The effect of unemployment upon J. both physical and emotional health is controversial. In late 1993 the Australian Medical Association formed a working party of community, charitable and health organisations which commented on the Government White Paper on Employment and Growth, Working Nation. It also convened a seminar on health and unemployment which was held in Canberra on 28 July this year. Much of the seminar was devoted to a rather uncritical acceptance of the ill-effects of unemployment with a concurrent focusing upon the political agenda which flow inevitably from such a controversial topic. The following is the text of a paper presented at the seminar by Professor Robert Goldney on behalf of The Royal College of Australian and New Zealand Psychiatrists.