An expert on Australia's labor market has declared that more needs to be done to combine flexibility and security in employment.

Former deputy prime minister Brian Howe has stated that a greater understanding is needed of fluctuations in the sector in order to address job insecurity, ABC Online reports.

Mr Howe, who is heading up an inquiry on behalf of the Australian Council of Trade Unions (ACTU), declared: "I think we're seeing a fundamental change really in the nature of work, the work contract, conditions of work for people who are permanent and for part-time."

He added that a better balance needs to be struck between flexibility, job security and productivity in Australia and cited the European model of flexicurity as an example of structural changes in the market working effectively.

According to ACTU, around 40 per cent of the total workforce is not in secure employment, as levels of short-term and casual roles continue to rise.

Recent figures from the Australian Bureau of Statistics revealed that the joblessness rate stood at 5.2 per cent during September 2011, with a rise in employment over the month of 20,400.

Posted by Sarah Dixon