Transcript Document
The Australian Care Economy:
A gender perspective
27th March 2013
Scoping the Australian care economy :
A Gender Equity Perspective
(2010)
Counting on care work in Australia
(2012)
Objectives of the first project
1. To examine how the care economy may be defined
2. To identify the issues relevant to paid and unpaid care
3. Collate a list of public policies which provide government
support to the care economy
4. Identify the impact of the care economy on women‘s economic
wellbeing
5. Research recent statistics on the Australian care economy
6. Identify gaps in the literature & areas for further research.
Defining the care economy
The most comprehensive definition to date comes from a case
study of the state of Massachusetts in the US (Albelda et al.
2009), which categorised both paid and unpaid care work into:
Interactive care work, labour suppled directly through a faceto-face relationship directed to meeting the needs of a care
recipient, and
Care support work, the less visible support work that keeps the
institutions of care running.
Issues identified
Data issues
Gender equity
Longevity and an ageing population
Unpaid care
‘Welfare to work’
Young carers
Paid care
Exploitation.
Gender equity
The provision of care is a highly gendered activity, which
reproduces inequality between men and women
Paid caring work attracts a ‘wage penalty’ and pays less than
other occupations
The personal costs of providing both paid and unpaid care are
borne disproportionately by women and can lead to inequality
among women
Gender norms play a key role in maintaining the gender
division of labour in care work.
Longevity & an ageing population
Poses a challenge to the adequate future supply of caring labour:
An increasing number of care recipients whose care needs are
becoming more complex
Rather than juggle the competing demands of paid work and
care, many carers may reduce their paid working hours or exit
the labour force
The aging population is spawning a ‘sandwich’ generation of
carers who are caring for a child and have an elderly relative
who also requires care.
Informal care
Informal carers are most likely women, older than the general
population, and either working part-time or not in the
workforce (Access Economics 2005)
Almost half have caring responsibilities equivalent to a fulltime job and over half experience some form of financial
difficulty (ABS 2008)
About half have no regular assistance with the care they
provide and around one-third would like an improvement in
their caring role including better financial support (Hales 2007).
Unpaid care
Carers have the lowest subjective wellbeing of any group yet
researched (Cummins & Hughes 2007)
The government subsidy for informal care is much lower than
other care streams (Access Economics 2005)
There is a lack of affordable care options for many carers
The future supply of informal care may fall short of the
demand for family-based care.
Paid care work
Increased labour force participation of women has increased
the demand for paid care services
Paid care services suffer from a ‘cost disease’
Quality of paid care is difficult to monitor
Low wages result in workers feeling demoralised
Paid care tends to be undervalued in market terms wherever it
is supplied
Residential aged care facilities provide a good example of a
marketised care service.
Impact on women’s economic wellbeing
Affected by both paid and unpaid care work
Caring occupations pay less than jobs with similar
characteristics and women‘s segregation in caring jobs helps
explain the persistence of gender differences in pay
Informal carers are less likely than non-carers to be employed
and less likely to be working full-time
Carers who experience financial hardship also experience low
face-to-face social contact with relatives and friends outside
their household.
Women’s workforce participation
Workforce flexibility and the availability and responsiveness
of community support services will be a prime consideration
for an increasing number of mature age workers providing
care to a frail parent or a spouse with a disability
Many women’s workforce participation is not resulting in
adequate superannuation to fund their retirement
Eliminating the gender wage gap in its entirety could be worth
around $93 billion or 8.5% of GDP.
Unpaid care & workforce participation
As the population ages, there will be increasing numbers of care
recipients with increasingly complex care needs
Employers wishing to retain female workers will need to respond
flexibly to the needs of those with caring responsibilities
Care needs can significantly impact on a carer‘s ability to engage
in substantial participation in the workforce
The productivity losses associated with the provision of informal
care are mainly borne by the individuals providing the care
whose wage income is reduced.
Flexible working arrangements
Women are much more likely than men to use shift, casual or
part-time work as a means of managing their caring
responsibilities
More single mothers make use of ‘family-friendly’ work
arrangements to provide care than couple mothers
About a quarter of employees who become carers do not have
access to any carer-friendly workplace arrangements.
Purpose of second project
First quantification of the Australian care sector, paid and
unpaid, using both replacement and opportunity cost methods
Examining paid care work, unpaid care work and
government investment in the care sector
Labour and resources devoted to the daily care of
Australians
Developing categories, concepts and measures of care work
to enable international comparisons
Paid care demographics
Women are the primary paid care providers in Australia by
three times
Paid care sector workers earn 96 cents for every dollar earned
by the average Australian worker
Women in the paid care sector earn 84 cents for every dollar
earned by their male counterparts
Unpaid care demographics
Women are more involved in voluntary activities
Women are the primary unpaid care providers
Per day, women spend two thirds more time providing unpaid
care than men
Forty-two per cent (42%) of women not in the labour force
cite family reasons. Caring for children is the key factor
Paid care results
Income earned by care sector workers in 2009-10 was $112.4
billion, equating to 8.8% of total GDP and $5,033 per capita
1.8 million EFT workers in care sector providing app 20% all
paid work in Australia
Unpaid care results
The imputed value of unpaid care work in Australia for 200910 is estimated at between
$601 billion (replacement cost method)
$699 billion (opportunity cost method)
At the mid-point ($650 billion), the care sector equated to
51% of GDP in 2009-10 or $29,120 per capita
Unpaid care results
21.4 billion hours unpaid care work undertaken in 2009-2010
Equivalent to 11.1 million FTE positions, 1.2 times total
Australian FTE workforce
Imputed value $650.1 billion; 50.6% GDP
Public investment
The Commonwealth, State/Territory and local governments
spent $136 billion on care equating to $6,085 per capita in
2009-10
Limitations to AEC Group research
Factors not captured in the research
Career progression and income opportunity costs
Emotional labour and stress
Financial stress
Cultural diversity