AHURI BRIEF

Where are the well paid and less well paid jobs based in Australia's capital cities?

AHURI housing affordability research reveals distribution of city workforce

Last updated 17 Jan 2017

In Australia’s capital cities, the vast majority of jobs are located in the suburbs, not the central city area. However, the central city area does contain a greater proportion of high-income workers than either middle or low-income workers.

Figure 1: Numbers of low, middle and high-income workers in central city and rest of city, 2011

Source: AHURI Final Report No. 261 Housing affordability, central city economic productivity and the lower income labour market.

In this context lower-income approximates people earning in the bottom 40 per cent of Australia’s income distribution (up to $799 per week, in $2011) middle-income those earning between 40 per cent and 80 per cent ($800–$1499 per week); and high-income those earning above 80 per cent (above $1500 per week).

In Australia’s capital cities between 19 per cent and 26 per cent of all high-income jobs are located in the central city areas. This increases the demand among high-income households for housing that is close to the central city, which in turn pushes up the price of that housing.

Figure 2: Proportion of all metropolitan jobs that are in the central city, 2011

Source: AHURI Final Report No. 261 Housing affordability, central city economic productivity and the lower income labour market. Table 7