Australia 2020 Summit Strengthening Communities, Supporting Families And Social Inclusion

1. Australia 2020 Summit Strengthening Communities, Supporting Families And Social Inclusion April 2008

2. These background materials aim to tell an evidence-based story about how Australia is faring. They are not intended to be definitive or comprehensive, but were put together to stimulate discussion on the main challenges and opportunities facing the country and the choices to be made in addressing them. They do not represent government policy. The materials end with a set of questions. We hope that these, along with many other questions, will be the subject of conversation both prior to and during the Summit.

3. Australia's population is ageing - by 2036, it is predicted that one quarter of Australians will be over 65 Australian population by age bracket: 1976-2036 % population by age bracket For more on Australia's demographic transformation, see Population, Sustainability... (p14-17) Source: ABS 3222.0, Population Projections, Australia, 2004-2101 (2006); ABS 3201.0, Population by Age and Sex, Australian States and Territories (2006)

4. We have a high migrant population, and a wealth of cultures Migration Language Religion Permanent settler arrivals - top 10 countries of birth: 1985/6, 2005/6 (Ranked country of emigration; % total migrant population) • Christianity is the most common religious belief (around 12.7m people) • Buddhism is the second most common (around 420,000 followers – this has grown from 200,000 in 1996) • Islam has around 340,000 followers, up from 200,000 in 1996 • Hinduism has around 150,000 followers, more than double the 1996 figure • The Jewish community comprises around 89,000 people • ~240,000 citizens cite religions and religious affiliations outside the above 1. Others with <50,000 respondents (2006): French, Indonesian, Persian (includes Dari), Maltese, Russian, Dutch, Japanese, Tamil, Sinhalese, Samoan, Portuguese, Khmer, Thai, Assyrian, Hungarian, Korean, Turkish, Polish and Serbian Source: ABS 2068.0, Census Data 2006; ABS 1301.0, Year Book Australia 2008 (2008)

5. Legend (% usual residents) 16.7 to 35.1 6.8 to 16.7 4.4 to 6.8 2.7 to 4.4 0.2 to 2.7 High cultural diversity is a phenomenon of inner urban communities, where between 5 and 35% of people arrived in Australia less than 5 years ago Sydney Melbourne "New arrivals": Persons arriving on or after 1 January 2001 (% total usual residents) "New arrivals": Persons arriving on or after 1 January 2001 (% total usual residents) Source: ABS, Data source: Census MapStats 2006 [Data available on request]

6. For most people, family remains the anchor-point of support networks and social engagement Family is the most common form of support for people in crisis... ...and also the greatest beneficiary of our generosity and care Source: ABS 4159.0, General Social Survey, 2006 (2007)

7. 8.8% Increasingly, families come in a wide range of forms Australia has more single parent and childless households No family structure is "typical" More people are remaining unmarried or living in de facto relationships Only 40% of families are "traditional" nuclear families, with 2 parents and their shared biological children only It is estimated that 28% of marriages entered into in 1985-7 will end in divorce; and 33% of marriages from 2000-2. Half of all divorces involve one or more children under 18 5% of families with children are "step" families2 and a further 3% of families with children are "blended"3 In 2001, 0.5% of all couple families reported being same-sex couples. Of these families, 11.2% had one or more children Unmarried Other household De facto Single parent family Married Couple family with no children Couple family with children1 1. Includes all couple combinations (de facto and married), with one or more children of either parent 2. Families in which there are biological children of one or other parent and another partner rather than both. 3. Families which contain a mix of the biological children of resident parents, and one or more children from another union Source: ABS 2068.0, Census Data 2001 and 2006

8. , Women are increasingly highly educated, are having fewer children (and later), and are participating more fully in the workforce Women are attaining tertiary qualification faster than men Women are bearing fewer children, and having them later in life More women are working, especially dominant in part-time employment Highest level of qualification - Australia: 1996-2006 Crude birth rate and median age of mothers at birth: 1976-2006 Australian Labour force profile: 1978-2008 Other1 Unemployed and seeking FT or PT work Median age of mothers at birth (left hand axis) Bachelor degree or higher Employed part-time Fertility rate (right hand axis) Diploma/Certificate Employed full-time For more on education and the labour force, see Education, Skills and the Productivity Agenda Today, 16.4% of women have a bachelor degree or higher, compared with 14.7% of men 1. Other post-secondary qualification not specified or inadequately described Source: ABS, 2068.0 Census Data 2006; ABS, 4102.0 Australian Social Trends, Data Cube (2007); ABS, 6202.0 Labour Force Jan 2008

9. The composition of our households is changing, with increasing numbers of people living alone Single-person households are expected to increase... ...with a particular spike in older lone women Projected composition of households - Australia: 1996-2026 Projected numbers of lone persons, by sex - Australia: 1996-2026 Lone persons 1996: 23% 2026: 28% Groups 1996: 4.2% 2026: 3.6% Families 1996: 73% 2026: 66% This highlights the continuing importance of communities – our support networks outside the home Note: Projections use Series B assumptions including moderate fertility and migration levels Source: ABS, 3236.0 Household and Family Projections, Australia, 2001-2026 (2006); ABS, 2068.0 Census Data 1996

10. One in five Australians have some kind of disability Most disability is mild or moderate Much of disability is addressed using aids and equipment 1. 4.8% of the population have non-core limitations 2. Total number of people with core-activity limitations was 3,001,900 3. Some people use more than one aid Source: ABS, 4430.0 Disability, Ageing and Carers: Summary of findings, 2003 (2004)

11. Many families are taking on informal carer responsibilities, with both benefits and burdens More than 250,000 Australians care for a person with a disability, of which ~63% are also in the workforce Caring can be rewarding, but brings a range of challenges Population aged 15 and over reporting primary or other carer responsibilities and workforce participation – Australia: 20031 (%) 48% of primary carers and 66% of other carers are also employed2 1. Refers to informal caring duties as reported to the Survey of Disability, Ageing and Carers 2. Includes part- and full-time employment by self or another 3. Due to decreased income or extra expenses resulting from carer duties 4. Refers only to carers who live with the recipient of care Source: ABS, 4430.0.55.003 Disability, Ageing and Carers, Australia: Caring in the Community 2003 (2004)

12. 185 Housing stress is once again emerging as a serious challenge for families Housing is an increasing burden on family budgets... ...with fewer first home- buyers able to enter the market Average weekly household expenditure on housing – Australia: 1994-2006 Australian nominal household income versus first homebuyer qualifying income: 1994-2006 Percentage of household income spent on housing (right axis) Mean household income2 Weekly household housing costs (left axis) Qualifying income3 1. 2005/6 dollars 2. Seasonally adjusted 3. Qualifying income is defined by HIA as the income necessary to meet repayments on an average established dwelling purchased by first home buyers. Qualifying income = monthly mortgage repayments x 40 months Source: ABS, 4130.0.55.001 Housing Occupancy and Costs, Australia, 2005-6 (2007); HIA Economics Group

13. 54% Many working households have low incomes, and there is an older group of Australians who lack sufficient retirement savings It is estimated it would cost ~$500k to retire in Australia today,3 but at least one quarter of pre-retirees have less than that amount Low income appears to affect working people as much as those not working or subsisting on social benefits Australian households with an equivalised household income of less than 50% of the median: 2005/6 (% households) Australian households with sufficient retirement savings3 – reference person aged 55-64, with >$500,000 in superannuation, financial assets or household net worth: 2005/6 (% households) 1. All households which report a weekly income from employment or business. 2. All other households (may have government, extra-household, retirement or investment income) 3. Association of Superannuation Funds; Westpac. Assumes life expectancy of 77.6 for men and 82.9 for women, spending $35,430 a year for singles and $47,507 for couples 4. Includes savings/transaction accounts, superannuation, all investment classes. 5. Includes all financial and non-financial assets and liabilities – including house value and any (un)incorporated business value Source: Gillian Bullock, How much do you need to retire? (2006) http://money.ninemsn.com.au/article.aspx?id=147791; ABS, 6541.0 Survey of Income and Housing 2005-6, Confidentialised Unit Record File

14. 8.4 Australia has relatively high numbers of low income households Australia ranks among the most highly developed nations in the world... ...but, of these countries, bears one of the highest rates of low income households2 Human Development Index1 - top 20 most developed nations: 2005 % of population subsisting on less than 50% of median equivalised disposable household income – top 20 most developed nations3: 2000-4 For more on income disparity in Indigenous populations, see The Future of Indigenous Australia (p4) 1. The normalised measure of life expectancy, education, standard of living, and GDP per capita. 2. Defined as the percentage of the population living on less than 50% of the median adjusted household disposable income 3. Luxembourg and Hong Kong not shown (incomparable geographical size) Note: Income poverty data not available for Iceland and New Zealand Source: UN Development Program, Human Development Report 2007/8 (2008)

15. Despite record low unemployment, many Australian children are growing up in a household where no adult works Australia is one of the worst performing OECD countries for children raised in "workless" households Percentage of working-age households with children without an employed parent - OECD countries: 2000 • Our low official unemployment rates mask a high number of non-working Australians • Unemployment rate in 2007 was as low as 4.36%, however official workforce participation rate was only 62.8% • People may be "non-participants" for a range of reasons • Retirement, studentship, illness or disability • Unpaid volunteer or care work • Long-term workless people who have stopped looking • People who simply choose not to work • The problem is acutely felt by families with children • The child caring burden may be a disincentive to participating in the workforce – especially for single parents • 2006 data indicates that 15.7% of all children under 15 live in a household where no parent works – including 47.7% of single parent families For more on worklessness in Indigenous households, see The Future of Indigenous Australia (p6) % working age households with children without an employed parent Source: UNICEF, Child Poverty in Perspective: An overview of child well-being in rich countries (2007); ABS, 6260.0 Labour Force Projections, 1999-2016 (1999); ABS, 6202.0.55.001, Labour Force, Australia, Spreadsheets Jan 2008

16. Many children live with multiple family disadvantages Financial stress Disability or illness Exposure to drugs or violence Single parent families are far more likely to experience multiple financial crises • 1.8% of children under 15 have a parent requiring assistance with core activities. Of these, 20% live in single parent families • Children also assist with non-primary care to other family members • The Survey of Disability, Ageing and Carers reports that 2.6% of children under 15 offer some level of non-primary care to another person (parent or other relative) due to age, illness or disability • Carer families are more likely than non-carer families to • Have low income (27% are in the bottom income quintile) • Rely on government pensions/ allowances (42% of carers cite this as the primary source of income, compared with 27% of non-carers) • Be non-participants in the workforce (44% of carers compared with 32% of non-carers) • Family violence levels (whilst difficult to accurately quantify3) impact on children • 49% of adults experiencing violence from a current partner2 have care of a child; 27% say that the child has witnessed the violence2 • A 1999 study found that witnessing parental family violence was the strongest predictor of perpetration of violence in young people's own intimate relationships • Many children are also exposed to drugs • The home is by far the most commonly cited "usual place of use" for alcohol and illicit drugs • Children are at a higher risk of early initiation to drug use if family members are substance abusers4 • Whilst the link between substance abuse and violence is not self-evident, child protective services report their significant co-incidence in child-related incidents • The NSW Department of Community Services reported in 2003 that up to 80% of child abuse cases were associated with drug/alcohol misuse For information on educational disadvantage, see Education, Skills and the Productivity Agenda (p8) One event Two events Three or more 1. Percentages refer to % households with dependent children experiencing the crisis in last 12 months 2. Includes both men and women experiencing violence. Figures for violence experienced at the hands of a previous partner are 61% caring for a child, and 36% witnessing the violence 3. Due to difficulty of obtaining accurate reporting rates. 4. The literature on this topic is extensive – see ARECY report Source: ABS, 4159.0, General Social Survey 2006 (2007); ABS, 2068.0 Census Data 2006; ABS, 4430.0 Survey of Disability, Ageing and Carers (2004); Australian Institute of Criminology, Canberra, Indermaru, D "Young Australians and Domestic Violence", Trends and Issues in Crime and Criminal Justice No. 195 (2001); NSW Department of Human Services, Annual Report 2002-3 (2003); AIHW, 2004 National Drug Strategy Household Survey: First Results (2005); Australian Research Alliance for Children and Youth, The impact of drug and alcohol misuse on children and families (2007)

17. 1000 Problem gambling is an added pressure for some Australians Problem gambling carries a range of financial and non-financial pressures Gambling is an increasing financial burden on some Australians In 1999, gambling cost ~$760 per Australian adult (or 3% of Household Disposable Income). This is more than the 1999 per adult spend on energy (~$600) or household appliances (~$400), and just shy of alcohol (~$860) • The 1999 national study estimated that ~1% of adult Australians had severe gambling problems, with a further ~1.1% considered moderately problematic1 • More recent evidence indicates that problem gambling is still an issue. A 2006 study of gambling in NSW found that 0.8% of NSW adults have a severe gambling problem, with a further 1.6% considered a moderate risk • Australia has 21% of the world's poker machines – and 42.3 cents in every dollar passing through a poker machine comes from a problem gambler • The Commission identified a range of common gambling-related harms • Depression • Loss/change of job or adversely affected work performance • Bankruptcy • Obtaining money illegally • Trouble with police/the law • Often or always spending more than can afford • Relationship breakdown • Lack of time to look after the family's interests More recent data from 2005 suggests that this trend has flattened out somewhat – with net takings from gambling representing an expenditure of $966 per adult or ~3% of Equivalised Household Disposable Income3 1. According to the South Oaks Gambling Screen, self-assessment questions and other indicators of harm. See Productivity Commission Chapter 6 2. Defined as participation in the last 12 months. 3. Refers to HDI for 2005-6 Source: Productivity Commission, Inquiry into Australia's Gambling Industries (1999); ABS, 8684.0 Gambling Services, Australia, 2004-5 (2006); ABS, 1301.0 Year Book Australia, 2008; NSW Office of Liquor, Racing and Gaming, Prevalence of Gambling and Problem Gambling in NSW – A Community Survey (ACNeilsen 2007)

18. There is significant variation in the social outcomes experienced by communities Case study – A comparison of three Victorian communities Education Crime Health Community Bayside (Inner suburban) These differentials are exacerbated by variable access to social infrastructure Frankston (Outer suburban) Swan Hill (Regional) Source: Community Indicators Victoria www.communityindicators.net.au, citing ABS, Victoria Police, Community Indicators Victoria Survey, Department of Planning and Community Development

19. , Total external costs Tangible Intangible Production Health care Crime Resources Loss of life Reduced quality of life Hospital Medical Nursing Ancillary Produc-tion Foreign trade Unpaid Paid Work-force reduction Absen-teeism Product-ivity losses Property destruction Insu-rance adminis-tration Policing Judicial Penal The costs of substance abuse are borne by communities as well as individuals Despite declines in the use of some drugs, substance abuse remains a significant issue... ...with a range of more and less quantifiable costs to the community For more on drugs as a health risk factor, see Long-term Health Strategy (p7) 1. Refers to % population reporting use of illicit drugs in preceding 12 months Source: AIHW, 2004 National Drug Strategy Household Survey: First Results (2005); Collins, Lapsley and Lecvalier, Improving economic data to inform decisions in drug control (2000) www.unodc.org/unodc/en/data-and-analysis/bulletin/bulletin_2000-01-01)1)page003.html

20. Communities also suffer the effects of dangerous alcohol consumption Binge drinking is a serious problem, though traditionally under-recognised... ...and brings a range of related risks to the health and wellbeing of the broader community • 79% of Australians do not believe they drink too much despite … • Average male consumption 4 times recommended • Average female consumption 2 times recommended • Most see other people as the problem … • 60% agree that Australians in general drink too much • 51% of 18-24 year olds think others drink too much alcohol • Only 14% self nominated as drinking too much • Alcohol misuse costs the Australian economy an estimated $15.3b Men Women For more on alcohol as a health risk factor, see Long-term Health Strategy (p7) Source: Alcohol Education & Rehabilitation Foundation, Aussie Drinkers in Denial? (13 March 2008); AIHW, 2004 National Drug Strategy Household Survey: First Results (2005)

21. Australia has relatively high crime, and people feel less safe than in many other countries The UN cites that in 2004/5, ~17% of Australians were victims of crime... ...and that ~27% of Australians felt unsafe walking the streets at night Percentage of population reporting as victims of crime in the last 12 months - top 20 countries: 2004/51 Percentage of population who report feeling unsafe on the streets after dark - top 20 countries: 2004/5 1. Refers to all violent or non-violent crime to person or property, in the 12 months to 2004 and/or 2005 (varies by country). Excludes non-conventional crime such as consumer fraud and corruption. Data collected by survey as to crime victimisation rather than official crime/prosecutorial statistics Source: UN Office on Drugs and Crime, Criminal Victimisation In International Perspective: Key Findings From The 2004-5 ICVS And EU ICS (2007)

22. 8 Crime rates in Australia are dropping, although some violent crime is on the rise Population1 who have been victims of specified crimes (reported and unreported) – Australia: 1998-2005 1998 2002 2005 1. For break-in/vehicle theft, refers to % surveyed households; for robbery, assault and sexual assault, refers to % surveyed individuals. Includes reported and non-reported crimes 2. Reporting rates refer to break-in / attempted break-in respectively 3. Data on reporting rates for sexual assault is difficult to obtain. Lievore (2001) estimates ~15%. See Non-reporting and hidden recording of sexual assault in Australia. Source: ABS 4509.0, Crime and Safety, Australia 2005 (2006)

23. Questions Community and family life can give people the support, resilience and outlook that they need to play a full part in Australia’s future. What can we do to enable local communities to provide social networks and support to every member? What are the root causes and consequences of social exclusion? What roles can different sectors play in tackling them? What measures can we take to ensure that people feel safe in their homes and communities? What roles do government, business and community sectors play in helping families care for older Australians, children and people with a disability? How do we ensure that all Australians have access to adequate housing that is affordable, secure, safe and accessible? What can be done to help new Australians to settle and participate in the community? Some localities experience chronic disadvantage. What needs to be done to ensure that communities have the appropriate physical and social infrastructure to foster people's health and wellbeing?