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TRANSCRIPT
Knowledge is Power:
Measuring the Competitiveness of Global Sydney
Sydney as a Global City
A direct impact of contemporary globalisation on Sydney is its rise as a global city. As Australia’s foremost global
city, Sydney is home to the country’s highest number of head offices for international institutions and foreign banks.
It is an important cog in the national and international economy, linking Australia with the world through business
transactions, knowledge sharing, and people movement. These links allow Australia to compete in an integrated
world economy through Sydney and its other global cities.
Sydney’s status as a global city is reflected by its high concentration of knowledge-intensive industries, its skilled
workforce, and capacity to innovate. Such attributes define the competitiveness of global cities, and determine
Sydney’s positioning in the global city hierarchy.
Contents
Global Competitiveness Index P.1
Knowledge-intensive industries P.5
Highly-skilled occupations P.7
Workers’ qualifications P.10
Workers’ income P.11
Future releases P.12
Researchers from the ANZSOG Institute for Governance at the
University of Canberra, and the Commonwealth Department of
Immigration and Citizenship (DIAC), are embarking on a range of
projects to better understand the competitiveness of Australian
cities in the context of globalisation. One of these is the creation of
a Global Competitiveness Index (GCI) for Sydney.
The GCI results are based on Census data from 2001 and 2011.
They show where industries and occupations of high importance to
global cities are concentrated within the Sydney region, as well as
changes in workers’ qualification levels and income. This has been
done by comparing results in each of the Sydney region’s 43 local
council areas.
Global Competitiveness Index (GCI)
April 2013
How the GCI is measured
The GCI is a weighted index that considers
the following indicators based on place of
work:
Workers in knowledge-intensive
industries;
Workers in highly-skilled occupations;
Workers with a university
qualification; and
Workers’ income.
A research collaboration between
the University of Canberra
and the Commonwealth Department of
Immigration and Citizenship
GCI findings: Sydney’s economic movers and shakers
City of Sydney was by far the highest ranking local council in
both 2001 and 2011.
North Sydney ranked a clear second in both 2001 and 2011.
Scores for City of Sydney and North Sydney reflect the high
concentration of knowledge-intensive industries and highly-
skilled occupations within central areas of global cities.
High-ranking council areas are generally close to Sydney’s
Global Arc (see below).
Ryde, Willoughby, and Lane Cove made up the rest of the
top five areas in the 2011 GCI. Ku-ring-gai, Canada Bay and
Parramatta were also in the top ten.
Lower-ranking councils are mostly on Sydney’s urban fringe.
Wyong ranked the lowest in both 2001 and 2011, preceded
by Camden, Wollondilly, Hawkesbury, and Fairfield.
Ryde experienced the highest increase between 2001 and
2011. Canada Bay, Auburn, and City of Sydney also had
considerable increases.
Some council areas recorded noticeable decreases between
2001 and 2011 – including Lane Cove, Burwood, Mosman
and Willoughby.
Please note:
The Leichhardt council area was geographically smaller in
2011 than in 2001, due to some of its land being transferred
to the City of Sydney council in 2003.
2001 results for City of Sydney also include the former
South Sydney council area. The City of Sydney and South
Sydney councils amalgamated in 2004.
2011 rank
Council name GCI 2001
GCI
2011
1 Sydney 3.02 3.25
2 North Sydney 2.59 2.51
3 Ryde 0.81 1.40
4 Willoughby 1.22 1.05
5 Lane Cove 1.52 0.96
6 Ku-ring-gai 0.72 0.62
7 Canada Bay 0.14 0.59
8 Woollahra 0.52 0.51
9 Parramatta 0.45 0.41
10 Randwick 0.35 0.41
11 Kogarah 0.35 0.35
12 Mosman 0.51 0.31
13 Leichhardt 0.36 0.28
14 Hunters Hill 0.28 0.21
15 Manly 0.03 0.18
16 Burwood 0.41 0.14
17 Waverley 0.12 0.12
18 Auburn -0.20 0.08
19 The Hills Shire -0.12 0.02
20 Ashfield -0.09 0.01
21 Warringah -0.17 -0.10
22 Hornsby -0.07 -0.14
23 Pittwater -0.30 -0.21
24 Botany Bay -0.18 -0.25
25 Marrickville -0.39 -0.28
26 Strathfield -0.29 -0.36
27 Hurstville -0.46 -0.43
28 Sutherland Shire -0.52 -0.52
29 Liverpool -0.51 -0.56
30 Bankstown -0.57 -0.57
31 Blue Mountains -0.65 -0.63
32 Rockdale -0.59 -0.63
33 Blacktown -0.59 -0.64
34 Canterbury -0.64 -0.67
35 Gosford -0.69 -0.67
36 Penrith -0.66 -0.70
37 Campbelltown -0.73 -0.76
38 Holroyd -0.73 -0.81
39 Fairfield -0.74 -0.82
40 Hawkesbury -0.75 -0.85
41 Wollondilly -0.88 -0.91
42 Camden -0.90 -0.94
43 Wyong -0.95 -0.94
2
Table 1: GCI results, 2001 and 2011
Sydney’s Global Arc
Sydney’s Global Arc is an economic corridor of jobs and major
infrastructure stretching from Macquarie Park to Port Botany through
Chatswood, St Leonards, North Sydney, the Sydney CBD and Sydney
Airport.
The Global Arc has been built on the benefits that businesses involved
in industries such as finance, legal services, information technology,
engineering and marketing have gained from being close to each other
and to Sydney’s transport infrastructure. This has seen the Global Arc
emerge as a critical feature of Sydney and Australia's economy.
From the NSW Government’s “City of Cities” Metropolitan Strategy (2005)
Fig
ure
1:
GC
I, 2
011
3
Fig
ure
2:
Ch
an
ge in
GC
I, 2
001
-201
1
4
Knowledge-intensive industries
Number of people employed in knowledge-intensive industries
Using the Australian and New Zealand Standard Industrial Classification (ANZSIC), the following divisions were
chosen to denote knowledge-intensive industries:
Information Media and Telecommunications;
Financial and Insurance Services;
Rental, Hiring and Real Estate Services; and
Professional, Scientific and Technical Services.
Figure 3: Numbers of workers in knowledge-intensive industries, 2001-2011
Workers in knowledge-intensive industries are heavily concentrated in Central Sydney. Numbers in City of Sydney
were much higher than in any other council area in both 2001 and 2011, while North Sydney was a distant second.
Together, City of Sydney and North Sydney hosted more workers in knowledge-intensive industries in 2011 than all
other 41 council areas in the Sydney region combined.
5
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Figure 4: Workers in knowledge-intensive industries, 2011
Other leading locations for knowledge-intensive industries include Ryde, Parramatta, Willoughby, and The Hills
Shire, all of which had between 10,000 and 20,000 workers in such industries in 2011. Areas with lower numbers of
knowledge industry workers were generally very small councils close to central Sydney, or on Sydney’s urban-rural
fringe. Hunters Hill – geographically the smallest council area in the Sydney region, ranked the lowest with only 605
workers in knowledge-intensive industries in 2011. Wollondilly, Ashfield, Camden and Hawkesbury had the next
lowest numbers of workers in these industries.
Aside from City of Sydney, which attracted almost 30,000 extra knowledge industry workers between 2001 and
2011, the largest increases were found in Ryde (up by 7,700 workers to 19,000), Auburn, Canada Bay, and The Hills
Shire. Parramatta had the largest reduction in knowledge-intensive industry workers (down by 4,500 to 16,700),
followed by Willoughby, Blacktown and Burwood.
Proportion of workers employed in knowledge-intensive industries
North Sydney has the Sydney region’s highest proportion of workers in knowledge-intensive industries. Almost 51
per cent of people working in the North Sydney council area were employed in knowledge industries in 2011.
6
Figure 5: Proportion of workers in knowledge-intensive industries, 2001-2011
Sydney 45%
North Sydney
8%Ryde 5%
Parramatta 4%
Willoughby 3%
The Hills Shire
3%
All other councils
32%
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City of Sydney was second, with almost 47 per cent in 2011. Willoughby, Lane Cove and Ryde had the next highest
percentages of workers in knowledge-intensive industries.
Areas with the lowest percentages of workers in knowledge industries were generally in Sydney’s west and
southwest. Blacktown was the lowest-ranking council area, with less than 6 per cent of its workers in knowledge
industries. Holroyd, Fairfield, Liverpool and Campbelltown had the next lowest percentages.
The largest increases in percentage between 2001 and 2011 were in similar areas to the largest numerical
increases. Ryde had the largest increase, rising by 5.7 percentage points to 27.4 per cent. Auburn, Canada Bay,
Marrickville and City of Sydney all had increases of between 1.5 and 3.5 percentage points.
Burwood had the largest proportional decrease, falling by 15.4 percentage points. It was followed by Strathfield,
Willoughby, and Parramatta.
Highly-skilled occupations
Number of workers in highly-skilled occupations
Using the Australian and New Zealand Standard Classification of Occupations (ANZSCO), the following occupation
groups were selected as highly-skilled occupations:
Managers; and
Professionals.
Figure 6: Numbers of workers in highly-skilled occupations, 2001-2011
7
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Highly-skilled occupations are heavily concentrated in Central Sydney. In 2001 City of Sydney had more than
140,000 people working as managers and professionals. This was more than four times the number of such workers
in North Sydney, which was the second-ranked council area at 32,000. This concentration had increased in the ten
years to 2011, resulting in City of Sydney having more than five times North Sydney’s number of workers in highly-
skilled occupations. Ryde and Parramatta had the next highest numbers in 2011, followed by Willoughby and
Blacktown. Together, the top six council areas contained more than half of the Sydney region’s
managerial and professional jobs in 2011.
Figure 7: Workers in highly-skilled occupations, 2011
Council areas with lower numbers of managerial and professional workers were generally small and close to the
centre of Sydney, or in the Sydney region’s outer southwest. Hunters Hill had the least in both 2001 and 2011,
despite an increase from 1,300 to 1,600. Wollondilly had the next lowest numbers in both years, with a considerable
rise from 1,600 in 2001 to 2,500 in 2011. Mosman, Ashfield, Camden and Manly were the next lowest, with less than
5,000 managers and professionals in 2011.
The largest growth in the number of highly-skilled occupations was in City of Sydney, which increased by almost
80,000 between 2001 and 2011. This was more than a third of all additional managerial and professional jobs in the
Sydney region. Ryde had the next largest growth at 16,500, followed by The Hills, Parramatta and North Sydney.
The largest proportional growth was in Canada Bay, which more than doubled from 6,000 in 2001 to 12,300 in 2011.
In all, 41 of the Sydney region’s 43 council areas experienced growth in their numbers of managerial and
professional jobs. The two exceptions were Lane Cove (down by 1,160) and Leichhardt (down by 325).
8
Sydney29.0%
North Sydney 5.3%
Ryde 4.9%
Parramatta 4.8%
Willoughby 3.2%
Blacktown3.1%
All other councils
49.7%
Proportion of workers in highly-skilled occupations
North Sydney edged out City of Sydney to have the highest percentage of workers in highly-skilled occupations.
North Sydney had more than 60 per cent of its workers employed in managerial and professional roles in 2011, up
from more than 51 per cent in 2001. City of Sydney jumped from 40 per cent in 2001 to 55 per cent in 2011. Other
top-ranking areas in 2011 were predominantly in Sydney’s north – including Ryde, Willoughby, Lane Cove and
Ku-ring-gai.
Most areas with lower percentages were in Sydney’s outer suburbs – Holroyd was the lowest in both 2001 and 2011,
while Wollondilly, Camden, Wyong and Fairfield had the next lowest percentages in 2011.
Figure 8: Proportion of workers in highly-skilled occupations, 2001-2011
The proportion of workers in highly-skilled occupations increased in all council areas across the Sydney region
between 2001 and 2011. Areas experiencing the greatest increases were generally close to the centre of Sydney.
City of Sydney had the greatest increase – up by 15 percentage points between 2001 and 2011. Ryde, Canada Bay,
Woollahra, Manly, and North Sydney also experienced growth of more than ten percentage points. The lowest
increase was in Lane Cove at 1.6%, preceded by the outlying councils of Hawkesbury, Camden and Wollondilly.
9
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Figure 9: Proportion of workers with a university qualification, 2001-2011
North Sydney had the highest percentage of workers holding a university qualification in both 2001 and 2011. This
jumped from 40 per cent in 2001 to more than 54 per cent in 2011. City of Sydney was also above 50 per cent in
2011, having jumped from 37 per cent in 2001. Other areas with high proportions of university-educated workers
were mostly in Sydney’s north– including Ryde, Ku-ring-gai, and Willoughby.
Areas in Sydney’s south-west and urban fringe tended to have the lowest percentages of workers with a university
qualification. Wollondilly had the lowest readings, at 11 per cent in 2001 and 14 per cent in 2011. Camden, Wyong,
Hawkesbury, Holroyd and Fairfield were the next lowest, with less than 20 per cent of workers holding a university
qualification in 2011.
The proportion of workers with a university qualification
increased in all 43 council areas across the Sydney
region between 2001 and 2011, with the most notable
rises along or close to Sydney’s Global Arc. Ryde’s
proportion of university-educated workers increased the
most – up by 16 percentage points to 47 per cent. City of
Sydney (15 percentage points) was closely behind,
followed by Canada Bay, North Sydney and Willoughby.
The outlying areas of Camden, Hawkesbury and
Wollondilly had the lowest increases, by a little over 3
percentage points.
10
Workers’ qualifications
The GCI also considers workers within Sydney who have obtained a university qualification. Using the Australian
Standard Classification of Education (ASCED), a university qualification includes the following educational levels:
Postgraduate degree;
Graduate diploma and graduate certificate; and
Bachelor’s degree.
Workers’ income
Workers’ median income was measured in the GCI to reflect the concentration of knowledge-intensive industries,
highly-skilled occupations, and higher education qualifications, which are important indicators of a location’s
competitiveness in attracting business and talented workers.
Figure 10: Median income (nominal dollars), 2001-2011
North Sydney had the highest median incomes for both 2001 and 2011, jumping sharply in nominal terms from $940
in 2001 to $1420 in 2011. City of Sydney was second in both years, having also grown considerably from around
$870 in 2001 to $1,340 in 2011. Ryde, Lane Cove and Botany Bay were the other council areas with a median
income above $1,100 in 2011.
Council areas with lower median incomes were geographically spread. The Blue Mountains had the lowest median
income in both 2001 and 2011, while Wyong, Gosford, Canterbury and Hurstville recorded the next lowest median
incomes in 2011.
Median incomes increased in all council areas across the Sydney region between 2001 and 2011, with the largest
increases occurring mostly in areas east of Parramatta. Ryde’s change in median income was the greatest, up by
$500 to $1,240. North Sydney and
City of Sydney also recorded
income growth of more than $450,
while median incomes in
Parramatta, Randwick and Canada
Bay all increased by around $350.
The smallest rise, of just under
$200, was in the Blue Mountains.
Canterbury, Hurstville and Fairfield
had the next smallest increases in
median income, of between $200
and $215.
11
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The Global Competitiveness Index is part of a research cluster investigating Global
Cities and Migration. Future releases to come include:
Connecting Australia with Asia
This involves the use of passenger flight data to map people movement and
Australia’s increasing engagement with Asia. Focusing on the Global Cities of
Sydney and Shanghai, we will be able to see patterns and trends of Australia’s
network with the world, through the flows of people movement. This includes the
major reasons for travel between major centres, how long people stay, and the
social and economic impacts on sending and receiving cities.
Global Mobility (GloMo) Index
The GloMo Index will show the concentrations of residents across the Sydney
region, who have relocated from other parts of Australia and overseas.
Globalisation and
Cities Research
Program
ANZSOG Institute for
Governance
Building 23, Level B
University of Canberra
ACT 2601
www.globalisationandcities.com
Contact
Shaun Allen
T: (02) 6206 8632
ANZSOG Participants:
Richard Hu
Shaun Allen
Lucas Carmody
Michael Cusack
DIAC Participants:
Anita Davis
Richard Manderson
William McClure
Dan Payne
Future releases
About the Globalisation and Cities
Research Program
This program is investigating the social, economic, political, and cultural changes
of major cities in the context of globalisation. It aims to unravel the complexities of
globalisation and urbanisation, their contributory and resultant factors, and their
associated challenges for policy and planning. Key research issues include global
cities, urban competitiveness, urban planning and governance, migration, and
space of flows in cities.
This program is particularly interested in capturing the positioning of Australian
cities in a global urban network or hierarchy, and the way Australia integrates with
the world through its key urban centres. It attempts to uncover the
interrelationships between Australian cities and their counterparts in the Asia-
Pacific, the internal and external dynamics of such interrelationships, and the
resulting priorities for urban planning and policy. Understanding Australian cities in
this global context will inform strategies and decision-making at global, national,
regional, and local levels. It will also help effectively address ‘globalised’
challenges, such as competitiveness, innovation, migration, sustainability,
liveability, and social cohesion.