Job and growth plan working: Cormann

Finance Minister Mathias Cormann insists the government's plan for more jobs and growth is working, for the jobs bit at least.

When Labor lost government, Australia was on track for an unemployment rate of 6.25 per cent by the end of June but that has come in quite a bit better at 6.1 per cent, he said.

"Employment growth, that is one of the very encouraging indicators in the national accounts," he told ABC television.

National accounts released on Wednesday showed the economy grew at a feeble 0.2 per cent in the June quarter, meaning annual growth slowed to just two per cent, well below its long term average of three to 3.25 per cent.

The economy stuttered during the three months to the end of June, undermined by reduced mining and construction activity, coupled with a decline in exports.

Senator Cormann said employment growth remained quite strong with unemployment lower than anticipated on the back of better labour market conditions.

"So our economic plan is working. Our plan for stronger jobs growth is working," he said.

Senator Cormann said this meant the government had to continue to work harder to strengthen growth and create more jobs.