Australia Jobless Rate Hits Near Five-Year High as Labour Market Eases

Australia's jobless rate has hit its highest point in nearly five years, reaching 4.5% in July.

The figure is higher than forecasters had predicted and is above the Reserve Bank of Australia's (RBA) expectation that it will be at 4.5% by the end of 2026.

Net employment fell 15,800 in July from June, when it jumped a revised 80,300, according to data from the Australian Bureau of Statistics.

The RBA has held policy rates steady at 4.35% after three rate increases in 2026, citing signs that the labour market has eased a little.

However, policymakers warn that further tightening cannot be ruled out if inflation risks materialise, citing external factors such as the US-Israeli war on Iran and poor productivity that has restrained Australia's economy.