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Last updated: 11 October 2005
Managing and sustaining the APS workforce
3. Workforce trends
Streamlining and collapsing of the classification structure
The trend for agencies to discontinue using the APS 1-2 classification levels has already been discussed. One contributing factor to the trend may have been the rising comparative salaries of these employees under workplace agreements. The Australian Public Service Remuneration Survey shows that, while the median level of total remuneration at most APS levels is significantly below the private sector median for jobs with similar duties, the median total remuneration levels for APS 1s and 2s are substantially above the private sector medians.8
Focus group discussions undertaken for this project indicated that employees engaged in service provision perceive APS 3 salaries (which have been rising towards the private sector median9) as also being comparatively generous. One participant stated, for example, that
'the pay is good, for a service delivery role-it's much better than the banks, better by ten to fifteen thousand dollars'.
New starters who join the APS at the APS 3-4 levels now tend to advance fairly rapidly to a level just below that of middle managers in the organisational unit in which they work, but a growing proportion seem set to remain at that level for some time.
In Canberra, recruits to the APS now advance, on average, fairly rapidly to the APS 6 or EL 1 level, but tend to remain at one of those levels for a prolonged period. Over 60% of all staff in Canberra are now in the range APS 6 to EL 2 and over two-thirds of the staff promoted to the APS 6 level in Canberra have less than five years service in the APS.
Table 1 shows that the average time it takes staff at the APS 6 level to advance to EL 1 has fallen over the past two decades, while the average times employees take to progress from EL 1 to EL 2 and from EL 2 to the SES have risen over the same period.
Table 1: Average time for employees to advance by one level
| Selected classifications | Mean (years) |
|---|---|
| APS 6 to EL 1 | |
| 1983-84 | 4.7 |
| 1993-94 | 4.3 |
| 2003-04 | 4.1 |
| EL 1 to EL 2 | |
| 1983-84 | 4.8 |
| 1993-94 | 5.4 |
| 2003-04 | 5.8 |
| EL 2 to SES | |
| 1983-84 | 6.2 |
| 1993-94 | 5.9 |
| 2003-04 | 6.8 |
Source: APSED
Outside Canberra, there are two key points at which staff are likely to remain for a prolonged period-the APS 4 and APS 6 levels. Of the existing staff outside Canberra who have more than 10 years service, 43% have not yet progressed beyond the APS 4 level, while a further 37% have not progressed beyond the APS 6 level (typically a middle management level outside Canberra).
Most long-serving APS staff outside Canberra commenced at the APS 1 or 2 levels; however, over 55% of the new recruits in these locations are now entering the APS at the APS 3 or 4 levels. This suggests that-unless there are to be further changes to workforce structures-a growing proportion of these employees is likely to remain for an extended period at a classification level slightly above that at which they entered the APS.
This compression of the classification structure has been taking place gradually, and the effects of the trend on staff behaviour are yet to become fully apparent. However, all things being equal, it is likely that a growing proportion of the APS workforce will experience a relatively rapid early career progression, but will then remain at one level for a significant period of time.
It is possible that, if not managed well by agencies, these trends may have an adverse effect on morale, leading to difficulties in retaining staff, and/or a decline in productivity. Alternatively, they could provide an opportunity for agencies to engage with their staff to develop strategies to promote the skills use and productivity of the future APS workforce.
8 Department of Employment and Workplace Relations 2005, Australian Public Service Remuneration Survey 2004, DEWR, Canberra.
9 Department of Employment and Workplace Relations 2005, Australian Public Service Remuneration Survey 2004, DEWR, Canberra, found the median APS 3 total remuneration package to be 95% of the private sector median, whereas in 2003 it was 92% of the private sector median.
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