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Labour Statistics: Concepts, Sources and Methods was originally released in 2001 in both electronic and paper versions (cat. no. 6102.0). The paper publication will not be rereleased. However, the web version (cat. no. 6102.0.55.001) is being updated on an ongoing basis. This chapter was updated on 15 December, 2005.


INTRODUCTION

4.1 There are a number of measures and classifications related to employment. Those discussed in this chapter include: status in employment; occupation; hours of work; full-time/part-time status; permanent/temporary/casual status; adult/junior status; managerial/non-managerial status; employment type; and other measures of working arrangements including details of shift work, overtime etc.


STATUS IN EMPLOYMENT

4.2 The status in employment classification is available from most ABS household surveys producing estimates of employment, including the Labour Force Survey, the Census of Population and Housing, and most Special Social Surveys. The status in employment classification is not available from business surveys producing estimates of employee jobs. However, as discussed in Chapter 3, estimates of employee jobs from business surveys are related to, but not the same as, estimates of persons in paid employment (employees) from household surveys.

4.3 The Australian status in employment classification is based on the ILO's resolution (Fifteenth ICLS 1993) concerning the International Classification of Status in Employment (ICSE-93). The ICSE classifies job holders according to the type of economic risk held between the job holder and other persons or legal organisations. The distinction between paid employment jobs and self-employment jobs is central to the classification. Paid employment (employee) jobs are those where remuneration is not directly dependent on the profits of the unit for which the job holder works. Self-employment jobs are those jobs where remuneration depends directly on the profits (or future profits) derived from the goods and services produced. The ICSE distinguishes five groups: employees (paid employment jobs) and four types of self employment jobs: employers; own account workers; contributing family workers; and members of producers' cooperatives.

4.4 The Australian status in employment classification classifies job holders according to their perception of the relationship between themselves and the enterprise for which they work, together with the legal status of the enterprise where this can be established. The ICSE group "members of producers' cooperatives" is excluded from the Australian classification due to its lack of relevance in the Australian context. The groups distinguished in the Australian classification are:

• employee - a person who works for a public or private employer and receives remuneration in wages, salary, a retainer fee from their employer while working on a commission basis, tips, piece-rates, or payment in kind; or a person who operates his or her own incorporated enterprise with or without hiring employees;

• employer - a person who operates his or her own unincorporated economic enterprise or engages independently in a profession or trade, and hires one or more employees;

• own account worker - a person who operates his or her own unincorporated economic enterprise or engages independently in a profession or trade, and hires no employees; and

• contributing family worker - a person who works without pay in an economic enterprise operated by a relative.

4.1 AUSTRALIAN STATUS IN EMPLOYMENT CLASSIFICATION

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• hours actually worked during normal periods of work;

• time spent in addition to hours worked during normal periods of work (including overtime);

• time spent at the place of work on activities such as the preparation of the workplace, repairs and maintenance, preparation and cleaning of tools, and the preparation of receipts, time sheets and reports;

• time spent at the place of work waiting or standing by; and

• time corresponding to short rest periods.

• hours paid for but not worked such as paid annual leave, public holidays or paid sick leave;

• meal breaks; and

• time spent on travel to and from work.

• ordinary time hours paid for - defined as the award, standard or agreed hours of work paid for at the ordinary rate. Ordinary hours paid for include: stand-by or reporting time hours which are part of standard hours of work, and hours of paid annual leave, paid sick leave and long service leave taken during the reference period. Ordinary time hours paid for at penalty rates (e.g. for shift work) are not converted to their ordinary time equivalent; and

• overtime hours paid for - defined as hours paid for in excess of award, standard or agreed hours of work, at both standard and penalty rates.

• Employees with any leave entitlements - comprising: employees who are entitled to both paid holiday leave and paid sick leave; and employees who are entitled to either paid holiday leave or paid sick leave and who do not consider their jobs to be casual.

• Self-identified casuals - comprising: employees who are entitled to either paid holiday leave or paid sick leave but not both, or who have no leave entitlements, and who consider their jobs to be casual.

• Employees without leave entitlements who do not consider their jobs to be casual.

4.2 CLASSIFICATIONS OF PERMANENT AND CASUAL STATUS USED IN ABS HOUSEHOLD SURVEYS

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• Employees with leave entitlements - persons who were entitled to receive both paid holiday leave and paid sick leave, and who either:

• worked in someone else's business; or
  
• reported that they worked in their own unincorporated business but did not invoice clients for own payment and paid Pay As You Earn (PAYE) tax.

• Self identified casuals - persons who were not entitled to receive both paid holiday leave and paid sick leave, and considered their job to be casual, and who either:

• worked in someone else's business; or
  
• reported that they worked in their own unincorporated business but did not invoice clients for own payment and paid PAYE tax.

• Other employed persons - persons who were not entitled to receive both paid holiday leave and paid sick leave, and did not consider their job to be casual, and who either:

• worked in someone else's business; or
  
• reported that they worked in their own unincorporated business but did not invoice clients for own payment and paid PAYE tax.

• Owner managers of incorporated enterprises - persons who work in their own incorporated enterprise. This group includes persons who draw a wage or salary for their work in their own incorporated enterprise.

• Owner managers of unincorporated enterprises - persons who operate their own unincorporated enterprise, including those engaged independently in a trade or profession.

4.3 EMPLOYMENT TYPE CLASSIFICATION - FORMS OF EMPLOYMENT SURVEY, 1998

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• Employees with some leave entitlements - persons who worked in someone else's business, and were:

• entitled to both paid holiday leave and sick leave; or
  
• entitled to either paid holiday leave or sick leave, and did not consider their job to be casual.

• Employees with any leave entitlements are further classified as either working on a fixed-term contract or not.

• Self-identified casuals - persons who worked in someone else's business, and were:

• entitled to either paid holiday leave or sick leave (but not both), and considered their job to be casual; or
  
• entitled to neither paid holiday leave nor sick leave, and considered their job to be casual.

• Employees without leave entitlements who did not identify as casual - persons who worked in someone else's business, and were entitled to neither paid holiday leave nor sick leave, and did not consider their job to be casual.

• Owner managers of incorporated enterprises - persons who work in their own incorporated enterprise. This includes persons who draw a wage or salary for their work in their own incorporated enterprise. This group is further classified as working on a contract basis or not.

• Owner managers of unincorporated enterprises - persons who operate their own unincorporated enterprise, including those engaged independently in a trade or profession. This group is also further classified as working on a contract basis or not.

4.4 EMPLOYMENT TYPE CLASSIFICATION - SURVEY OF EMPLOYMENT ARRANGEMENTS AND SUPERANNUATION

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• Entitled to either paid sick leave or paid holiday leave, but not both, and did not identify as casual - in the Forms of Employment Survey, this group formed part of the 'other employed persons' category. In the Survey of Employment Arrangements and Superannuation, this group was treated as 'employees with any leave entitlements', i.e. in the same way as those who were entitled to both forms of paid leave.

• Working in own unincorporated enterprise, and did not invoice or bill for own payment, and reported paying PAYE tax - in the Forms of Employment Survey, this group was treated in a similar manner to employees excluding owner managers of incorporated enterprises. These workers were classified to different employment type categories according to their entitlements to paid leave and whether they considered their jobs to be casual. Thus these workers may be classified as 'employees with leave entitlements', 'self-identified casuals' or 'other employed persons'. In the Survey of Employment Arrangements and Superannuation, these workers were retained in the category 'owner managers of unincorporated enterprises'.

• No paid leave entitlements but did not identify as casual - people without any paid leave entitlements who did not identify as casual were classified as 'other employed persons' in the Forms of Employment Survey, but were separated into a group of their own in the Survey of Employment Arrangements and Superannuation.

• for employees with leave entitlements - details of leave entitlements (paid holiday leave, paid sick leave and long service leave), superannuation coverage, details of the temporary nature of job (whether has a set employment completion date, whether employed on a fixed term contract, and whether expects contract to be renewed) and whether paid by an employment agency;

• for self-identified casuals - as above plus whether looked for alternative employment in the last three months, and whether looked for permanent employment;

• for other employed persons - details of leave entitlements, superannuation coverage, details of contract work undertaken (whether has more than one contract, whether can subcontract, whether can work for multiple clients under contract, whether has control over working procedures), details of the temporary nature of job, whether paid by an employment agency, and whether receives a payslip;

• owner managers of incorporated enterprises - whether has employees, details of leave entitlements, superannuation coverage, details of contract work undertaken, and whether draws a wage or salary from current business; and

• owner managers of unincorporated enterprises - whether has employees, whether invoices for own payment, details of contract work undertaken, and whether draws a wage or salary from current business.