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The number of employed Australians hits record of more than 11 million | News.com.au
May 13, 2010
The number of employed Australians hits record of more than 11 million | News.com.au
May 13, 2010
THE labour market continues to show its strength with the number of Australians in jobs reaching a record of more than 11 million.
The number of full-time workers increased by more than 37,500 in April, keeping the unemployment rate steady at 5.4 per cent, seasonally adjusted, latest figures from the Australian Bureau of Statistics show.
This is eighth consecutive month Australia has seen a rise in the number of people employed full-time.
The boost in job numbers is set to lead to higher wages and rising interest rates in the medium term.
Strength across the board
TD Securities strategist Roland Randall said that the jobs data was a strong result.
"There is demand for labour across many different industries," Mr Randall said.
"The very tight labour market is going to result in rising wages which will flow through to inflation pressures.
"The Reserve Bank is going to have to hike again. ::
"We're forecasting a three-quarter of a per cent increase - from 4.5 per cent to 5.25 per cent - by the end of the year and we think the peak will be 6 per cent in the middle of next year."
New record of more than 11 million workers
The March unemployment figure was upwardly revised to 5.4 per cent.
Today's figures were slightly above the median market forecast for a 5.3 per cent jobless rate.
The total number of people employed increased by 33,700 people to a new record of 11 million.
Part-time employment fell by 3900 people to 3.29 million.
The number of people unemployed increased in April, up 6500 people to 628,100.
The trend unemployment rate - which the Bureau says is more useful to analyse the underlying behaviour of the rate over time - also remained steady at 5.3 per cent.
An ANZ survey on job ads out this week suggested the pace of employment growth had slowed in April.
Jobless rate to drop further - Swan
In his Budget speech on Tuesday night, Treasurer Wayne Swan said that while other economies had shed hundreds of thousands of jobs, Australia had created 225,000 jobs during the past year.
Treasury has forecast the unemployment rate to fall to 5 per cent by the end of 2010/11 and to decline further to 4.75 per cent a year later.
"Australia experienced a relatively shallow downturn during the global recession, with the unemployment rate peaking at 5.8 per cent compared with an OECD average peak of 8.8 per cent," the Budget papers released on Tuesday said.
In last year's Budget, Treasury forecast the unemployment rate to peak at 8.5 per cent in late 2010. :
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