The AI and employment in Australia report was published on 8 July 2026. The report was written by the Office of the Chief Economist and examines whether there is evidence that AI is already affecting employment in Australia.
This is a department report, commissioned to develop a framework to monitor the impact of AI on the labour market. The framework is multi-dimensional, combining descriptive statistics with statistical modelling.
The framework builds on Jobs and Skills Australia’s (JSA) Generative AI Capacity study and draws on data from the ABS Labour Force Survey and JSA’s Internet Vacancy Index.
It is designed to monitor current developments in the Australian labour market, not to forecast potential future outcomes.
The key points include:
- There is no evidence to date of broad AI-driven labour-market upheaval in Australia. Overall labour market conditions remain strong by historical standards, youth outcomes have mostly held up, and occupational reshuffling has not accelerated.
- However, occupations more exposed to potential automation by generative AI have grown more slowly than other occupations.
- The results are suggestive, not definitive.
- The evidence is best read as an early indication of some modest slowing in employment growth in some highly exposed occupations, not proof of large AI-driven job loss.
- The department will continue to monitor the relationship between AI exposure and employment growth.