As COVID and recession gripped the world, through 2020 and most of 2021 Australia recorded one of the best outcomes: lower infection, fewer deaths, and a faster, stronger economic recovery. That seeming victory has been squandered, however by the appalling and infuriating events of recent weeks. Purportedly in the name of ‘protecting the economy’, key political leaders (led by the Commonwealth and NSW governments) threw the doors open to the virus at exactly the wrong time: just as the super-infectious Omicron variant was taking hold.

The resulting surge in infections has been among the worst in the industrialised world (worse than the U.S. now, as shown in the following graph from Our World in Data). The implications of this massive outbreak for work, workers, production, and the economy have been as predictable as they are devastating. One-third or more of workers in the most-affected regions cannot attend work: because they contracted COVID, were exposed to it, or must care for others (like children barred from child care and soon, possibly, schools).

Our team of experts will continue monitoring the dangerous labour market developments arising from Omicron, and flawed government responses to it. Please watch our site and follow our Twitter feed for regular updates.

Skilled health workers from Pacific Island countries are being poached to plug Australia’s shortage of care workers, leaving the health systems in their home countries on the brink of collapse, according to new research.

Business representatives sit down today with government and others to talk about productivity. Who, according to those business representatives, will need to change the way they do things?