NITV Radio News - 23/07/2025
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The Australian
26 minutes ago
- The Australian
Collapse in private-sector job creation as public sector surges
Private-sector job creation has collapsed as employment funded by federal and state governments soars to five times the normal rate, sparking warnings of unsustainable distortions in the labour market that are at the heart of the nation's productivity slump. Analysis of labour-market data shows that 82 per cent of all jobs created over the past two years were government-funded positions, with the private sector adding only 53,000 jobs in 2024. This marks a dramatic reversal of normal labour market trends, in which the private sector typically contributes about two-thirds of total job creation. While Jim Chalmers has ruled out discussion of industrial relations at this month's economic and productivity summit, employer groups are demanding that dysfunction in the labour market needs urgent attention. Australian Industry Group analysis shows that the historically low unemployment rates maintained since the pandemic are masking a fundamental shift in the composition of job creation, which lies at the heart of the nation's productivity slump. It warns that labour-market resilience, as shown in official unemployment data, was being supported almost entirely through government spending, leading to an excess of job vacancies in the private sector. This was unsustainable, according to the Ai Group, which also pointed to a dramatic fall in mobility rates – the frequency of workers changing jobs or roles – to a record low in 2025 that was directly linked to productivity. The analysis showed that the number of new jobs needed for the economy to maintain an unemployment rate of about 4 per cent was approximately 400,000 a year. 'Since the pandemic, this has been achieved, however, the composition of job creation has changed dramatically,' the Ai Group analysis said. 'Typically, the private-market sector accounts for about two-thirds of job creation in Australia. However, as the economy has slowed since 2023, private-sector job creation rates have collapsed. 'In 2024, the sector only added 53,000 new jobs – about a fifth of its normal level of job creation. In its place, two government-supported sectors took up the slack. 'Employment in these government-supported sectors has boomed since the pandemic, adding an additional 670,000 jobs over the last two years. This is over five times higher than the normal growth rate, and ultimately accounted for 82 per cent of all job creation in Australia. 'It was driven by significant uplift in public-sector staffing levels, as well as the rapid expansion of the private-sector (but government-funded) care-economy workforce. One of the Albanese government's key election boasts was its maintenance of low unemployment and job creation. But the bulk of those jobs have been in the public sector (where workers are directly employed by government), and the non-market sector (industries such as healthcare and education) which are driven by government funding decisions. 'Job creation has become unsustainably dependent upon government spending,' the Ai Group research said. 'Growing regulatory burden has raised the costs of private sector employment generation. Job mobility rates have rapidly declined, while excess vacancies and skills shortages have disrupted business operations and efficiency.' The public sector was the least productive part of the economy and, with public spending showing signs of easing, unemployment rates have begun to rise. Last month, the jobless rate surprised experts by jumping from 4.1 to 4.3 per cent. This prompted economists to call for the central bank to lean in further on interest-rate cuts, following its surprise decision last month to keep them on hold, to protect the economy. Ai Group chief executive Innes Willox said the historically low headline unemployment rate had created a 'blind spot to labour-market trends that are decreasing our productivity, our wellspring to national wealth'. 'While the labour market has remained resilient, with the jobless rate around 4 per cent for the past three years, in many other respects it is failing to meet the broader needs of our economy or productivity,' Mr Willox said. 'There are four key areas that are a material drag on productivity: job creation has become almost entirely dependent on government spending; a growing regulatory burden has increased private sector costs; there is a persistent overhang of excess job vacancies; and mobility is declining. 'These all make job creation more expensive and difficult, reduce the efficiency of matching jobs to employers, while disrupting productivity and sapping business growth.'' Mr Willox said there was an urgent need for the private sector to resume its role as the primary job creator 'or our labour market resilience will be at risk'. 'Regulation has pushed up employment costs since the pandemic, with growth in superannuation, workers compensation and payroll tax adding $14bn to the annual wage costs,' Mr Willox said. 'The regulatory costs for employment, on top of wages, have grown to 15.6 per cent from 14 per cent in the past three years. 'We have a plague of excess job vacancies, which disrupts business operations, make it harder to allocate resources properly and less likely to pursue new opportunities for growth.' Mr Willox said the intervention by governments to prop up job creation through their budgets had starved the private sector with about 330,000 jobs remaining unfilled at the beginning of 2025. This was 100,000 more than the historical average. 'This persistence of excess vacancies has exacerbated a further challenge for employers: a crippling skills shortage,' Mr Willox said. 'The sectors with the most chronic shortages – healthcare and social – also delivered the worst productivity outcomes, so there is a clear link between the two.' Mr Willox said the issue needed to be a central piece of the productivity debate at the Treasurer's roundtable this month. Nation A massive pro-Palestine protest brought Melbourne to a standstill as activists clashed with riot police, harassed officers, blocked traffic, and targeted fashion brand Zara – defying Premier Jacinta Allan's warning of swift action. Nation The PM's energy infrastructure tsar and a pro-renewables independent are worried concerns about one of Australia's largest proposed solar farms are being ignored.
The Australian
26 minutes ago
- The Australian
Australia commits $20m in humanitarian aid in Gaza
Australia will commit a further $20m to assist the delivery of critical food and aid to starving Gazans, as health authorities confirmed reporting that 163 people had died of starvation, including 93 children. The move comes amid growing international pressure for Australia to join the UK, France and Canada in committing to recognising Palestinian statehood at the United Nations General Assembly in September, which will be attended by Anthony Albanese. Foreign Minister Penny Wong confirmed the additional $20m aid package on Sunday night, which brings Australia's total contribution to $130m. The assistance will be delivered through key partners and humanitarian organisations will be broken into five different components. The announcement comes after the Israeli government relented to the establishment of humanitarian corridors, following intense global condemnation it was purposefully starving civilians in Gaza – claims Israeli Prime Minister Israeli Netanyahu have denied and labelled a 'bold-faced lie'. $2m has been earmarked for relief support alongside the UK though the existing partnership arrangement, $6m will be spent through the UN World Food Programme for the distribution for critical food supplies. The government's $20m commitment comes as huge pro-Palestine rallies hit Sydney and Melbourne on Sunday. Picture: NewsWire / Brendan Read $5m have also been committed both to UNICEF to target children at risk of starvation, as well as the International Committee of the Red Cross to provide essential needs, like healthcare. Another $2m will be delivered through the Jordan Hashemite Charity Organisation to bolster the operations of field hospitals in the war zone. Senator Wong reiterated her demands of a ceasefire, with the US and Israel restarting negotiations for a peace deal. The move also comes after more than 50,000 anti-war protesters shut down Sydney Harbour Bridge on Sunday, demanding more action, with similar large-scale demonstrations happening in Melbourne's CBD. 'Australia has consistently been part of the international call on Israel to allow a full and immediate resumption of aid to Gaza, in line with the binding orders of the International Court of Justice,' she said. 'The suffering and starvation of civilians in Gaza must end. 'Australia will continue to work with the international community to call for an immediate and permanent ceasefire, the release of hostages and a two-state solution – the only path to enduring peace and security for the Israeli and Palestinian peoples.' Foreign Minister Penny Wong reiterated calls for a ceasefire and said the 'suffering and starvation of civilians in Gaza must end'. Picture: NewsWire/ Martin Ollman International Development Minister Dr Anne Aly said the government was working with partners to provide the 'immediate and sustained lifesaving assistance' and urged the Israeli government to allow teams to 'do their vital work and deliver aid at scale'. 'Australia's additional funding will bolster international efforts to address urgent needs in Gaza. It will provide urgently needed food and healthcare,' she said. 'We continue to call on Israel to allow immediate and unimpeded aid access into Gaza.' The announcements come as Anthony Albanese seeks a call with Mr Netanyahu, following sustained speculation around whether Australia will join its Western Allies in recognising Palestinian statehood at the international summit next month. Mr Albanese has repeatedly said the act cannot just be a 'gesture' but must go towards achieving a two-state solution and peace in Gaza. The Coalition has said peace needs to be resolved before they support the recognition of statehood, which would require Hamas to surrender and release the Israeli hostages taken during the October 7 attacks. Jessica Wang NewsWire Federal Politics Reporter Jessica Wang is a federal politics reporter for NewsWire based in the Canberra Press Gallery. She previously covered NSW state politics for the Wire and has also worked at and Mamamia covering breaking news, entertainment, and lifestyle. @imjesswang_ Jessica Wang
News.com.au
an hour ago
- News.com.au
60 Minutes revisits outback murder of Bruce Schuler in far north Queensland
The haunting outback murder of gold prospector Bruce Schuler continues to cast a shadow 13 years on, with fresh claims of a possible miscarriage of justice. In a wide-ranging review of the murder, which happened on the vast Palmerville Station in far north Queensland in 2012, 60 Minutes reveals some people, including a Queensland detective, believe Stephen Struber and Dianne Wilson, the husband and wife convicted of Mr Schuler's murder, may have suffered a miscarriage of justice. Struber and Wilson owned Palmerville and Mr Schuler was prospecting for gold on the cattle station when he disappeared. A jury convicted the pair of gunning down Mr Schuler, 48, and they are now in prison. Mr Schuler's body has never been found and because of Queensland's 'no body, no parole' laws, the former station owners look set to live out the rest of their lives in jail. Former Queensland detective Graeme Crowley believes the wrong people are in jail. 'It seems this is going to be one of those cases where just about everything you look at unravels,' he says on Sunday night's show. 'I believe it's a miscarriage of justice and it needs to go back to the courts.' Supporters of the convicted killers and those who believe a miscarriage of justice has occurred point to a lack of DNA evidence linking Struber and Wilson to the crime, the fact Mr Schuler's body and the murder weapon have never been found and alleged discrepancies in witness testimony. Mr Crowley believes Struber and Wilson did not attend the 'second crime scene', or the place where a small amount of Mr Schuler's blood was later discovered. 'Once you expose that, the Crown don't have a case,' he argued. Wilson and Struber continue to maintain their innocence. In a letter to Mr Schuler's daughter Lisa, Wilson says 'I did not shoot your father and if I did I would have said so from the very start'. But Lisa and the broader Schuler family are sure the right people are behind bars. According to the police, Wilson and Struber killed Mr Schuler because they were obsessed with protecting their land. The pair had a reputation in the region for intimidating and threatening trespassers. 'It was the talk that something's going to happen out there one day,' Mr Schuler's widow Fiona Splitt said. 'Someone's going to get hurt … they always had guns with them and things like that.' Supporters of Wilson and Struber plan to go back to the Court of Appeal to overturn the murder conviction, 60 Minutes reveals. The pair's original appeal was dismissed. 'I just feel like I've been kicked in the guts right now,' Fiona says. 'It (the new appeal) is just ridiculous, the only other way of finding out anymore is tell us where Bruce is and we'll get the rest of the evidence.' In a statement provided to 60 Minutes, the Queensland Police said their investigation of the murder was 'extensive and thorough'.
