Australia's job recovery is losing momentum as Victoria enters stage four lockdown. Economists are urging the federal government to do more.

Jobs continued to bounce back in July, but its trajectory upwards has slowed considerably in the latest report from ANZ Bank. “The second wave of COVID-19 cases and return to Stage 3 restrictions in Melbourne and the Mitchell Shire have undoubtedly weighed on the recovery in labour demand so far,” senior economist Catherine Birch said. With Victoria moving to stage four at the beginning of August, the federal government will need to do even more to support a jobs recovery, Birch noted.