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Shrinking public sector driving unemployment

THE most recent ACTU Jobs Report shows the number of public sector jobs in Australia has fallen for the first time in more than a decade.

ACTU President Ged Kearney said cutting public sector jobs was a short sighted policy that would lead to reduced services for all.

“Many of the workers who lose their jobs will spend long periods of time in unemployment,” Ms Kearney said.

The report examines the shrinking public sector as a possible explanation for the recent softness in the labour market.

In Tasmania, the public sector’s certainly taken a hit. The report shows from June 2011 to June 2012 public sector employment fell by 3.5% in the state.

In 2011-12 , proportionally Tasmania had the biggest contraction of the of the public sector with all levels of government reduced; equalling a net loss of 2,300 people or 4.6% of the state’s public sector workforce.

The report states both Commonwealth and State budgets suggest the squeeze on public sector employment is likely to continue, even worsen.

You can find the ACTU’s February Jobs Report here

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