Yesterday’s employment report from the Australian Bureau of Statistics (ABS) revealed that Australia’s youth – defined as those aged 16 to 24 – are benefitting big time from the closure of Australia’s international border.
While overall youth employment is yet to return to its pre-COVID level, with total jobs still down 16,500 from their pre-COVID peak with full-time jobs down 29,300:
The youth unemployment rate fell to 10.6% in April, which was the lowest rate of unemployment since January 2009:
This came despite the youth participation rate running 0.7% above its March 2020 pre-COVID level:
The reason why the unemployment rate has fallen despite annual job losses and rising participation is because the youth population fell by 101,000 (3.1%) in the 13 months since COVID hit in March 2020 due to the loss of temporary migrants.
This is proof positive that the collapse in immigration is benefiting Australia’s youth.
In a nutshell, the reduction in young migrant workers has more than offset the loss of youth jobs, resulting in better employment opportunities for Australian youth.
Next up, wage growth.