Australia’s unemployment rate reaches a five-year high
Australia’s unemployment rate rose to 4.6% in August, the highest since late 2021, even as employment increased by 39,500. The mixed data reinforced market expectations of another Reserve Bank rate increase.
By DoomRadar · Published on DoomRadar . Updated .
Based on two sources with available article excerpts. Source-linked claims are not independent confirmation.
What happened
The unemployment rate rose to 4.6% in August from 4.5% in July, while the participation rate increased to 67.1%. [1][2]
References for this detail (2)
- Australia's jobless rate hits five-year high, RBA hike still seenaol.com · Recorded source date: Sep 24, 2026, 4:01 AM UTC
- Unemployment continues to rise Down Underbrokernews.com.au · Recorded source date: Sep 24, 2026, 2:47 AM UTC
Employment increased by 39,500 in August after falling by 15,800 in July; the increase was driven entirely by part-time roles. [1]
References for this detail (1)
- Australia's jobless rate hits five-year high, RBA hike still seenaol.com · Recorded source date: Sep 24, 2026, 4:01 AM UTC
The labour force grew by 67,700 in August, while employment was up 1.6% from a year earlier compared with 2.1% growth in the labour force. [1]
References for this detail (1)
- Australia's jobless rate hits five-year high, RBA hike still seenaol.com · Recorded source date: Sep 24, 2026, 4:01 AM UTC
Markets placed a 95% probability on a Reserve Bank of Australia rate increase to 4.6%, according to Reuters’ report. [1]
References for this detail (1)
- Australia's jobless rate hits five-year high, RBA hike still seenaol.com · Recorded source date: Sep 24, 2026, 4:01 AM UTC
Context from the sources
The Reserve Bank had already raised rates three times that year, bringing the cash rate to 4.35%, while core inflation remained above its 2%–3% target range. [1][2]
Explore the sources and reporting timeline
2 source links · 2 domains
These counts describe the references, not independent confirmations. Different outlets can repeat the same original report.
Source timeline
Oldest to newest among the available source dates, not a chronology of the incident. Article publication dates come from the source; other recorded dates may reflect when a link was found.
- [2] Unemployment continues to rise Down Underbrokernews.com.auReferenced for: detail 1
- [1] Australia's jobless rate hits five-year high, RBA hike still seenaol.comReferenced for: detail 1, detail 2, detail 3, detail 4
What this could mean for you
Jobseekers may encounter more competition for available positions.
The labour force grew faster than employment in August, while unemployment increased.
Reported basis: [1] · The possible effect is interpretation.
Depends on: Employment continues to expand more slowly than the number of people seeking work.
Possible time frame: months, if those conditions hold.
Part-time work may account for a larger share of employment growth.
The reported monthly employment increase was driven entirely by part-time roles.
Reported basis: [1] · The possible effect is interpretation.
Depends on: Future hiring remains concentrated in part-time positions.
Households with variable-rate borrowing could have less disposable income.
Markets expected another rate increase while inflation remained above the target range.
Reported basis: [1][2] · The possible effect is interpretation.
Depends on: The Reserve Bank raises rates and lenders pass on higher borrowing costs.
Possible consequences, not a forecast. Their relevance depends on your location and the conditions above.
For your country
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What changes the outlook
Risk increases if…
Unemployment rises further while employment growth remains concentrated in part-time work.
Inflation stays above the Reserve Bank’s target range, prompting additional rate increases.
Pressure eases if…
Employment growth broadens beyond part-time roles.
Labour-force growth slows without a comparable increase in unemployment.
Still unclear
The sources do not establish how the Reserve Bank ultimately decided after the jobs release.
The sources do not quantify effects on household spending, mortgage arrears or particular industries.
Market implications
Market impact
Sources (2)
References for the reported details. Separate links do not necessarily mean independent confirmation.
Available excerpt
SYDNEY, Sept 24 (Reuters) - Australia's jobless rate unexpectedly rose to a five-year high in August even as employment enjoyed a solid rebound, a mixed…A short excerpt from our source record; open the original for the full article.
Available excerpt
The results strengthen the case that the RBA will raise rates later this month The Australian Bureau of Statistics (ABS) released its latest jobs report…A short excerpt from our source record; open the original for the full article.
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