The unemployment rate in Australia has now been above 6 per cent – and peaking at 6.3 per cent – since June previous year, a trend watched closely by the Reserve Bank of Australia as the country makes the transition away from mining-related investment and employment. That number equates to approximately 16,600 people that are out of work, up from 15,500 the month before.
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The jobless rate held at 6.2 per cent, matching the median forecast.
ANZ economists, who are forecasting two RBA rate cuts in the first half of 2016, also expect the unemployment rate to remain around 6.25 per cent for an extended period.
“On average, NSW is creating most of the jobs in Australia, but the Queensland economy has been creating more jobs as well recently”, Mr Colhoun said.
“It’s been tough going being an optimist on Australia in recent years, but the data refuse to ratify the gloomiest of predictions”, said Annette Beacher, head of Asia-Pacific economic research at TD Securities in Singapore.
Commonwealth Bank economist Gareth Aird said a weaker month of jobs growth is inevitable after strong gains in July and August. Sales last month were 7.7 percent higher than in September a year ago.
But it is encouraging that jobless rates are not rising significantly in the bigger states, he said.
“The 5,100 decline in employment in Australia in September will spur speculation that the RBA may yet cut rates below 2 per cent”, said Capital Economics’ chief economist for Australia Paul Dales.
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“Mining overall is therefore not driving up the unemployment rate that much, while hiring is happening in labor- intensive areas of the economy like health care, tourism, and many other services”, he added.
