Public Sector Jobs Rise 2.3 Per Cent

Australian public sector employment grew at its slowest pace since the COVID-19 pandemic began in 2019-20.

Updated on Nov. 5, 2026 in Employment

Public Sector Jobs Rise 2.3 Per Cent

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Do you think public sector jobs in Australia are growing fast enough?

Public sector jobs across Australia rose 2.3 per cent over 2025-26, while public sector wages increased 6.6 per cent over the same period. The job growth was the slowest since the onset of the COVID-19 pandemic.

Why it matters

Wage growth moderated from 7.8 per cent in 2024-25, reflecting slowing growth in Commonwealth and local government jobs. Continued demand for health and education services within state and territory governments kept the public sector wage bill rising.

Health care and social assistance jobs rose 4.4 per cent to 669,800 between June 2025 and June 2026, while education and training jobs rose 2.3 per cent to 790,800. Public administration and safety jobs increased 0.5 per cent to 883,300 over the same period.

The players

Australian Bureau of Statistics

The Australian Bureau of Statistics is the national agency responsible for compiling official economic and social statistics, including public sector employment and wage data.

The details

Public administration, education and training, and health care and social assistance together account for nearly 90 per cent of public sector jobs and wages. Health care and social assistance wages rose 8.5 per cent to $70.9 billion in 2025-26, the largest wage increase among the sectors reported.

Timeline

  1. 2019-20: COVID-19 pandemic onset, after which public sector job growth was at its slowest pace.

  2. 2024-25: Public sector wage growth reached 7.8 per cent.

  3. June 2025 to June 2026: Period over which public sector job growth was measured.

  4. August 2026: Business survey on AI's impact on job vacancies was conducted.

Employment Trajectory

The 2.3 per cent rise in public sector jobs is the slowest annual growth recorded since the COVID-19 pandemic began in 2019-20. Wage growth also eased from 7.8 per cent in 2024-25 to 6.6 per cent in 2025-26.

Public sector wage growth slowed to 6.6 per cent, easing pressure on government budgets for pay rises. Workers in health care and education continued to see the strongest demand for their roles across the country.

The takeaway

Public sector hiring is slowing, but health care and education remain the main drivers of employment and wage costs. Those tracking job prospects should watch these sectors most closely.

Further reading

For related coverage, explore Employment news across Australia.

Live Poll

Do you think public sector jobs in Australia are growing fast enough?