More than one million people have found employment since the coalition government came to power in September 2013, fulfilling an election promise by former Liberal leader Tony Abbott to reach that target in five years.
But Labor has been quick to douse any celebrations, pointing out the jobless rate is roughly the same as it was four and half years ago and that wages growth remains close to a two-decade low.
The one million mark ticked over after new figures showed 22,600 people found employment in April, with an increase of 32,700 in full-time workers offset by a drop in part-timers.
"That's a million more Australians who have had the opportunity to realise their dreams," Prime Minister Malcolm Turnbull beamed, while visiting a Brisbane small business on Thursday.
He told reporters it means a million more Australians are paying tax and why revenues are stronger and the number of people on welfare is at its lowest in 25 years.
"That's a very, very big achievement," he said.
However, the jobless rate ticked up to 5.6 per cent in April as more people sought employment, encouraged by last year's record jobs growth.
The unemployment rate is at its highest level since July last year.
Economists had expected employment to rise by 20,000, although they had thought the unemployment rate would have remained at 5.5 per cent.
The underemployment rate - those in work but seeking extra hours - also rose to 8.4 per cent from 8.3 per cent previously.
"Australians need more secure jobs, but under the Turnbull government nearly two million people are either underemployed or unemployed," ACTU secretary Sally McManus said.
The unemployment rise came a day after data showed wages growth remained close to a two-decade low at 2.1 per cent, and only just ahead of the inflation rate.
"The government might try and gloat today that they have reached a certain benchmark in jobs growth and yet ... we are not seeing the so-called green shoots of wages growth as promised by the treasurer," Labor employment spokesman Brendan O'Connor said.
He said wage rises weren't keeping up with cost of living pressures.
The budget forecasts wage growth accelerating to 3.25 per cent by 2019/20 when a small surplus is predicted and 3.5 per cent thereafter.
BIS Oxford Economics head of macroeconomics Sarah Hunter said the wage results will make it challenging for the federal government to hit its projected budget surplus in mid-2020 given the Treasury's dependence on robust increases in income tax revenue.