Australia’s labour market has snapped back after a subdued winter, with national employment up 6.4% year-on-year and 1.6% month-on-month in October, according to Employment Hero’s latest Jobs Report drawing on real-time payroll data from more than 1.5 million workers.
Hiring strength isn’t evenly spread.
Engineering led the gains with a 20.4% YoY surge, followed by Construction (+8.2%) and Retail & Hospitality (+7.3%). In contrast, Science & Tech roles fell in several capitals, down 6.0% in Brisbane, 3.6% in Adelaide and 0.4% in Perth, signalling a pause in the multi-year tech hiring run.
States were led by WA (+7.1%) and Queensland (+5.8%) on annual hiring growth.
Fewer hours worked
Despite the lift in headcount, Australians are working fewer hours. Average hours fell 1.0% MoM in October, extending a 2025 trend and keeping pressure on output measures. Casual employment rose 9.5% YoY, underscoring a structural shift toward flexible work, while full-time roles increased 3.7% YoY.
Wage growth remained steady, up 4.8% YoY to a $45.20/hour median. Consulting & Strategy led annual wage gains (+9.2%), ahead of Engineering (+7.5%). Mid-career workers aged 25–34 recorded the largest pay increases (+6.7% YoY).
Employment Hero co-founder and CEO Ben Thompson said October marked a clear turn in hiring momentum.
“Jobs are returning with force after a slower few months. Businesses are hiring again, but they’re still cautious about how much work they’re giving people.”
Thompson added that demand for engineers is “huge as infrastructure, construction and renewable projects ramp up,” while tech roles have “plummeted year-on-year in half of the major cities.” He expects the tech lull to be temporary: “Businesses are still bullish on AI, so those jobs will come back in stride.”
With peak retail trading underway, employers are leaning more on casual and part-time rosters.
Thompson said the mix of rising headcount and falling hours suggests some workers are piecing together multiple roles, while the broad-based dip in hours—including for full-timers—poses a “red flag for output and job security.”