UNEMPLOYMENT in Mount Isa is a growing problem.
And a recent report has the city ranked among the three worst cities in the state for unemployment numbers.
Local Government Association of Queensland released the Regional Unemployment Index report which predicted the city’s unemployment rate was sitting at 7.12 per cent – the third highest for a city greater than 20,000 people.
While the city’s unemployment rate is higher than the state average of 5.1 per cent, the region seems to be faring much better.
It was predicted that North and North West Queensland would jump to an unemployment rate of more than 5 per cent but its level was instead recorded at 3.7 per cent.
This is 1.48 per cent lower than the number of unemployed people the region was predicted to be, according to the report.
Mount Isa Townsville Economic Zone executive officer Glen Graham said he believed the reason behind the high unemployment numbers in Mount Isa were two fold.
“There has been a lot of transient people that have moved to Mount Isa due to the Northern Territory Intervention that you don’t see in other towns in the region,” he said.
“And obviously there has been a number of mining operations in the area that have ceased after the global financial crisis (GFC).”
Mr Graham said some mines had also been affected by flooding and subsequently had to suspend their operations.
He said it was pleasing other towns in the region were doing well, which he put down to the beef industry.
“Agriculture has been very strong this year and has been largely unaffected by the GFC,” Mr Graham said.
“A lot of properties in the region have had a good covering of grass, prices have remained strong and production has been rather good.”
Mr Graham said the State Government’s road funding had also produced more jobs in the region.
Local Government Association Queensland acting executive director Brent Reeman said the report was necessary to show the detail of unemployment on a regional basis.
“Macroeconomics are great but they don’t address local needs,” he said.
“The report indicates to us generally the mix in the economy in those areas (of low unemployment) provide that stability.”