Tasmania's latest job figures are very good in the context of the coronavirus pandemic, economist Saul Eslake says.
Total employment grew by about 7000 between June and July, according to seasonally adjusted figures from the Australian Bureau of Statistics.
"Of the 19,100 Tasmanians who lost their jobs - according to this survey - in April and May, 13,400 have regained them, or been replaced by new job gainers.," Mr Eslake said.
"That's equivalent to 70.2 per cent, the highest proportion of lost jobs regained of any state or territory, compared with the national average of 39.4 per cent."
The former ANZ chief economist said Tasmania's July employment increase of 2.9 per cent was the highest proportional growth of any state or territory.
The national increase was 0.7 per cent.
Meanwhile, the state unemployment rate fell from 6.9 per cent to 6 per cent.
Mr Eslake said that was the lowest rate of any state or territory except the Northern Territory.
The national unemployment rate ticked up from 7.4 per cent to 7.5 per cent.
Mr Eslake said Tasmania's youth unemployment rate fell by 1.5 percentage points in July to 13.6 per cent.
That was lower than all other jurisdictions except New South Wales and the ACT and below the national average of 15.9 per cent.
"The proportion of Tasmanians aged 15-24 who were neither in employment nor in education or training also fell in July, by 2.2 percentage points to 8.3 per cent, but is still the highest of any jurisdiction except the Northern Territory and well above the national average of 7.3 per cent," Mr Eslake said.
"Tasmania's labour force under-utilisation rate - which adds to the unemployment rate the number of people who were working part time but working fewer hours than they were willing and able to - fell by 0.6 percentage points to 18.7 per cent, the second lowest of any state."
He said Tasmania's under-utilisation rate was the same as the national average.
That was the first time since September 1980 it was not higher than the national average.
Finance Minister Michael Ferguson said: "The government's two-year construction blitz will support $3.1 billion in construction and 15,000 jobs as we recover and rebuild a stronger Tasmania."
Shadow Treasurer David O'Byrne said: "The government needs to do everything it can to protect Tasmanian jobs and provide secure employment opportunities."
"This must be at the heart of its approach to COVID recovery.
"Labor's COVID-19 Recovery Package contains numerous measures to create jobs in key industries, including free TAFE courses to upskill workers who've lost their jobs due to COVID.
"We need to take the right measures now to ensure our recovery leads to better social and economic outcomes for everyone."
He said the state economy was not in great shape before the pandemic, making its impact more significant.