Global Markets
Home›Global Markets›Trade & Tariffs›Australians increase second jobs as unemployment rises…
Australians increase second jobs as unemployment rises and mortgage costs loom
Unemployment climbed to 4.6% in August, up from 4.5% in July, even as employment rose, adding pressure for the RBA to keep rates higher.
Australians are taking on second jobs at record levels as households face rising living costs and prepare for higher mortgage repayments, economists say. Data from the Australian Bureau of Statistics showed the share of employed people working more than one job hit an all-time high of 6.9%, after the unemployment rate ticked up.
The key jobless figure rose to 4.6% in August from 4.5% the month before. Analysts had expected unemployment to hold steady, but said the increase was unlikely to prevent the Reserve Bank of Australia from delivering a fourth interest rate hike next Tuesday.
If the RBA follows expectations, its cash rate would move from 4.35% to 4.6%, the highest in nearly 15 years. Officials have warned that inflation remains too high at 3.5%, and the report links renewed price pressures to higher fuel costs amid the ongoing US and Israel war on Iran, which some experts and markets say could raise the odds of another hike on Melbourne Cup day.
While employment increased by 39,000 in the latest labour force data, economists said the rise reflected a jump in part-time work offset by a 6,000 decline in full-time employment. KPMG chief economist Brendan Rynne said the figures reaffirm the economy is weak and growing weaker, pointing to households feeling the pinch from higher inflation and anticipatory higher mortgage rates.