I wrote on Thursday how young Australians aged 15-24 had suffered a larger increase in unemployment than the broader population:
Young Australians’ unemployment rate has risen 2.7% from the 2022 low, compared to only a 0.6% rise across the rest of the labour market.
Justin Fabo at Antipodean Macro has compiled data from the ABS showing that migrants who arrived in Australia less than five years ago have also experienced a sharp rise in unemployment:
Newer migrants tend to be younger (e.g. international students) and compete directly with younger Australians for jobs, mostly in lower-skilled professions.
Labour supply among 15 to 24 year olds has risen sharply, as illustrated below:
And this increase in supply of young workers has driven an oversupply of lower-skilled positions, which recruiters are finding easier to fill than before the pandemic:
By contrast, shortages among high-skilled positions are no better today than in late 2021, when the international border reopened, despite record net overseas migration.
