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Earlier work by CEDA on population and related issues.
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There are concerns that the shift in the demographics of the Australian workforce – as the population ages, fewer young people will be available to replace retiring cohorts. One possible solution is to encourage older people to stay in work. This solution implies that there will be an increased need for people to keep learning in order to stay abreast of changes in work practices.
Fertility and mortality rates in Australia have been falling for more than a century. As a result of these demographic trends, the percentage of the population aged 65 years and over increased from 2 per cent in 1870 to around 13 per cent today. Thus, demographic ageing is not a new phenomenon; it has been with us for more than a century.
The implications of an ageing population for healthcare costs have been the focus of much analysis and commentary in the past decade. The Treasurer’s Intergenerational Report (2002) concluded that ‘a steadily ageing population is likely to continue to place significant pressure on Commonwealth government finances.’
Australia’s labour market is currently experiencing two great long-term shifts. The first is a pronounced change in the supply of labour. The demographically over-represented “baby-boom” generation is growing older. As this generation reaches retirement age, labour force growth will slow – and as a proportion of the population, the labour force will begin to shrink. Without other changes to the economy, per-capita GDP growth will also fall.
Lifelong learning has been a focus of discussion among policymakers, across government, industry, and the education and training sector for over a decade. The drivers of the lifelong learning debate are the changing business and work environments and the shifting profile of labour and skills.
A shrinking workforce and growing skills shortages over the next 15 to 20 years is shining a spotlight on older workers. Employers are beginning to notice this group’s many qualities – their accrued knowledge and skills, their adaptability, loyalty and reliability. However, the continuing employment and training of mature-age workers is yet to be widely recognised as a positive investment rather than an unnecessary cost.
Education is the foundation upon which the life of an individual is built. It is not an event or a series of events; it is not simply the acquisition of knowledge, skills and understanding, although it embraces all of these...It is a progressive and irreversible process, which if successful establishes a basis for lifelong learning. An education is not a service but an odyssey … Education is the foundation of civil society …
Australia has been called the lucky country. It has abundant resources, good institutions and, generally, benign weather. These factors have enabled Australia to develop a highly prosperous society. CEDA's project, A Greater Australia: Policies and frameworks, will examine the critical issues, and make major policy recommendations, to ensure that Australia has the right macro settings to remain 'lucky.'
In the 2011 Economic and Political Overview, Professor Jonathan Pincus explores some of the key issues of 'A population policy for Australia.'
Australia has an ageing population. From around 13 per cent today, the proportion of the population aged 65 years and over is now projected to rise to between 27 per cent and 30 per cent by 2051.