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Fiscal impacts of immigration 2005/06

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Occupation and the Migrant Population

This section examines the occupational characteristics of New Zealand working age immigrants (aged 15 years plus). This section analyses nine different occupation groups[14], according to a migrant's region of residence, region of birth and length of residence in New Zealand. The discussion also makes comparisons with the New Zealand-born population.

Overview

Overall, the number of migrants currently in the labour force and employed was 476,000, excluding those who were either unemployed or not in the labour force (340,000). Apart from the 'No occupation' category[15] from the census, the professionals category was the largest occupation category for migrants, accounting for about 18 percent.[16] This is followed by 16 percent in legislators, administrators and managers category and 14 percent in service and sales workers category.

The top three occupations among the New Zealand-born population were legislators, administrators and managers (14 percent), professionals (14 percent) and service and sales workers (13 percent). This reflects New Zealand's economic conditions and the focus on those three occupation categories. Only 3 percent of the total migrants were agriculture and fishery workers, compared to the 8 percent in the New Zealand-born population. The rest of the occupations account for almost the same percentages in both the New Zealand and overseas-born populations.

Table 6-1: Occupation summary 2006
Occupation ('000) NZ born Overseas born total   Overseas born: Years in NZ
Less than 5 Between 5 - 14 15 or more
Legislators, Administrators and Manager's 215 69 16 19 33
Professionals 206 89 24 26 37
Technicians and Associate Professionals 180 60 17 17 26
Clerks 168 51 14 13 23
Service and Sales Workers 203 66 22 19 25
Agriculture and Fishery Workers 114 16 4 3 8
Trades Workers 133 35 10 8 17
Plant & Machine Operators and Assembler's 119 31 7 8 16
Labourers and Elementary Service Workers 94 28 8 7 13
Not elsewhere included 78 35 11 9 15
No occupation 729 340 96 80 163
Total 2238 816 230 210 376

* unemployed or not in the labour force

In terms of the length of residence in New Zealand, there were slightly fewer recent migrants in the legislator, administrator and manager category (12 percent), compared to the average of total migrants (14 percent). However, more recent migrants worked as service and sales worker (16 percent), whereas the average of total overseas-born was 14 percent. Intermediate and earlier migrants had the same occupational mix as the average, with the exception of fewer earlier migrants working as service and sales workers.

Table 6-1 indicates that the New Zealand-born population had the lowest proportion of people unemployed or not in the labour force (33 percent). The equivalent proportion for the recent migrant category was 42 percent. This rate dropped for intermediate migrants to 38 percent, before rising to 43 percent for earlier migrants. The higher rate for the latter category is likely to reflect the older age profile of this group rather than a lower propensity for employment amongst the conventional working age cohort in this population.

Occupation by region of birth

The region of birth has seven categories - Australia, Pacifica Islands, The United Kingdom and Ireland, Europe and North America, Asia, Other and Not specified. Generally speaking, the legislator, administrator and manager, and professional categories were the top two occupations except for Pacific Island-born migrants. Technicians and associate professionals was also a large occupation category, employing a large percentage of migrants across all the region of birth categories.

Table 6-2 gives the proportion of people reporting a particular occupation by region of birth

Table 6-2a: Occupation by region of birth 2006 (percent)
Occupation ('000) NZ born  Overseas born total
Legislators, Administrator's and Mgr's 14 14
Professionals 14 18
Technicians and Associate Professionals 12 13
Clerks 11 11
Service and Sales Workers 13 14
Agriculture and Fishery Workers 8 3
Trades Workers 9 7
Plant & Machine Operators and Assembler's 8 7
Labourer's and Elementary Service Workers 6 6
Not elsewhere included 5 7
Total 100 100

 

Table 6-2b: Occupation by region of birth 2006 (percent)
Overseas born total Overseas born: Years in NZ
Occupation ('000) Australia Pacific Islands UK and Ireland
Legislators, Administrator's and Mgr's 16 7 18
Professionals 16 9 22
Technicians and Associate Professionals 13 8 15
Clerks 11 10 11
Service and Sales Workers 15 13 10
Agriculture and Fishery Workers 5 2 4
Trades Workers 8 9 8
Plant & Machine Operators and Assembler's 5 16 4
Labourer's and Elementary Service Workers 5 13 4
Not elsewhere included 4 13 4
Total 100 100 100

 

Table 6-2c: Occupation by region of birth 2006 (percent)
Overseas born total Overseas born: Years in NZ
Occupation ('000) Europe and North America Asia Other Not specified
Legislators, Administrator's and Mgr's 15 14 14 11
Professionals 22 16 24 11
Technicians and Associate Professionals 14 11 14 9
Clerks 9 11 11 8
Service and Sales Workers 12 19 13 13
Agriculture and Fishery Workers 5 2 3 3
Trades Workers 7 5 8 8
Plant & Machine Operators and Assembler's 4 6 4 7
Labourer's and Elementary Service Workers 4 6 4 7
Not elsewhere included 7 9 5 22
Total 100 100 100 100

There were almost 50,000 Australian born migrants in New Zealand, of which 66 percent were employed and 34 percent were either unemployed or not in the labour force. The majority of Australian born migrants worked as legislators, administrators and managers (16 percent), professionals (16 percent) and service and sales workers (15 percent). These occupations were also the top three amongst the total overseas-born population. More Australian born migrants preferred legislation, administration and managing and service and sales jobs, at 2 percent more than the overseas-born average in New Zealand. Only 4,000 Australian born migrants worked in the labourer and related elementary services and plant and machine operating and assembling fields, accounting for around 10 percent altogether.

As for the Pacific Island-born migrants, 58 percent were in the labour force but with a slightly different preference in terms of occupation. 16 percent were plant and machine operators and assemblers; 13 percent were services and sales workers; and 13 percent were labourers and related elementary service workers. Very few Pacific Island-born migrants worked as legislators, administrators and managers, accounting for only 7 percent.

With 239,000 migrants from the United Kingdom and Ireland, this region was the largest source of New Zealand migrants. 60 percent of these migrants (141,000) had employment. 22 percent of the migrants from this region of birth worked as professionals, 18 percent were legislators, administrators and managers, and 15 percent were technicians and associate professionals. These percentages were higher than the overseas-born averages of 18 percent, 14 percent and 13 percent, respectively.

Migrants from Europe and North America had similar occupational preferences, with a large percentage working as professionals (22 percent), legislators, administrators and managers (15 percent) and technicians and associate professionals (14 percent). A relatively small number of the migrants born in the regions of United Kingdom and Ireland and Europe and North America undertook jobs in plant and machine operating and assembling and labour and related elementary services.

Asian born migrants were the second largest group in the overseas-born population with 233,000 migrants in New Zealand. Almost 16 percent of these migrants worked as professionals, which was 2 percentage points lower than the total overseas-born average. Service and sales (19 percent) and legislation, administration and managing (14 percent) jobs were popular amongst Asian born migrants. The rate of service and sales jobs amongst Asian migrants was over 5 percentage points higher than the overseas-born average.

Occupation by region of residence

Overall, legislators, administrators and managers and professionals were the two largest occupations among overseas-born populations across all the country. Although regional difference still existed in terms of absolute numbers, there was no major difference with regard to the percentage of each occupation in a particular region. Moreover, the New Zealand-born population and overseas-born population had similar occupation preferences, according to their percentages in each region.

Table 6-3: Occupation in Auckland 2006
Occupation ('000) NZ born  Overseas born total Overseas born: Years in NZ
Less than 5 Between 5 - 14 15 or more
Legislators, Administrators and Mgr's 59 33 8 9 16
Professionals 54 39 11 12 16
Technicians and Associate Professionals 48 30 9 8 13
Clerks 41 27 8 7 12
Service and Sales Workers 38 31 10 9 12
Agriculture and Fishery Workers 4 2 0.5 0.5 1.1
Trades Workers 26 17 5 4 8
Plant & Machine Operator's and Assembler's 16 17 4 4 9
Labourer's and Elementary Service Workers 16 15 4 4 7
Not elsewhere included 13 17 5 4 7
No occupation 142 157 44 37 75
Total 458 384 108 99 177

The Auckland region employed 227,000 migrants, and employed the largest proportion of the overseas-born population (48 percent) out of the five regions. Professionals (17 percent), legislators, administrators and managers (15 percent) and service and sales workers (14 percent) were the top three occupations for overseas-born migrants in this region. More recent migrants worked in this region as technicians and associate professionals (14 percent) and service and sales workers (16 percent), compared to the averages of 13 percent and 14 percent, respectively. Fewer recent migrants worked in the areas of legislation, administration and managing; the rate for this group was over 2 percentage points lower than the regional average of overseas-born population. Intermediate and earlier migrants had similar occupation choices, with legislators, administrators and managers, professionals and technicians and associate professionals making up the top three. These choices were similar to those of New Zealand-born.

Wellington, as the capital city, had a high proportion of the population employed as professionals and legislators, administrators and managers, with 23 percent and 15 percent, respectively, for the overseas-born population and 21 percent and 17 percent, respectively, for the New Zealand-born population.[17] Around 14 percent of total migrants in Wellington worked in the field of services and sales. In particular, the recent migrants, worked in this area, accounted for 17 percent of the total migrant population in Wellington. The number of migrants working in agriculture and fishery was about 0.6 percent in Wellington, lower than that in Auckland (0.9 percent).

In Christchurch, the top three occupations were legislators and administrators and managers, professionals and services and sales workers for both New Zealand-born and overseas-born population.[18] Over 20 percent of the intermediate migrants were working as professionals in Christchurch, significantly higher than proportion in the New Zealand-born population (15 percent).

The rest of New Zealand (i.e. the Rest of North Island and Rest of South Island regions) had similar percentages as in the regions described above, with a large proportion working as legislators, administrators and managers and professionals.[19] The service and sales occupations also employed a large percentage of migrants.

Among the top three occupations, there were more earlier migrants working in the fields of legislation, administration and management, but more recent migrants working as service and sales workers. As the duration of residence in New Zealand increases, migrants tend to have more similar occupations to the New Zealand-born population. In other words, earlier migrants made almost the same occupational choices as the New Zealand-born.

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[14] The study uses eleven occupation categories in total; nine of these categories relate to specific occupations. The eleven categories are: legislators, administrators and managers; professional; technicians and associate professionals; clerks; service and sales workers; agriculture and fishery workers; trades workers; plant and machine operators and assemblers; labourers and related elementary service; not elsewhere included and no occupation.

[15] ‘No occupation’ means unemployed or not in the labour force.

[16] Occupational category percentages reported in this section are calculated excluding the ‘No occupation’ category.

[17] Detailed data may be found in Appendix table 15

[18] Detailed data may be found in Appendix table 16

[19] Detailed data may be found in Appendix table 17 and Appendix table 18