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The jobless rate has returned to a five-year high of 5.7 per cent, despite only a modest fall in total employment in official May data released on Thursday.
The seasonally adjusted increase in the jobless rate back to a level seen in March was widely expected by economists after the rate surprisingly fell in April.
The April rate was revised upwards to 5.5 per cent after originally being reported at 5.4 per cent.
The 1,700 fall in the total number of people employed in May was well below the 30,000 forecast by economists, although full-time employment did drop by 26,200.
Deputy Prime Minister Julia Gillard says the global economic recession is hitting the Australian jobs market.
"As a result of the global recession these are tough times for working people right around the globe," Ms Gillard, who also holds the employment portfolio, told reporters in Sydney.
She said unemployment would have been a lot worse without the government's two stimulus packages, that included cash handouts.
"For Australians hit by recession, we will be standing with them. We want to stand shoulder to shoulder with them," Ms Gillard said.
"We are strongly positioned compared to other countries - we've acted here to cushion Australia from the full effects."
Government forecasts were revised in the May budget, estimating an 8.25 per cent unemployment rate by mid-2010.
Queensland saw the biggest unemployment jump in May, rising to 5.3 per cent from 4.9 per cent in April.
NSW had the highest rate in the country, rising to 6.4 per cent from 6.1 per cent, while in Western Australia it increased to 4.9 per cent from 4.6 per cent.
The jobless rate in Victoria was 5.9 per cent in May compared to 5.7 per cent the previous month, while it was up to 3.3 per cent in the ACT versus 3.1 per cent previously.
However, the Tasmanian unemployment rate fell to 5.7 per cent from 6.1 per cent and was down to 5.4 per cent in South Australia from 5.5 per cent.
The rate was unchanged in the Northern Territory at 3.9 per cent.
The jobless rate has returned to a five-year high of 5.7 per cent, despite only a modest fall in total employment in official May data released on Thursday.
The seasonally adjusted increase in the jobless rate back to a level seen in March was widely expected by economists after the rate surprisingly fell in April.
The April rate was revised upwards to 5.5 per cent after originally being reported at 5.4 per cent.
The 1,700 fall in the total number of people employed in May was well below the 30,000 forecast by economists, although full-time employment did drop by 26,200.
Deputy Prime Minister Julia Gillard says the global economic recession is hitting the Australian jobs market.
"As a result of the global recession these are tough times for working people right around the globe," Ms Gillard, who also holds the employment portfolio, told reporters in Sydney.
She said unemployment would have been a lot worse without the government's two stimulus packages, that included cash handouts.
"For Australians hit by recession, we will be standing with them. We want to stand shoulder to shoulder with them," Ms Gillard said.
"We are strongly positioned compared to other countries - we've acted here to cushion Australia from the full effects."
Government forecasts were revised in the May budget, estimating an 8.25 per cent unemployment rate by mid-2010.
Queensland saw the biggest unemployment jump in May, rising to 5.3 per cent from 4.9 per cent in April.
NSW had the highest rate in the country, rising to 6.4 per cent from 6.1 per cent, while in Western Australia it increased to 4.9 per cent from 4.6 per cent.
The jobless rate in Victoria was 5.9 per cent in May compared to 5.7 per cent the previous month, while it was up to 3.3 per cent in the ACT versus 3.1 per cent previously.
However, the Tasmanian unemployment rate fell to 5.7 per cent from 6.1 per cent and was down to 5.4 per cent in South Australia from 5.5 per cent.
The rate was unchanged in the Northern Territory at 3.9 per cent.
