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Unemployment rate falls to lowest level since 1974

Economy
14 July 2022 17:27 (AEDT)

According to the Australian Bureau of Statistics (ABS), Australia’s unemployment rate has fallen to 3.5 per cent in June, the lowest since August 1974.

The rate has fallen 0.4 percentage points for both men and women, the report showed.

ABS’ Head of Labour Statistics, Bjorn Jarvis said employment increased by 88,000 people and unemployment fell by 54,000.

“The 3.4 per cent unemployment rate for women was the lowest since February 1974 and the 3.6 per cent rate for men was the lowest since May 1976,” Mr Jarvis said.

“The large fall in the unemployment rate this month reflects more people than usual entering employment and also lower than usual numbers of employed people becoming unemployed.

“Together these flows reflect an increasingly tight labour market, with high demand for engaging and retaining workers, as well as ongoing labour shortages.”

The ABS report reported the fall in unemployment through the pandemic has corresponded with large increases in job vacancies. As a result, there was almost the same amount of vacant jobs as there were unemployed people in June 2022.

There was also a notable growth in youth employment (aged 15 and 24 years) which grew by 23,000 people.

The June increase was the eighth consecutive rise in employment, following the easing of restrictions after the Delta lockdowns in late 2021.

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