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Australia’s jobless rate inches higher amid extended lockdowns

Economy
14 October 2021 16:59 (AEDT)

Australia’s unemployment rate has increased to 4.6 per cent following extended lockdowns in Sydney and Melbourne.

The Australian Bureau of Statistics reports the jobless rate rose slightly over the month of September, increasing by 0.1 percentage points.

The uptick is due to 138,000 people losing work throughout the month, with the majority of those workers in Victoria — where 123,000 jobs were shed.

Another 25,000 people lost jobs in NSW, followed on from the 173,000 jobs shed in August when Sydney’s lockdowns began intensifying.

ABS Head of Labour Statistics Bjorn Jarvis said the extended lockdown period have resulted in a slight jump in unemployment.

“Extended lockdowns in NSW, Victoria and the ACT have seen employment and hours worked both drop back below their pre-pandemic levels,” Mr Jarvis said.

“The low national unemployment rate continues to reflect reduced participation during the recent lockdowns, rather than strong labour market conditions.”

ABS figures also show the nation’s participation rate dropped 0.7 points in September — the third consecutive month participation has dropped.

Among the state’s and territories, Queensland, Western Australia and Tasmania were the only states to record increases in employment across September.

Mr Jarvis said the COVID-19 pandemic was an obvious and ongoing challenger for job-seekers.

“Over the past three months, participation in the labour force has fallen by over 330,000 people, with employment falling by 281,000 people and unemployment falling by 53,000 people,” he said.

“Beyond people losing their jobs, or working reduced or no hours, we continue to see how challenging it is for people without work to remain active within the labour market during lockdowns.”

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