Australia's busiest city Sydney has reportedly been placed in an 'arc of joblessness' following the global recession, with some posh areas facing the brunt of rising unemployment.
Maps prepared for a study to be released on Tuesday to reveal the most vulnerable pockets of urban centres in Australia, including Sydney, Newcastle, Wollongong and Canberra, according to 'Sydney Morning Herald' report on Tuesday.
Sydney is set to avoid the dense clusters of unemployment that will hit Melbourne, which retains more significant bases of heavy industry and manufacturing.
The report said 'Sydney's vulnerability is spread across the city. The slowing economy's worst impact will be on the city's south-west, but a band of relatively well-off suburbs are also in danger of becoming "red-alert" at-risk suburbs.'
The study used demographic markers to measure the vulnerability of specific areas to a worsening economy.
A feature of Sydney's geography is that high-risk suburbs lie next to those facing much smaller job losses.
The federal government is forecasting unemployment to reach 7 per cent by next year, but some economists believe it will approach 10 per cent.
The study's authors, Scott Baum from the urban research program at Griffith University and co author Bill Mitchell from the University of Newcastle's centre of full employment and equity, said the Government could help prevent the downturn from exacerbating the inequality in cities.
They propose a national skills framework to ensure that every person under twenty is in education, training or a paid job. They also propose state and federal governments commit to providing a "buffer stock" of jobs for workers regardless of their skills levels.