Home›Bonds & Rates›Economy›Australian employment jumps, unemployment holds at 4.4…

Australian employment jumps, unemployment holds at 4.4% in June

June’s job gain was driven largely by a 47k rise in part-time employment, while underemployment ticked up to 6.5%.

Reported · Written up by our desk · Economy

Australia’s labor market surprised to the upside in June, with employment rising by 76.3k, well above expectations for 15.0k and accelerating from May’s 40.3k increase, according to Action Forex citing Australian Bureau of Statistics data.

Even as hiring strengthened, the unemployment rate stayed at 4.4% as forecast. The participation rate climbed from 66.7% to 67.0%, matching a record-equalling level, while the number of unemployed people increased by 12.7k.

The ABS attributed much of the month’s employment gain to a 47k increase in part-time work, with some of the strength reflecting people starting jobs after waiting in May. Elevated job retention also supported employment growth.

At the same time, underemployment edged up from 6.3% to 6.5%, suggesting spare capacity in the labor market has not fully disappeared. Total hours worked rose 0.2% on the month, and Action Forex said investors will now watch inflation data to assess whether the Reserve Bank of Australia sees enough evidence that price pressures are easing before any policy adjustment.

More like this

Sources