The Hills Shire

How is our economy structured? - How does each industry contribute?

The industry sector profiles reveal how each industry contributes to The Hills Shire economy using ten economic measures generated by NIEIR economic modelling.

Viewed together, they provide a picture of the interdependent nature of The Hills Shire’s economy, providing insights into where there may be gaps and opportunities for economic development.

For example, some industry sectors generate substantial output (turnover), but are not big employers and targeting those industry sectors may not meet the economic development objective of maximising employment.

View industry definitions









Estimate of total value of sales at factor cost (ie excluding indirect taxes such as GST) by business plus value of non-sold government services. In both cases value of inputs purchased from other businesses is included, so it is a gross measure of the economic output of an industry. Derived from Census, ATO, National Accounts and ABS Labour Force Survey data.

The value of sales generated by each industry, minus the cost of its inputs. Estimates are modelled using the NIEIR methodology, and presented in constant dollars (adjusted for inflation) at the year specified in the table header. It is calculated by subtracting the cost of industry inputs from total sales generated.

Employment data presented here are estimates based on NIEIR modelling from a number of sources. They are NOT Census figures, and should not be directly compared to the employment numbers in the "Worker Profiles" section of economy.id. They should be a more accurate and up-to-date estimate of employment in the LGA than the Census figures, and give a clear idea of the employment breakdown by industry, however it is not possible to derive the range of worker characteristics from them that are available in Census data, so both versions are presented.

Hours of work by industry and dollars per hour by place of work were estimated using the Census journey to work matrix, adjusted for the net undercount, as described in more detail in the Employment data notes.

Household consumption relates to consumption of the goods produced by that industry by private households anywhere, not just within the LGA. Local Sales relates to the LGA only.

An estimate of the value of government services required by households. State value of output for these services, allocated to LGAs per capita and household type provides an estimate of government supply. Supply is based on industry employment for the industries delivering these services in the LGA with the difference giving net trade.

Exports are sales of goods and services to non-resident households, businesses and other organisations, outside the LGA boundaries. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Exports (domestic) includes all exports from the LGA or region to other parts of Australia.

Imports are sales of goods and services from industries located outside the LGA boundaries to resident households, businesses and other organisations within the LGA. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Imports (domestic) includes all imports from within Australia, but outside the LGA or region boundaries.

Equals total sales/output minus total exports. These include sales not only to consumers but to businesses and organisations.

All sectors (2006 ANZSIC) - inputs outputs and employment, The Hills Shire
Modelled data
2012 (year ending June)2006 (year ending June)Change
 All $ values are represented in constant 2011-12 year dollarsNumber% of all industry sectorsSydney SD % of all industry sectorsNumber% of all industry sectorsSydney SD % of all industry sectors2006 to 2012
10?Output / Sales$13,746m100.0100.0$11,417m100.0100.0$2,329m
12?Value added$6,622.9m100.0100.0$5,366.5m100.0100.0$1,256.4m
14?Employment76,045100.0100.063,584100.0100.012,461
16?Hours worked ('000 hrs)123,571100.0100.0106,669100.0100.016,902
18?Household consumption$5,775.4m100.0100.0$4,723m100.0100.0$1,052.4m
20?Government consumption$1,813m100.0100.0$1,487.6m100.0100.0$325.4m
24?Exports (total)$3,625m100.0100.0$2,796.5m100.0100.0$828.5m
26?Imports (domestic)$4,030.8m100.0100.0$3,896.7m100.0100.0$134.1m
28?Local Sales (business and consumer)$10,121.1m100.0100.0$8,620.5m100.0100.0$1,500.6m

Output/Sales - Estimate of total value of sales at factor cost (ie excluding indirect taxes such as GST) by business plus value of non-sold government services. In both cases value of inputs purchased from other businesses is included, so it is a gross measure of the economic output of an industry. Derived from Census, ATO, National Accounts and ABS Labour Force Survey data.

Please note that for the Retail Trade industry, Output/Sales and components of that total (eg. Local Sales) does not relate to the turnover of the retail industry, but the value of the "retail function". It is not necessarily related to the value of goods sold by retail, which are included at other stages of the manufacturing or import process.

Value-added - the value of sales generated by each industry, minus the cost of its inputs. Estimates are modelled using the NIEIR methodology, and presented in constant dollars (adjusted for inflation) at the year specified in the table header. It is calculated by subtracting the cost of industry inputs from total sales generated.

Value added data are derived from ABS State Accounts, distributed among regions by industry according to estimates of industry value-added, Census and ABS Labour Force based employment and industry earnings data from the Australian Taxation Office. An estimate of labour productivity is derived from ATO data from each region and applied to the industry workforce.

Employment - Employment data presented here are estimates based on NIEIR modelling from a number of sources. They are NOT Census figures, and should not be directly compared to the employment numbers in the "Worker Profiles" section of economy.id. They should be a more accurate and up-to-date estimate of employment in the LGA than the Census figures, and give a clear idea of the employment breakdown by industry, however it is not possible to derive the range of worker characteristics from them that are available in Census data, so both versions are presented.

Estimates of employment by industry from ATO income tax returns are used by postcode of residence and are converted to LGA of residence. Tax data is used because it is more timely and accurate than Census income data.

The Census undercount listed above is identified and allocated to workplace locations in accordance with the distribution for similar industry types of residents of the LGA who nominated a workplace. The results are then adjusted on a quarterly basis by employment results in the ABS Labour Force Survey. Estimates are also checked against commercial and industrial floorspace completion rates by location and industry in intercensal years.

Hours Worked - Hours of work by industry and dollars per hour by place of work were estimated using the Census journey to work matrix, adjusted for the net undercount, as described in more detail in the Employment data notes.

The starting point for estimating hours worked is the estimation of hours and dollars per hour reported at the 1-digit ANZSIC level for States and Territories from the ABS Labour Force Bulletin, which is updated quarterly. These are reconciled to the wages and salaries and mixed income series in the ABS Annual State Accounts, converted to $/hour by estimates of total hours worked by industry from the Labour Force Bulletin. The dataset is smoothed a 7 quarter moving average.

Household Consumption - Consumption is defined in the ABS National Accounts, and includes services provided by non-profit agencies (which are included in the household sector). Total consumption from the ABS State Accounts is allocated to LGAs by microsimulation methodology driven by demographic projections and household disposable income . Household disposable income is calculated using ATO returns, adjusted for taxes, welfare payments from Centrelink and the Medicare levy. Household consumption relates to consumption of the goods produced by that industry by private households anywhere, not just within the LGA. Local Sales relates to the LGA only.

Government Consumption - An estimate of the value of government services required by households. State value of output for these services, allocated to LGAs per capita and household type provides an estimate of government supply. Supply is based on industry employment for the industries delivering these services in the LGA with the difference giving net trade.

Exports (domestic) - Exports are sales of goods and services to non-resident households, businesses and other organisations, outside the LGA boundaries. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Exports (domestic) includes all exports from the LGA or region to other parts of Australia.

Exports (international) - Exports are sales of goods and services to non-resident households, businesses and other organisations, outside the LGA boundaries. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Exports (international) includes all exports from the LGA or region to countries outside Australia.

Imports (domestic) - Imports are sales of goods and services from industries located outside the LGA boundaries to resident households, businesses and other organisations within the LGA. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Imports (domestic) includes all imports from within Australia, but outside the LGA or region boundaries.

Imports (international) - Imports are sales of goods and services from industries located outside the LGA boundaries to resident households, businesses and other organisations within the LGA. These sales include both value added and the value of inputs, i.e. they are equivalent in magnitude to total sales, not just value added. Imports (international) includes the value of all imports to the area from outside Australia.

Local Sales - Equals total sales/output minus total imports. These include sales not only to consumers but to businesses and organisations.

Please note that these modelled estimates are subject to change. Estimates are reviewed when more recent and robust data becomes available, particularly when new National or State Accounts data are released by the ABS, or new tax office income data are released. Most recent financial year estimates are based on a combination of factors including Centrelink and Labour Force Survey data, which is replaced by ATO income data when it becomes available. As a result of this, revisions to the most recent 6 quarters (18 months) of data should be anticipated by users, which could change the statistical outcomes.

Source: National Institute of Economic and Industry Research (NIEIR) ©2012

Please note that NIEIR modelled estimates are subject to change and review for the most recent two financial years.

Please refer to the data notes for more information.

Percentage change in Total industry inputs, outputs and employment, The Hills Shire Council 2006 to 2012 (ANZSIC 2006 - Latest industry classification) Output / Sales: +16.94% Value added: +18.97% Employment: +16.39% Hours worked ( Household consumption: +18.22% Government consumption: +17.95% Exports (total): +22.86% Imports (domestic): +3.33% Local Sales (business and consumer): +14.83%
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