Australian unemployment eases

The ABS is out with September Labour Force and the news is decent:

SEPTEMBER KEY POINTS

TREND ESTIMATES

  • Employment increased by 20,200 to 12,942,800 people. Full-time employment increased by 9,000 to 8,840,200 people and part-time employment increased by 11,300 to 4,102,600 people.
  • Unemployment increased by 1,600 to 718,000 people.
  • Unemployment rate remained steady at 5.3%.
  • Participation rate remained steady at 66.2%.
  • Monthly hours worked in all jobs increased by 2.7 million hours to 1,783.7 million hours.

SEASONALLY ADJUSTED ESTIMATES

  • Employment increased by 14,700 to 12,944,000 people. Full-time employment increased by 26,200 to 8,847,200 people and part-time employment decreased by 11,400 to 4,096,900 people.
  • Unemployment decreased by 8,100 to 709,600 people.
  • Unemployment rate decreased by 0.1 pts to 5.2%.
  • Participation rate decreased by 0.1 pts to 66.1%.
  • Monthly hours worked in all jobs increased by 4.1 million hours to 1,787.3 million hours.

LABOUR UNDERUTILISATION

  • The monthly trend underemployment rate remained steady at 8.4%. The monthly underutilisation rate remained steady at 13.7%.
  • The monthly seasonally adjusted underemployment rate decreased by 0.2 pts to 8.3%. The monthly underutilisation rate decreased by 0.2 pts to 13.5%.

Hit expectations on the button for jobs growth. Little drop in UE rate was better than expected as PR came off a touch. AUD up on nothing burger.

Houses and Holes

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the fouding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.

He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.

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Comments

  1. This number should put the RBA on hold for rest of 2019. This may be the bottom for interest rates for now as business conditions for my SME improving slightly. I tend to tick up or down ahead of the official data.

  2. If immigration was only 1/3 of what it is these numbers would have trigger wage hikes left, right and centre.

  3. Those rate cuts sure are doing great for the UE rate!

    Things are just playing out beautifully, really. Looking forward to the next cut in February. That will be fun!

    • proofreadersMEMBER

      Yep – Captain Phil moved the UE goalpost to 4.5%, which was always mission impossible, but will achieve the real goal of getting negative interest rates so that all Strayan mortgagors are paid to have their housing loans?