This report examines the profile of people affected by unemployment and receiving income support. It looks behind the headline unemployment statistics to reveal that long-term unemployment – as measured by receipt of unemployment payments for over 12 months – is now entrenched at an economically and socially harmful level. 

The report examines trends in entry-level jobs and the ‘mismatch’ in the labour market, showing that it’s no easy matter for people who are unemployed to secure paid work, despite high levels of job vacancies. It also looks at the assistance provided by Workforce Australia employment services and what should be done to improve the employment prospects of people unemployed long term.

Findings

• People on unemployment payments receive too little help from government. They are forced to rely on punishingly low income support payments, the lowest rate of payment in the OECD. 
• Further, the employment services system – whose main purpose is to support people receiving income support to transition into sustainable employment, is failing those very people through ineffective and unfair policy.
• People receiving unemployment payments are disadvantaged in the labour market.
• The longer people are unemployed, the more difficult it is to transition to employment.
• Around one fifth of people on unemployment payments have part-time employment.
• Job opportunities are declining.
• It’s harder for people with low qualifications to find suitable entry level jobs.