The number of people unemployed has topped the one million mark for the first time since records began 42 years ago as Australians continue to feel the devastating impact of the coronavirus pandemic.

The jobless rate rose to 7.5 per cent in July from 7.4 per cent the previous month, despite a large jump in the number of people who found work.

The Australian Bureau of Statistics data shows 114,700 people found employment in July as virus restrictions were eased in most parts of the country.

This included 43,500 full-time positions.

The participation rate of those people in work or actively seeking employment in July rose to 64.7 per cent, causing the unemployment rate to rise.

With AAP