It raises the risk that unemployment will undershoot the forecasts of the RBA, which predicted the unemployment rate to rise to 4.4 per cent by the end of 2025 and stay there for two years.
About 21,300 jobs fell out of the economy, while the number of unemployed peopled also fell by 2,100.
The drop in employment was substantially weaker than consensus expectations of about 20,000 jobs added.
"With the fall in the number of employed and unemployed people in November, the participation rate fell by 0.2 percentage points to 66.7 per cent," ABS head of labour statistics Sean Crick said.
"The number of employed people has risen 1.3 per cent over the past 12 months, which is weaker than the two per cent growth in population."
Full-time employment fell by 57,000 people, partly offset by a 35,000 rise in part-time employment.Â
The jobs data was the first major economic indicator since RBA governor Michele Bullock rattled markets by revealing the central bank would have to consider a rate increase in 2026.
Speaking to media after the RBA's monetary policy board held the cash rate at 3.6 per cent on Tuesday, Ms Bullock said the board would have to consider raising rates in February, if inflation and jobs data suggested financial conditions were not tight enough.
"That's what we'll be focusing on: deciding whether or not we need to increase interest rates again, or are financial conditions sufficiently tight - just tight enough - to just keep that downward pressure on," she said.
Ms Bullock said the RBA still believed labour market conditions were a little tight, with unemployment at a relatively low 4.3 per cent and measures of labour underutilisation subdued.
Earlier on Thursday, Commonwealth Bank revealed consumption rose a brisk 0.5 per cent for November, as Australians spent big at the altar of rock gods AC/DC and Oasis.
The data, included in CBA's monthly Household Spending Insights, provides an early taste of what the Australian Bureau of Statistics' official household spending figures are likely to show when they are released in January.
Economists were surprised last week when ABS figures showed a much stronger-than-expected 1.3 per cent rise in spending in October.
That momentum continued in CBA's report, which showed households, buoyed by stronger disposable incomes, spent big on discretionary items.
Recreational spending jumped 1.6 per cent as punters went out to AC/DC, Oasis and Metallica concerts, the Ashes cricket, and the movie Wicked: For Good.
CBA's head of Australian economics, Belinda Allen, said stronger demand in the economy had fuelled inflation and contributed to RBA rate hikes being put back on the table.
"What I think has also become clearer is that the stronger consumer environment, together with recovering business investment and still solid public demand has meant the economy is very close, if not above, its capacity limits," Ms Allen told AAP.
"And that's why you're starting to see more conversations around inflation and higher interest rates from here."
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