Construction industry thriving

New government data has highlighted the role of the construction industry in the growth of the New Zealand economy.

Linked Employer-Employee Data (LEED) published today by Statistics New Zealand showed that in the year to June 2005 job growth hit 12.1 per cent in the mining, construction, electricity, gas and water supply industry category.

Construction dominated the category, with 91.2 per cent of the average number of jobs filled, up from 90.6 per cent in the June 2004 year.

The second-fastest growing category was property and business services, which were up 6.4 per cent, followed by finance and insurance up 6.1 per cent, wholesale trade up 4.6 per cent, and government administration and defence up 4.5 per cent.

LEED produces detailed statistics to help measure labour market dynamics at national and regional level. Quarterly releases concentrate on different dimensions of the data, with the emphasis today on industry analysis.

Overall, the growth in the average number of filled jobs rose 3.9 per cent in the year to June 2005, up from 3.5 per cent the previous year.

The category with the highest number of filled jobs in the year to June 2005 was manufacturing, property and business services, and retail trade industries with 14.2 per cent of the total, down from 15.5 per cent in the year 2000.

The share of jobs in the mining, construction, electricity, gas and water supply industry rose over the five years from 5.3 per cent to 6.4 per cent. During the same five years the proportion of jobs in the property and business services industry rose from 12.4 per cent to 13.3 per cent.

In the year to June 2005, an average of 302,630 employees started work with a new employer and 286,270 left an employer, giving an average quarterly worker turnover rate of 17.4 per cent, up from 17.1 per cent in the June 2004 year.

The agriculture, forestry and fishing industry had the highest turnover rate at 33.3 per cent, followed by accommodation, cafes and restaurants on 28.2 per cent -- both industries with short-term seasonal work.

Lowest turnover was in government administration and defence at 10.8 per cent, followed by finance and insurance at 12.2 per cent.

The average national mean quarterly earnings for all full-quarter jobs for the June 2005 year was $9960.

Top of the earnings tree was the finance and insurance industry at $15,170, followed by government administration and defence on $12,760, and property and business services at $11,850.

Lowest average mean quarterly earnings were in the accommodation, cafes and restaurants industry at $5260.

The mean quarterly earnings for all full-quarter jobs rose 4.3 per cent in the year to June 2005, lower than the 4.5 per cent rise the year earlier.

Earnings rose in every industry with the biggest rise in health and community services up 5.8 per cent, followed by education up 4.9 per cent, and finance and insurance up 4.7 per cent.

For females growth of 4.4 per cent took mean quarterly earnings to $7800, while for males growth of 4.1 per cent took earnings to $12,020.

Leading the earnings league were finance and insurance workers in Auckland with mean quarterly earnings of $16,790. On the bottom rung were workers in the accommodation, cafes and restaurants industry in Gisborne with $4250.

- NZPA