The Drop in Unemployment and What It Means for You

Australia’s unemployment rate continues to show resilience. As of early 2025, the Australian Bureau of Statistics (ABS) reports the national unemployment rate is holding steady at 3.9%—among the lowest levels seen in decades. This signals continued strength in the job market, especially following economic disruptions from the pandemic and global inflation shocks.

What’s even more promising? The number of full-time jobs is increasing, and underemployment—where people want more hours but can’t get them—is gradually easing. It’s a sign that employers are not just hiring again, they’re offering meaningful, sustainable roles.

What’s Behind the Strong Labour Market?

According to the National Skills Commission, demand remains high in sectors such as healthcare, construction, education, and technology. Workforce shortages in key industries continue to drive hiring activity across states and territories.

And while economic conditions remain complex—pressured by global interest rates, housing affordability, and tech disruption—Australia’s employment outlook is still positive, thanks to government investment in infrastructure, clean energy, and skills development.

What Does This Mean for You?

If you’ve been holding off on changing careers or re-entering the workforce, now is a great time to act. A low unemployment rate often means:

• More job openings in your field of interest
• Improved job security and higher competition among employers to attract talent
• Greater flexibility to negotiate salary, benefits, and work conditions

This also creates opportunities to explore growth sectors and upskill into roles that are in high demand—especially in areas like aged care, tech, digital marketing, project management, and trades.

Not sure where to start? Take our free Career Personality Test to discover what roles suit your strengths and preferences.

Explore Jobs in High-Demand Industries

Looking for sectors with stable job growth? These areas are projected to continue expanding through 2025 and beyond:

• Health and aged care
• Cybersecurity and IT
• Education and early childhood
• Construction and trades
• Clean energy and environmental science

Check out our guide to Australia’s most in-demand jobs for more inspiration and career ideas.

Take Advantage of Training Incentives

The Australian Government continues to support skills growth through initiatives such as Your Career and Jobs and Skills Australia. Subsidised training, apprenticeships, and reskilling programs are available to help Australians transition into future-ready roles.

If you’re looking to study while working or caring for others, many providers now offer flexible online course options that let you build qualifications on your own schedule.

It’s a Good Time to Rethink What’s Next

Whether you’re underemployed, returning to work, or ready for a fresh challenge, the current labour market conditions are favourable. This is your opportunity to:

• Negotiate better pay or working conditions in your current role
• Change industries and pursue a new passion
• Future-proof your skills for emerging sectors

Career growth doesn’t happen by accident. It happens when you take the first step—and now is the right time to do it.