“Australia’s unemployment rate has tumbled to 5.5 per cent as another 42,200 jobs were created in May.
In seasonally adjusted terms, the number of full time jobs rose by 52,000, while part time employment fell by 10,000.
It is the eighth consecutive month full time employment has risen, with 124,000 full time jobs created since September 2016.
The strong result was supported by an only marginal increase in the number of people looking for work, with the participation rate rising by less than 0.1 per cent to 64.9 per cent.
Other measures of labour market tightness showed the underemployment rate — where an employee works fewer hours than desired — just edged up, while hours worked rose by 1.9 per cent over the month.”
- According to Capital Economist Paul Dates, “The much-stronger-than-anticipated rise in employment in May and the larger-than-expected fall in the unemployment rate will go some way to quashing growing talk of the chance of another interest rate cut by the RBA later this year”
- Despite, the decrease in unemployment, there has still been weak economic growth and thus weaker wage growth.
- The Australian dollar spiked from $US75.85c to $US76.15c due to the jobs growth