Australia’s Hiring Market Is More Complex Than It Looks
Finding a new job can seem simple. Search online, find a vacancy and submit an application. However, Australia’s latest workforce data suggests the hiring market is much broader than the job advertisements people see online. On 28 August 2026, Jobs and Skills Australia reported that Australia generated an estimated 1.353 million new vacancies in the year to the May 2026 quarter. That was an 8% increase, representing around 99,000 more vacancies than a year earlier.
The result is particularly interesting because Australia’s labour market has also started to soften. The unemployment rate reached 4.5% in July, while employment fell by 15,800 people. So, what is happening?
More Vacancies Do Not Mean Easier Recruitment
The increase in vacancies suggests employers continue to need workers, even as overall labour market conditions become less positive. However, more opportunities do not automatically make recruitment easier. In July, Jobs and Skills Australia’s Recruitment Experiences and Outlook Survey found that only 44% of employers recruited, a decline of 7 percentage points over the month and 6 percentage points over the year. Even so, 43% of employers that recruited reported difficulty finding suitable candidates.
This shows an important distinction. A business can have an open position and still struggle to find someone with the right skills, experience or qualifications.
Not Every Vacancy Appears Online
One of the most useful findings from the new vacancy data is that online job boards only show part of Australia’s recruitment activity. Jobs and Skills Australia combines online vacancy data with information from employers to estimate total new vacancies. This captures recruitment through channels such as word of mouth, social media, company websites, signs and direct approaches, as well as traditional online job boards.
As a result, the number of opportunities visible to a job seeker can be smaller than the actual number of vacancies being created. This creates an important recruitment lesson. Looking only at major job boards may mean candidates are missing potential opportunities.
Recruitment Channels Matter
The way employers recruit can vary considerably by industry and location. Some businesses rely heavily on online advertising. Others use referrals, professional networks, recruitment agencies or direct approaches to identify potential candidates.
Jobs and Skills Australia also notes that online advertising accounts for different shares of recruitment across occupations and regions. For employers, this means there is no single recruitment channel that works everywhere. For job seekers, it means building a professional network can be just as important as regularly checking job advertisements.
Regional Recruitment Tells A Different Story
Australia does not have one uniform labour market. Recruitment conditions can differ significantly between capital cities, regional communities and remote areas. Skills that are readily available in one location may be difficult to source in another.
This matters because national vacancy figures can hide local shortages. Jobs and Skills Australia’s latest analysis continues to highlight recruitment pressure across higher-skilled occupations and regional and remote locations. For employers operating outside major metropolitan areas, reaching the right candidates may require a broader and more targeted recruitment strategy.
Employers Are Still Competing For The Right Skills
Australia’s changing labour market also highlights the difference between vacancy volume and talent availability. Even with an estimated 1.353 million new vacancies, employers can still face shortages when candidates do not have the required capabilities.
Skills, qualifications and experience remain important. However, factors such as job design, workplace conditions and the attractiveness of a role can also influence an employer’s ability to recruit successfully. This means recruitment is increasingly about more than advertising a position. Employers need to understand what candidates value and where the right talent can be found.
What Does This Mean For Employers?
The latest data provides a clear message. Recruitment should not be treated as a single-channel process. Employers can strengthen their hiring approach by combining job advertisements with referrals, professional networks, social media, direct sourcing and recruitment partnerships. They can also use local labour market data to understand where talent is available and where shortages may emerge.
Most importantly, businesses need to focus on the quality of their recruitment strategy rather than simply the number of applications received.
The Job Market Is Bigger Than It Looks
Australia’s labour market is changing, but the latest data does not point to a simple story of falling demand. Instead, it shows a more complicated picture. New vacancies are increasing, unemployment has risen, recruitment activity has softened and many employers still struggle to find suitable candidates. The job market is therefore much bigger than the vacancies visible on a screen.
For employers, the challenge is finding the right people. For job seekers, the opportunity may be finding the jobs that are not being advertised where they usually look. Understanding how Australia’s recruitment market really works could be the first step towards making better hiring decisions.
