the Training Package ranging from Certificate II to Advanced Diploma level10. This Training Package was released in March 2008. These aircraft maintenance qualifications support comprehensive skills development needs for aerospace industry personnel involved in the maintenance, repair and overhaul of aircraft and aircraft components. Specifically designed qualifications meet the competency requirements identified by the Civil Aviation Safety Authority (CASA) for people to become Licensed Aircraft Maintenance Engineers (LAME). Please note: The training data within this information sheet contains information relating to this Training Package (MEA07) as well as the previous Training Package – MEA97.
8 9
Australian Bureau of Statistics Australian Standard Classification of Education 2001 Australian Bureau of Statistics Education and Work May 2009 National Training Information Service www.ntis.com.au
10
Manufacturing Skills Australia – Industry statistics as at February 2010
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The National Centre for Vocational Education Research (NCVER) collects data on commencements and completions in vocational education qualifications via two instruments – the National Apprentice and trainee collection and the National VET provider collection. The National Apprentice and trainee collection includes data for all formally notified apprentices and trainees attending either publicly funded or private RTOs. The National VET provider collection only contains data from publicly funded institutions such as Technical and Further Education (TAFE) colleges. Data is collected for the apprentice and trainee collection quarterly and for the VET provider collection annually. In 2008, 652 people commenced a formal contract of training in a qualification from a MEA Training Package while 331 people completed a formal contract of training. Over 75% of commencements and completions were at Certificate IV level. The qualification that had the most commencements and completions was Certificate IV in Aeroskills (Mechanical). In 2008, 356 people commenced an apprenticeship in Certificate IV in Aeroskills (Mechanical). These accounted for nearly 55% of contract commencements. In the same year, 159 people completed an apprenticeship in Certificate IV in Aeroskills (Mechanical) which was 48% of all contract completions11. There were no traineeships or apprenticeships at Certificate III level in 2008.
Aerospace industry Apprentice and trainees 2008
700 600
Contracts
500 400 300
Commencements
200
Completions
100
AQF level
Certificate IV
Certificate II
0
Source: NCVER 2009 National Apprentice and trainee collection
11
National Centre for Vocational Education Research 2009 National Apprentice and trainee collection (unpublished)
Manufacturing Skills Australia – Industry statistics as at February 2010
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During 2008, 1,624 people commenced an MEA qualification at a publicly funded training provider and 307 people completed a qualification from an MEA Training Package. New South Wales had the most enrolments (604) and completions (211) through publicly funded institutions12. MEA qualifications uptake in publicly funded institutions By state 2008 700 Hundreds
600 500
Enrolments
400
Completions
300 200 100 Australian Capital Territory
Tasmania
Northern Territory
State
Western Australia
South Australia
Queensland
Victoria
New South Wales
0
Source: NCVER National VET provider collection May 2009
MEA qualifications uptake in publicly funded institutions By qualification level 2008 1400
Hundreds
1200 1000 800
Enrolments
600
Completions
400 200 Advanced Diploma
AQF level
Diploma
Certificate IV
Certificate III
Certificate II
0
Source: NCVER National VET provider collection May 2009
12
National Centre for Vocational Education Research 2009 National VET provider collection (unpublished)
Manufacturing Skills Australia – Industry statistics as at February 2010
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In an industry sector where men make up the majority of workers, it is to be expected that men also make up the majority of enrolments. Just over 94% of all commencements were male with the largest course enrolment (778) being males enrolling into Certificate IV in Aeroskills (Mechanical)13.
1400 1200 1000 800 600 400 200 0
Males
AQF level
Advanced Diploma
Diploma
Certificate IV
Certificate III
Females
Certificate II
Hundreds
MEA enrolments at publicly funded institutions By gender 2008
Source: NCVER National VET provider collection May 2009
As with commencements, males made up the majority of completions with 289 graduating in 2008. The qualification with the most completions (134) was Certificate IV in Aeroskills (Mechanical)14. MEA completions in publicly funded institutions By gender 2008 250 Fifties
200 150
Males
100
Females
50 Advanced Diploma
AQF level
Diploma
Certificate IV
Certificate III
Certificate II
0
Source: NCVER National VET provider collection May 2009
13 14
National Centre for Vocational Education Research 2009 National VET provider collection (unpublished) National Centre for Vocational Education Research 2009 National VET provider collection (unpublished)
Manufacturing Skills Australia – Industry statistics as at February 2010
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Unlike other industry sectors covered by MSA Training Packages, minimum trade qualification for the Aerospace industry is at Certificate IV level. The number of contracts at Certificate IV level is significantly higher than in any other sector, and in Aerospace, makes up the majority of contracts. The same applies with the VET provider enrolments. There were no training contracts at Diploma level15. Commencements at AQF Certificate IV or higher By type of commencement 2008 1400 1200 Commencements
1000 800 600 400
Apprentices and trainees Publicly funded enrolments
200
AQF level
Advanced Diploma
Diploma
Certificate IV
0
Source: NCVER 2009 National Apprentice and trainee collection and National VET provider collection
15
National Centre for Vocational Education Research 2009 National Apprentice and trainee collection National Centre for Vocational Education Research 2009 National VET provider collection
Manufacturing Skills Australia – Industry statistics as at February 2010
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Contribution to the economy One measure of Gross Domestic Product (GDP) is ‘industry value added’ (IVA). In the financial year ending June 2007, the Aerospace industry contributed over $1.35 billion to the Australian economy, making it the largest contributor within the Transport equipment manufacturing industries16. Transport equipment manufacturing industries Industry value added by sector June 2007
1% 22%
43%
Shipbuilding and Repair Services ($713 million) Boatbuilding and Repair Services ($490 million) 15% Railway Rolling Stock Manufacturing and Repair Services ($612 million)
19%
Aircraft Manufacturing and Repair Services ($1,353 million) Other Transport Equipment Manufacturing n.e.c ($19 million).
Source: ABS Manufacturing Industry, Australia 2006 – 07 *n.e.c. - not elswhere classified
-END-
16
Australian Bureau of Statistics Manufacturing Industry, Australia 2006 - 07
Manufacturing Skills Australia – Industry statistics as at February 2010
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