Both hiring and hours worked barely moved in June
The labour market is experiencing some trouble, according to a new report, with both hiring and hours worked barely moving since May.
The June Jobs report, published by Employment Hero, draws on data from more than 1 million payrolls and highlights consumer confidence remains rocky, business turnover is flat and the economy isn’t bouncing back as hoped.
“We’re seeing more casual roles and youth hiring, with fewer commitments to long-term, full-time positions,” said Ben Thompson, co-founder and CEO of Employment Hero.
“Businesses are being really careful about how they spend every dollar, especially with minimum wage now up 3.5% and super contributions up 0.5%. It’s more expensive than ever to run a business,” Thompson added.
Some of the key findings from the report show:
- Jobs are up 6.7% year-on-year, but remains flat month-on-month
- Hours worked rose just 1% month-on-month
- Wages rose 0.3% month-on-month and 5.1% year-on-year
- Casual jobs up 11.7% year-on-year
This is confirmed by data from the Australian Bureau of Statistics (ABS) with unemployment rising slightly (+0.2%) and hours down (-0.9%).
Poor employment growth
Year-on-year, employment growth sits at just under 7% - a crucial economic indicator that highlights economic growth, the report states.
“While overall employment numbers continue to surpass those of the previous year, the rate of expansion has markedly plateaued, signalling that the labour market is entering a stable period.”
When looking at a breakdown of employment type, casual employment saw a downwards correction from its previous peak – but continues to show an over-10% growth from last June. Part-time and full-time employment both saw minor uplifts.
“These trends may highlight a labour market adapting to shifting business needs and employee preferences for flexibility over stability, especially as younger Gen Z workers join the labour force,” the report notes.
No more hours being worked
It has also been found that the amount of hours worked remained similar to that of the month before, showing productivity flatlining.
Average hours worked remained almost flat at 1.0% growth year-on-year for full-time workers in June 2025, and parttime workers saw a modest, steady increase of 1.7%, indicating stability for permanent roles.
In contrast, casual hours saw a considerable deceleration in average hours assigned since the peak observed last month, now at stagnation of -0.1% year-on-year.
