Education & employment

About this topic

Mental health is affected by a complex combination of health risk factors, access to and use of health services, environmental factors, and an individual’s own health capabilities. Systemic differences in these factors are associated with socioeconomic position—both for individuals and groups—including differences in education, employment and income (AIHW 2020). Access to appropriate education and employment is fundamental to strengthening the wellbeing of individuals, families and communities (Dudgeon et al. 2017) and to good mental health (Shepherd et al. 2012).

Education

Education can provide a foundation that enables knowledge of health behaviours and determinants, stable employment, financial security, and social connections (ABS 2011; Biddle & Cameron 2012; Hart et al. 2017). First Nations people who complete Year 12 or higher are more likely to be employed (Shirodkar et al. 2018; Venn 2018), which is consistent with the general Australian population (ABS 2019a).

Mainstream formal education can be challenging for First Nations families. First Nations families can feel alienated by culturally inappropriate practices. For example, the mainstream education system may not recognise child autonomy in the same way as First Nations caregivers, nor recognise the cultural competence that First Nations children bring to school (Walker et al. 2014). Experiences of discrimination, racism and harassment at school can lead to marginalisation and social exclusion (Dudgeon et al. 2014). Absenteeism may be used as a protective mechanism against feelings of shame or anxiety. Infrequent school attendance can impact on learning, as well as the delivery of prevention programs aiming to support children through behavioural and emotional problems (Walker et al. 2014). Creating opportunities for participation, social connection and a sense of belonging can encourage school attendance and address behavioural and emotional problems (Walker et al. 2014).

Education outcomes for First Nations people are affected by access and participation in education, family and community engagement, home learning environments, the availability of mentors and culturally inclusive support strategies (Productivity Commission 2016).

Employment

Jobs provide opportunities for financial security, self-determination, stable housing and improved social and emotional wellbeing (PM&C 2019). Employment satisfaction and stress can have substantial impact on a person’s wellbeing (Wilkins & Lass 2018). Stressors such as job insecurity and job loss have been linked to psychological distress (ABS 2011). These factors may also be linked to other stressors such as serious illness, disability, inadequate housing, inaccessibility of reliable utilities, overcrowding, exposure to violence including family and domestic violence, substance misuse, incarceration, and interpersonal and institutional racism (AIHW & NIAA 2020).

Institutional racism and historical exclusion of First Nations people can reduce participation in education, training and the national economy. These factors are associated with a range of adverse health conditions, such as stress, mental health problems and attempted suicide (Nguyen & Cairney 2013).

Employment for First Nations people may be increased by:

• increasing skill levels
• pre-employment assessment and training
• intensive assistance for jobseekers
• non-standard recruitment strategies
• support for retention
• wage subsidies
• employment goals for First Nations people in government programs
• policies that support First Nations people to develop skills required for available jobs (Gray & Hunter 2016; Gray et al. 2012).

Although increasing employment can address economic disadvantage, conventional measures of employment ignore the positive wellbeing aspects of cultural engagement. Reporting frameworks should recognise that different cultures may have different constructs of employment and work (Carson et al. 2007; Dockery 2010).

In 2020, all Australian governments and the Coalition of Aboriginal and Torres Strait Islander Peak Organisations worked in partnership to develop the National Agreement on Closing the Gap- external site opens in new window (the National Agreement), built around 4 Priority Reforms. The National Agreement also identifies 19 targets across 17 socioeconomic outcome areas. Six of these targets directly relate to education and one to employment, monitored annually by the Productivity Commission.

Key statistics

Education, employment and health are interconnected. Education is well recognised as a key social determinant of health and continued learning for adults is regarded as a powerful factor in achieving better health, education and economic outcomes (Chandola & Jenkins 2014). Employment is beneficial for individual and community health as it boosts financial security, social status, personal development, social relations, self-esteem and emotional wellbeing (Lowry & Moskos 2007; Marmot et al. 2008).

The Indigenous Mental Health and Suicide Prevention Clearinghouse (the Clearinghouse) has used 3 social and emotional wellbeing measures – psychological distress, level of mastery and perceived social support – from the National Aboriginal and Torres Strait Islander Health Survey (NATSIHS) 2018–19 to identify relationships between factors like educational attainment, employment status, income and financial stress, and education or employment restriction, and mental health conditions and SEWB. For more information about these scales, see the topic page on Social and emotional wellbeing.

Early childhood development

The early childhood years are a time when children begin to learn to communicate and get along with others, as well as adapt their behaviour, emotions, and attention (CDCHU 2011). These developmental skills play an important role when a child transitions to primary school and establish the foundations for academic and life success (Pascoe and Brennan 2017).

The Australians Early Development Census (AEDC 2019a) measures 5 important domains of early childhood development:

• physical health and wellbeing
• social competence
• emotional maturity
• language and cognitive skills (school-based).

In 2018, First Nations children were more likely than non-Indigenous children (41% compared with 20%, respectively) to report developmental vulnerability for 1 or more of these domains (AEDC 2019b).

Education, employment and social and emotional wellbeing

The Indigenous Mental Health and Suicide Prevention Clearinghouse (the Clearinghouse) has used 3 social and emotional wellbeing measures – psychological distress, level of mastery and perceived social support – from the National Aboriginal and Torres Strait Islander Health Survey (NATSIHS) 2018–19 <link to Data sources> to identify relationships between factors like educational attainment, employment status, income and financial stress, and education or employment restriction, and mental health conditions and SEWB. For more information on these scales, see the topic page on Social and emotional wellbeing.

Caution should be taken in ascribing the direction of relationships using the Clearinghouse analysis. While the analysis found associations between variables, it cannot determine the direction of the relationships nor the causal factors/variables.

Educational attainment

As the level of educational attainment increases, the employment gap between First Nations people and non-Indigenous Australians declines. A university education will not suit the aspirations of everyone, but pursuing post-school qualifications will increase opportunities for socioeconomic advancement. First Nations people with a post-school qualification have improved likelihood of employment (Boyd 1996).

The data presented here are sourced from the NATSIHS 2018–19 and are for persons aged 18 and over. Estimates are calculated using a sample selected from a population rather than all members of that population. See the data tables in the Download data section for notes related to these data.

Psychological distress was generally lower among people with higher educational attainment. The proportion of people who reported Low/Moderate psychological distress was greater among people with a Diploma/Advanced diploma (78%) or a Bachelor degree or higher (76%), compared with around two thirds of people with a Certificate III/IV, Year 12 or Year 11 or below (68%, 67% and 67%, respectively) (Figure 1; Table EE.1).

1. Data reported for persons 18 years and over.
2. Percentages may not sum to 100 due to confidentialisation and rounding.
3. Total includes Certificate I/II, Certificate not further defined Level not determined, Never attended school and no non-school qualification.
4. Total excludes Unable to determine.
5. Data were collected from a survey sample and converted into estimates for the whole population. The overall coverage of the 2018–19 NATSIHS was approximately 33% of Aboriginal and Torres Strait Islander persons in Australia. The survey results were weighted to the projected Aboriginal and Torres Strait Islander population at 31 December 2018, which was 814,013.
6. For information about the measurement of psychological distress in the NATSIHS, see Explanatory notes in the Download data tables.

Among people in non-remote areas, the proportion of First Nations people reporting High mastery and High perceived social support were greatest among people with a Bachelor degree or higher (80% and 66%, respectively), Diploma/Advanced diploma (77% and 64%, respectively) or Year 12 (75% and 67%, respectively). For people with Year 11 or below, the proportion was closer to half (57% and 56%, respectively) (Table EE.1).

Employment 

Workforce participation rates are considerably higher for people with better health, particularly better mental health. Employment and financial security are key drivers of better mental health outcomes with employed First Nations people half as likely to have high or very high levels of mental distress than those who are unemployed (Hunter et al. 2022).

The data presented in this section are sourced from the NATSIHS 2018–19 and are for persons aged 18 and over. Estimates are calculated using a sample selected from a population rather than all members of that population. See the data tables in the Download data section for notes related to these data.

In 2018–19, according NATSIHS data, around half (48%) of First Nations people aged 18 and over were employed. This proportion was lower for people with a current, diagnosed mental health condition (40%), than for people without a mental health condition (52%) (Table EE.2).

The proportion of males in employment was higher than for females (53% and 43%, respectively). However, among First Nations people with a current, diagnosed mental health condition, the proportion of males and females in employment was about the same (42% and 39%, respectively) (Table EE.2).

Among people in full-time employment, 82% (118,200 out of 143,800) reported Low/Moderate psychological distress (Figure 2). For those in non-remote areas, 81% of people employed full-time reported High mastery and 72% reported High perceived social support (Table EE.3).

Among people who were Unemployed, looking for work and people Not in the labour force, 42% and 41% reported High/Very high psychological distress, respectively (Figure 2; Table EE.3). In non-remote areas, around half of people who were Unemployed, looking for work or Not in the labour force reported Low mastery (47% and 48%, respectively) (Table EE.3).

1. Data reported for persons 18 years and over.
2. Percentages may not sum to 100 due to confidentialisation and rounding.
3. Unemployed, looking for work includes people looking for full-time work only, people looking for part-time work only and people looking for either full-time or part-time work.
4. Total excludes Unable to determine.
5. Data were collected from a survey sample and converted into estimates for the whole population. The overall coverage of the 2018–19 NATSIHS was approximately 33% of Aboriginal and Torres Strait Islander persons in Australia. The survey results were weighted to the projected Aboriginal and Torres Strait Islander population at 31 December 2018, which was 814,013.
6. For information about the measurement of psychological distress in the NATSIHS, see Explanatory notes in the Download data tables.

Income and financial stress

Adequate and reliable income allows a person to support themselves, their family and their community (AIHW 2019). Income inequality is associated with poor health and social dysfunction, such as psychological distress, poor education performance, substance misuse, crime and violence (Isaacs et al. 2018; Kessels et al. 2020; Wilkinson & Pickett 2009). Low income can limit choices and opportunities for improving health outcomes and may influence other health-related factors, such as dietary choices and access to health care (AIHW 2015).

The data presented here are sourced from the NATSIHS 2018–19 and are for persons aged 18 and over. Estimates are calculated using a sample selected from a population rather than all members of that population. See the data tables in the Download data section for notes related to these data.

Household income and financial stress

In 2018–19, around two thirds (63%) of First Nations people had a household income of less than $723 per week (Quintile 1/2). However, among people with a current, diagnosed mental health condition, the proportion rose to 69%. This compared with 59% for people without a mental health condition (Table EE.4).

Almost half (49% or 86,700 persons) of First Nations people with a current, diagnosed mental health condition reported living in a household that had days without money for basic living expenses. This compared with one third (33% or 101,900 persons) for people without a mental health condition (Table EE.4).

The proportion of people with a current, diagnosed mental health condition who reported that household members could raise $2000 in an emergency was smaller than those without a mental health condition (41% and 47%, respectively) (Table EE.4).

Social and emotional wellbeing and household income and financial stress

In 2018–19, First Nations people with a household income of $1118 or more (Quintile 4/5) had the greatest proportion of Low/Moderate psychological distress (83%). This proportion decreased with less household income, dropping to around half (56%) among people with a household income of less than $456 (Table EE.5).

In non-remote areas, level of mastery and perceived social support followed the same pattern as psychological distress, with the proportion of people reporting High mastery ranging from 87% (Quintile 4/5) to 50% (Quintile 1) and High perceived social support ranging from 69% (Quintile 4/5) to 47% (Quintile 1) (Table EE.5).

Psychological distress was higher for people who lived in households that had days without money for basic living expenses and level of mastery and perceived social support were lower. However, psychological distress was lower, and level of mastery and perceived social support was higher for people who reported that household members could raise $2000 in an emergency (Figure 3; Table EE.5).

1. Data reported for persons 18 years and over.
2. Percentages may not sum to 100 due to confidentialisation and rounding.
3. Total excludes Not stated, Not known and Unable to determine.
4. Data were collected from a survey sample and converted into estimates for the whole population. The overall coverage of the 2018–19 NATSIHS was approximately 33% of Aboriginal and Torres Strait Islander persons in Australia. The survey results were weighted to the projected Aboriginal and Torres Strait Islander population at 31 December 2018, which was 814,013.
5. For information about the measurement of perceived social support in the NATSIHS, see Explanatory notes in the Download data tables.

Personal income

In 2018–19, almost half (44% or 199,100 persons) of First Nations people reported earning $509 or more per week. People with a current, diagnosed mental health condition were less likely to report earnings in Quintile 4/5 ($975 or more), compared with people without a mental health condition (18% compared with 26%). Nearly 2 in 5 people (39%) with a mental health condition reported earning between $293 to $508 (Quintile 2) (Table EE.6).

Similarly, people earning an equivalised gross income of $975 or more per week were most likely to report Low/Moderate psychological distress (82%), and people earning $293 to $508 were most likely to report High/Very high psychological distress (43%) (Figure 4; Table EE.7).

In non-remote areas, level of mastery followed the same pattern. The greatest proportion of First Nations people reporting High mastery was people earning $975 or more (Quintile 4/5) and smallest among people earning $293 to $508 (Quintile 2) (Table EE.7).

1. Data reported for persons 18 years and over.
2. Percentages may not sum to 100 due to confidentialisation and rounding.
3. Total excludes Not stated, Not known and Unable to determine.
4. Data were collected from a survey sample and converted into estimates for the whole population. The overall coverage of the 2018–19 NATSIHS was approximately 33% of Aboriginal and Torres Strait Islander persons in Australia. The survey results were weighted to the projected Aboriginal and Torres Strait Islander population at 31 December 2018, which was 814,013.
5. For information about the measurement of psychological distress in the NATSIHS, see Explanatory notes in the Download data tables.

Education or employment restriction due to disability

Lower levels of educational attainment, lower participation in the workforce and lower income are likely to be both the cause and consequence of disability (Biddle 2013). Although disability prevalence varies across data sources, all show a higher disability rate experienced by First Nations people than non-Indigenous Australians. The high levels of disability and earlier onset of core activity restrictions experienced by First Nations people are consistent with the higher levels of disease and injury, and lower access to health services relative to need (AIHW & NIAA 2023).

The data presented here are sourced from the NATSIHS 2018–19 and are for persons aged 18 and over. Estimates are calculated using a sample selected from a population rather than all members of that population. See the data tables in the Download data section for notes related to these data.

In 2018–19, 10% (49,200 persons) of First Nations people reported having an Education restriction due to disability and around one quarter (24% or 116,900 persons) reported having an Employment restriction. People with a current, diagnosed mental health condition were more likely to report an Education restriction or Employment restriction (20% and 42%, respectively). This compared with 4.1% and 14%, respectively, for people without a mental health condition (Table EE.8).

The proportion of people reporting High/Very high psychological distress was greatest among people with an Education restriction (69%). This compared with 55% for people with an Employment restriction and 18% for people without a disability. In non-remote areas, level of mastery and perceived social support were similar for people with an Education restriction and people with an Employment restriction (Table EE.9).

Data tables

Table number and titles	Source	Reference period
Table EE.1: Social and emotional wellbeing among First Nations people, by educational attainment, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.2: Employment among First Nations people, by presence of mental health conditions and sex, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.3: Social and emotional wellbeing among First Nations people, by employment status, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.4: Household income and financial stress among First Nations people, by presence of mental health conditions, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.5: Social and emotional wellbeing among First Nations households, by household income and financial stress, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.6: Gross weekly personal income among First Nations people, by presence of mental health conditions, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.7: Social and emotional wellbeing among First Nations people, by gross weekly personal income, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.8: Education or employment restriction among First Nations people, by presence of mental health conditions, 2018–19	AIHW analysis of ABS NATSIHS	2018–19
Table EE.9: Social and emotional wellbeing among First Nations people, by education or employment restriction, 2018–19	AIHW analysis of ABS NATSIHS	2018–19

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Data tables: Education & employment

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