Looking Beyond the Headlines: Why Australia Needs a Collective Focus on Long-Term Unemployment
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Looking Beyond the Headlines: Why Australia Needs a Collective Focus on Long-Term Unemployment
John Burn-Murdoch’s recent Financial Times analysis (shared on Bluesky last week) highlights an increasingly hidden challenge: while headline rates for people who are not in education or employment (NEET) are stable or improving in the UK and US, the subgroup of young adults who are not working, not studying, not seeking work, and not parenting has doubled in a decade in both countries. This group of young people are experiencing deep social and economic disengagement.

Australia is not immune to similar pressures and they extend beyond young people to all age groups.
Anglicare Australia’s Jobs Availability Snapshot 2025 provides a sobering picture. Although it has not attracted the public debate it deserves, its findings raise profound questions for those shaping education, skills, employment and social policy.
National unemployment figures hide deeper labour-market problems
ABS Education and Work, Australia 2025 data shows strong formal engagement among 15–24-year-olds:
- 82% are fully engaged in work and/or study.
- A further 11% are partially engaged.
While engagement levels vary by region, the overall picture looks positive:

However, Anglicare’s analysis deliberately goes beyond the headline data, to examine how accessible the labour market really is for people who are outside work and education.

Entry-level jobs are scarce and competition is severe
The report starts by analysing the skill levels of the 203,010 jobs advertised on the Internet Vacancy Index (IVI) in August 2025 (ie how many jobs were advertised online that month):

It then goes on to focus on the 11% of jobs available at Skill Level 5[1] (those requiring secondary education or a Certificate I qualification), and how many people are currently long-term unemployed and seeking work in these entry-level roles.
As Anglicare notes:
“These entry-level roles play an important role in the overall functioning of Australia’s labour market. They provide opportunities for people to gain work experience and develop foundational, transferable skills that can be applied across different sectors and industries, increasing their long-term employability.”
The issue is the number of people who are currently receiving JobSeeker payments (ie are unemployed). In August 2025, there were 887,795 people receiving JobSeeker payments and 64.9 percent of them had been on the payment for more than one year, and this figure was 2.8 percentage points higher than in 2024 (62.1%).
In summary – only 11% of internet job vacancies were Skill Level 5 roles (the entry-level jobs most suited to people with limited recent experience or qualifications), and at the same time:
- 887,795 Australians were receiving JobSeeker.
- 65% (576,570 people) had been on the payment for more than a year, and
- long-term unemployment is still rising.
When comparing the number of long-term unemployed people to the number of Skill Level 5 vacancies, Anglicare estimates that 25 long-term unemployed people compete for every available entry-level job.

And of course, it is not only long-term unemployed people applying for these entry level jobs – people who have been on JobSeeker for less than 12 months, and people who are working in other roles will also apply for these vacant positions, and as Anglicare notes – these Skill Level 5 jobs are also attractive to “students, young people, and people seeking second jobs.”
There are also differences in the number of entry-level jobs and the long-term unemployed across states and territories:

Anglicare reminds us that:
“Rising living costs are also driving more people to take on multiple jobs. In June 2025, 6.4 percent of employed Australians held more than one job, up from 5.7 percent a decade earlier. Many of these additional roles are casual or part-time, which further limits opportunities for those who are unemployed.
Moreover, most entry-level positions are insecure and low-paid. Around one in four casual workers would prefer a permanent job, but only about one in fifteen succeed in securing one. This means that even when people with barriers to work find employment, they often cannot earn enough to exit the welfare system.”
This is a devastating piece of analysis, especially in an era of growing AI and automation, which will likely see more of these entry levels roles partially or fully replaced.
Australia has more than half a million people with barriers to work and less than 25,000 entry level jobs available to them.
Obviously a number of people who are long-term unemployed have tertiary qualifications and are likely to be looking for higher skilled level roles, but even if we look at all of the current internet job vacancies – Australia has more than two long-term unemployed people chasing every available online job vacancy.
Lots for policymakers and the tertiary education sector to reflect on…
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[1] Skill Level 1 = jobs requiring a Bachelor’s degree or higher; Skill Level 2 = Advanced Diploma or Diploma; Skill Level 3 = Certificate IV or III* (the Certificate III must include a minimum of two years on-the job-training), and Skill Level 4 = Certificate II or III.

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