Jobless rate in surprise dip to 4.6 pc in July. But beyond the headline figure, participation rate dips as people give up hunt for work

The fall in the jobless rate of 4.6 percent in July would normally be celebrated by Treasurer Josh Frydenberg as more evidence about a resilient economy in the face of the pandemic.

Not this time.

The reality, as the Treasurer warns, is that the July outcome is bad news and beyond the headline unemployment rate people are doing it tough especially in greater Sydney because of the lockdown.

Although 2,200 jobs were created, the July participation rate dipped to 66 percent - meaning fewer people are looking for work and some may well have just given up.

Here's my analysis from ABC NewsRadio.