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Why Some Workers Stop Job Hunting – The Hidden Labour Market

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Australia’s unemployment rate may look low — but there’s a hidden story behind the numbers.

In this episode, we speak with Dr Sora Lee from La Trobe University about new research into “discouraged workers” — people who want a job, are available to work, but have stopped actively looking after repeated setbacks.

The study analysed more than 1,000 discouraged workers and identified six distinct groups. These include young adults with low education and unstable work histories, older workers facing chronic health issues or age discrimination, and mothers balancing unpaid care with job searching. Even some highly educated, skilled workers have stepped back due to workplace inflexibility or ongoing rejection.

The findings show discouragement rarely happens overnight. It often builds slowly — after repeated knockbacks, health challenges, financial stress, or the strain of juggling family responsibilities.

We unpack what a discouraged worker really is, how large this hidden workforce might be, and why this matters for Australia’s economy. We also explore the role of age bias, childcare pressures, and structural barriers — and what employers and policymakers can do to bring people back into the workforce.

If you care about jobs, fairness, and the future of work in Australia, this is an important conversation.

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