The central bank may yet be forced to make further interest rate cuts with the jobless rate striking a four-year high.
Economists believe the unemployment rate is destined to increase further in a slowing economy.
The rate rose to 5.8 per cent in August, compared to 5.7 per cent in the previous two months, data released on Thursday shows.
It has gradually risen from 5.1 per cent since August last year but the outgoing Labor government insists it is handing over a resilient economy.
"Our unemployment, whilst difficult, is far lower than many other comparative nations," Labor frontbencher Bill Shorten said while announcing his decision to run for the party leadership.
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But Joe Hockey, who is expected to be sworn in as treasurer under the new Abbott government next week, says the data reaffirms the need for a positive plan that will boost growth and create jobs.
"At a time where unemployment rates in many other advanced economies are decreasing, Australia's unemployment rate is heading in the opposite direction," Mr Hockey said in a statement.
He said the coalition is "purposefully and methodically" preparing for government with a plan to build a strong and prosperous economy.
The first major piece of data since last weekend's election also showed the number of people in employment dropped by 10,800 in August, when economists had expected a 10,000 increase.
Full-time employment fell by 2600, while those in part-time work decreased by 8200.
Forward indicators of employment, such as job advertisements, point to a continued reluctance to hire by business in the coming months.
Macquarie Research analyst Gabby Hajj believes that while the Reserve Bank of Australia (RBA) has made it clear it expects unemployment to increase, the pace of the rise continues to be marginally faster than they would want.
"If the performance of the past six months continues over the next six months, then unemployment will be above six per cent by the end of the year," he said in a note to clients.
"But with growth slowing, we expect unemployment will rise beyond that level."
Treasury has forecast a jobless rate of 6.25 per cent by June next year.
The RBA last cut the cash rate to 2.5 per cent in August, an all time low.
Financial markets are pricing in a near 50 per cent chance of a cut to 2.25 per cent by the end of the year, with inflation not seen as a obstacle.
In leaving the cash rate unchanged at last week's board meeting, RBA governor Glenn Stevens said inflation had been consistent with its two to three per cent target, and this is likely to remain the case over the next one to two years.
Other data released on Thursday showed consumers clearly don't believe price pressures are an issue at present.
The Melbourne Institute's consumer inflationary expectations survey, which tries to predict the rate of inflation over the next 12 months, dropped to just 1.5 per cent in September from 2.3 per cent in August.
