Left Menu
Development News Edition

Australia poised for surge in coronavirus-fuelled unemployment

Reuters | Sydney | Updated: 14-05-2020 05:50 IST | Created: 14-05-2020 05:50 IST
Australia poised for surge in coronavirus-fuelled unemployment

Australia is expected to post its biggest ever monthly rise in unemployment on Thursday because of coronavirus lockdown measures, even as the country begins to gradually ease those social distancing rules. The jobless figures from the country's statistics office will provide a stark illustration of the pandemic's effect on the national economy, which had experienced an unbroken run of growth for more than two decades.

A Reuters poll of 16 analysts has forecast the loss of 575,000 jobs in April, an unprecedented number that would take the unemployment rate to 8.3%, the highest level since 1997. "It will be a horrible set of numbers," said Gareth Aird, senior economist at the Commonwealth Bank of Australia.

"Employment will fall sharply, hours worked will plummet, the unemployment rate will spike and the participation rate is set to drop." And worse is expected, with the Reserve Bank of Australia (RBA) last week forecasting unemployment to hit about 10% as the local economy shrinks by 8% in the year to June.

Australia imposed strict social distancing measures in March to tackle the pandemic, closing its borders to all non-citizens and ordering people to stay home unless on essential business. Pubs, sports centres, libraries and other public buildings were closed while cafes and restaurants were restricted to takeaway services. Many shops and other businesses not explicitly ordered to close did so anyway in response to a drop off in demand as people stayed home.

Officials have credited the lockdown measures with constraining the spread of the virus. Australia has recorded about 7,000 COVID-19 cases, including 98 deaths, significantly below the levels reported in North America and Europe. New South Wales, Australia's most populous state, on Thursday reported just four new cases ahead of the lifting of some restrictions on Friday.

"The increase in activity does mean extra cases," Premier Gladys Berejiklian said as the state's 7 million residents prepared for the ability to leave their homes without a reason. The federal government has a three-step plan to remove all social distancing restrictions by July, but the implementation is largely down to individual state and territory leaders.

Treasurer Josh Frydenberg said earlier this week that easing restrictions would increase gross domestic product by A$9.4 billion ($6.10 billion) each month.



Why COVID-19 is unstoppable in USA despite it being ranked at the top of GHS Index?

Several worst-hit countries such as Italy, France, Spain, the UK, Canada, and Russia have peaked COVID-19 cases in April. Almost all of them have gradually flattened the curve. However, the USA is setting new daily records of infections tha...

COVID-19 seems cooking biggest ever global scam

The increasing number of corruption cases on COVID-19 funds from throughout the world and involvement of high profile persons indicate that the countries cant ignore corruption in their pandemic response programs. This has generated the nee...

Health Management Information Systems lack holistic, integrated, and pandemic resilient character

Being a part of the United Nations system, the World Health Organization WHO deserves its share of rebuke for its alleged failure issue COVID-19 health emergency alerts on appropriate time. However, the pandemic has also exposed loopholes i...

Pride in the time of coronavirus: a welcome move online?

This year is different in many ways not least as celebrations are also taking place against the dramatic backdrop of a global health crisis and a resurgence in grassroots activism following the death of George Floyd in Minneapolis. ...


Latest News

Japan's H1 bankruptcies rise for the first time in 11 years

Bankruptcies among Japanese companies in the first half of the year rose for the first time in 11 years due partly to the coronavirus pandemic which has hit hotel and restaurant businesses, according to data compiled by a research firm. Tok...

upGrad Doubles Revenue per Quarter - Looks to Close FY’21 With a INR 1200 Crore Run Rate

Higher Education being recognised as the fastest growing in overall edtech sector, claims upGrad Executive Chairman, ScrewvalaMumbai, Maharashtra, India Business Wire IndiaIndias largest online higher education company upGrad, launched a 4...

Govt extends NCLAT acting chairperson Justice B L Bhat’s tenure for 3 months

The government has extended the tenure of National Company Law Appellate Tribunals NCLAT acting chairperson Justice B L Bhat for the next three months. Justice Bhats three-month tenure as officiating Chairman was scheduled to end on June 15...

Exotel Powers Eranakulam District Central Teleconsultation System for Over 100 Days - Helps Thousands in the District

BENGALURU, July 8, 2020 PRNewswire -- Exotel, Asias largest cloud telephony platform has partnered with the Ernakulam District Central Teleconsultation System to power the local COVID-19 helpline. This helpline has been functioning uninterr...

Give Feedback