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Work and unemployment

Work has a significant impact on behavioural, emotional and physical health. Health in turn, impacts on our ability to work.

Psychologists have a strong interest in the psychological impact of work and of unemployment or underemployment.

Key points

  • Work (paid and unpaid) is integral to people’s lives in today's society, particularly their sense of identity and self-esteem.
  • Employed people generally enjoy better mental health than unemployed people.
  • The quality of the work can determine whether work is beneficial or detrimental to mental health.
  • Work can provide a sense of achievement, purpose, fulfilment, personal or social worth. Earnings from work provide access to other needed or desired experiences, resources and support.
  • Work that offers few of these benefits may be harmful to mental health even when it provides money for other resources.
  • The claim that even bad jobs are better for psychological wellbeing than unemployment is not supported by research.
  • Looking for but not obtaining work is often seriously harmful to mental health.
  • Ceasing work, such as through retirement, may be beneficial or detrimental, depending on the person's circumstances.
  • Unemployment or underemployment is currently all that is realistically available for many Australians. This has serious psychological implications in a society that places a high value on employment status.
  • Many people are involved in unpaid work as carers of children, people with disabilities or ageing family members. This unpaid caring work is often done by women, in addition to paid work.

How the APS is involved

The APS believes the right to work, free from discrimination on any basis, is a fundamental human right. There is unambiguous evidence that access to employment opportunities is not equitable.

The APS has a long-standing position paper on work and unemployment. It has contributed several submissions to relevant government inquiries such as those relating to welfare reform and employment discrimination.

The causes of poverty, inequality, and psychologically or physically unhealthy work require Government intervention.

Building community capacity to address unemployment and disadvantage is also critical. The APS recommends investment in community-based, local organisations and networks in disadvantaged areas.