Federal Treasurer Wayne Swan has conceded that employment growth may not be as strong as forecast in last year's budget.
But it will still outpace about any other country in the developed world.
The federal government had predicted the creation of an additional 500,000 jobs during the next couple of years.
"Certainly we will do less than that," he told ABC Radio on Monday, adding that was indicated in November's mid-year budget review.
Mr Swan said employment growth had slowed.
"But the outlook for our labour market is still far stronger here than just about any other developed economy.
"What we have to do is to look at the opportunities that are out there."
Opposition treasury spokesman Joe Hockey said Mr Swan's changed employment outlook was yet another broken government promise, citing previous decisions on the carbon tax and poker machine reform.
"This is yet another example of how the Gillard government cannot be trusted," he said in a statement.
"The Australian public are legitimately asking what promise the Gillard government will break next."
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