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Tuesday, 5 November 1985
Page: 1607

(Question No. 207)


Senator Bolkus asked the Minister representing the Minister for Defence, upon notice, on 17 April 1985:

(1) How many jobs were generated in the Australian economy by domestic defence expenditure during the financial year 1982-83.

(2) How many of the jobs referred to in (1) were generated-

(a) directly;

(b) indirectly;

(c) in the primary, secondary, tertiary sectors; and

(d) as a consequence of sales of defence equipment overseas

(3) What was the average income per capita of each job generated.

(4) What was the distribution of the jobs generated by domestic defence expenditure in the financial year 1982-83-

(a) by State and Territory; and

(b) according to Australian Standard Industrial Classification (ASIC).

(5) How many people were employed in the Australian economy at 30 June 1983 directly and indirectly in support of the national defence effort.


Senator Gareth Evans —The Minister for Defence has provided the following answer to the honourable senator's question:

(1) Other than the usual statistics for Defence Force and civilian personnel in the Defence organisation, the Department of Defence does not maintain data of the type sought.

There were 72,782 regular Defence Force personnel and 39,221 civilians in the Defence and Defence Support organisation at 30 June 1983.

Following discussion with the Department of Employment and Industrial Relations, it is estimated that 75,000 jobs (rounded to the nearest 1000) were supported in the Australian economy by domestic Defence expenditure during the financial year 1982-83. This estimate has been prepared from an input-output analysis based on data from the Australian Bureau of Statistics and is subject to the caveats which typically apply to such analyses.

This information is in terms of jobs supported-either directly, indirectly, or as jobs induced-rather than jobs generated. These terms are defined as:

(a) Jobs directly supported include:

(i) jobs that exist in public instrumentalities and private organisations which directly provide goods and services to Defence;

(ii) positions occupied by regular Defence Force personnel and civilians in the Defence organisation, but excluding members of the Reserve forces and civilian inoperative staff.

(b) Jobs indirectly supported include all jobs which exist as a result of spending by the recipients of the Defence dollar in jobs directly supported; and

(c) Jobs induced include jobs that exist due to additional capital formation by organisations after taking into account Defence expenditure, and the consequential first round consumption effects.

(2) (a), (b)-

Jobs directly supported...

12,000

Jobs indirectly supported...

21,000

Jobs induced...

42,000

75,000

(c) (i) Jobs directly supported in the primary sector-Nil; in the non Defence secondary sector (defined as manufacturing)-8,000; in the non Defence tertiary sector-4,000;

(ii) Jobs indirectly supported (and induced) by Defence expenditure cannot readily be dissected between primary, secondary and tertiary sectors;

(d) Jobs supported as a consequence of sales of Defence equipment overseas cannot readily be derived.

(3) Data on the average income per capita of each job generated is not available.

(4) (a) The distribution of jobs by State and Territory can readily be estimated for directly supported jobs only as per the table below.

(4) (b) Data not available.

(5) See answer provided to Question 1.

State

Defence

Organisation

Directly

supported

jobs (non

Defence)

Total

Australian Capital Territory...

10,623

2,110

12,733

New South Wales...

33,494

2,773

36,267

Victoria...

31,964

4,112

36,076

Queensland...

15,714

1,864

17,578

South Australia...

6,543

622

7,165

Western Australia...

3,587

201

3,788

Tasmania...

417

19

436

Northern Territory...

1,368

233

1,601

Sub-total...

103,710

11,934

115,644

Defence personnel overseas...

2,211

. .

2,211

Defence personnel on ships...

5,646

. .

5,646

Part time employees in Defence...

436

. .

436

Total...

112,003

11,934

123,937