SPR30831 WLF SPA WhitePaper v12 - Flipbook - Page 11
Economic overview
This summary publicly reports the economic shifts that have been seen following the COVID-19
response. It outlines the evidence concerning the association between economic downturn and
suicidality, and potential mitigating factors; and some early recommendations for Australian
Governments to consider.
Our concern in this paper is not to conduct an in-depth analysis of the economic impacts, but to
discuss the relationship between those impacts and a potential increase in suicidality or the
suicide rate; and interventions that might ameliorate this impact.
The current situation
Australia is uniquely placed among the countries affected by the COVID-19 pandemic. A strong
public health response combining a comprehensive testing regime, rapidly imposed border
restrictions, progressive ‘lockdown’ measures and physical distancing resulted in a small
caseload in comparison with our population26. At the time of writing this paper, physical
distancing measures were being gradually loosened, with sectors in the economy that had
largely lain dormant for two months (such as the food and accommodation sectors) beginning to
open for business.
The COVID-19 response has significantly impacted the Australian economy. The introduction of
these changes has seen significant shifts in Australia’s labour market, with total employment
falling by almost 600,000. Figure 1.0 below plots the downward shift in the labour force
participation rate from December 2020 to April 2020; a decrease of nearly 3.5 per cent; together
with the increase in unemployment during the same period27.
6.5
Unemployment rate
Unemployment rate
Labour force participation rate
6
5.5
5
4.5
4
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20
80
79.5
79
78.5
78
77.5
77
76.5
76
75.5
75
74.5
Labour force participation rate
Figure 1.0 Changes in the unemployment rate and labour
force participation rate
Source: Australian Bureau of Statistics
The industries most affected by the shutdown have seen the greatest proportion of job losses
(Figure. 2.0). These include the accommodation and food services industry, which has seen
nearly a third of all jobs lost since the introduction of shutdown measures in March, and the arts
and recreation industry, which has seen nearly 19 per cent of jobs lost since lockdown measures
were imposed28.
Reducing distress in the community following the COVID-19 pandemic
June 2020
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