Yesterday’s ABS labour force release for October revealed that Australia’s youth unemployment – i.e. for those aged 15 to 24 years old – surged despite solid growth in jobs.
The headline youth unemployment rate rose 0.9% to 15.6% and remains nearly three times higher than the rest of the labour market (5.4%):
However, youth jobs rose by 43,500 versus a 135,000 increase in jobs across the rest of the labour market, with youth jobs still 108,100 below their March pre-COVID level:
In annual growth terms, youth jobs have fallen by 5.0% versus a 0.3% decline across the rest of the labour market.
Full-time youth jobs have declined by 70,400 since March, versus a 46,000 decline in part-time jobs:
In annual growth terms, full-time jobs are down 11.2% year-on-year versus a 0.1% increase in part-time jobs.
The participation rate rose by 2.2% to 68.2% in October and is only 0.1% below its March pre-COVID level:
Youth underemployment fell by 1.2% to 17.9%, whereas underutilisation (unemployment and underemployment combined) fell by 0.2% to 33.5%:
In summary, the youth labour market remains a black spot on the Australian economy.