Economic slow down causes higher unemployment: research
Posted
The Hunter Valley Research Foundation is warning the Hunter's unemployment rate will get worse, before dipping again.
Australian Bureau of Statistics figures show the region's jobless rate increased from 4.9 per cent in May to 5.2 per cent in June.
In Newcastle it rose 0.3 per cent to 5 per cent.
The Foundation's Senior Researcher, Simon Deeming, says interest rate hikes, rising petrol prices and a general economic slow-down have put employers off hiring people.
"We could expect it to get worse again, not collapse, not be the end of the world but we would expect [unemployment rates] to go slightly higher and the labour market to get softer going forward," he said.
"I would not expect it to blow out massively but we could expect a slightly higher unemployment rate."
