Australia report foresees ageing workforce

Significance

The central finding of the report is that an ageing population will create economic and budgetary challenges for the government in the coming decades as workforce participation and labour productivity decline.

Impacts

• The global transition to cleaner energy will impact Australian coal exports more than it will create new economic opportunities.
• Declining tax revenues will make it difficult for government to maintain existing levels of public services.
• Reforms of business regulations and the taxation framework will be needed, with a greater focus on labour markets.