Labour market conditions remain stronger in Australia’s major cities than in regional areas, according to the latest Regional Labour Market Indicator (RLMI) for March 2026.
The report found that almost two-thirds (64%) of major city labour markets were rated either strong or above average, with particularly favourable conditions across Sydney, Brisbane and Perth. While capital city regions continue to outperform the rest of the country overall, the picture across regional Australia is far more varied.
Several regional areas recorded strong labour market outcomes, including regions surrounding Greater Brisbane, south-west Western Australia, the Surf Coast in Victoria and parts of the Southern Murray-Darling Basin. However, many regional labour markets continue to face challenges, with 38% rated below average or poor in March 2026.
Remote Australia recorded the weakest labour market conditions nationally. All 6 remote SA4 regions were rated poor, reflecting ongoing structural challenges affecting these communities. The March 2026 report also introduces a combined Remote Australia rating for the first time, which was likewise assessed as poor.
The latest release strengthens the RLMI by introducing productivity as a new indicator. While regional and remote areas continue to experience weaker labour market conditions overall, the new data point to encouraging longer-term trends, showing productivity growth has strengthened in recent years across these parts of Australia.
The findings highlight the increasingly diverse nature of labour market performance across the country, with strong outcomes in many urban centres and selected regional areas, alongside persistent challenges in others.
For more insights, read the full results.
