- Stephen Walters, chief economist at JPMorgan
Employers in Australia provided a record number of jobs in August, while unemployment declined to the June's level last month, sparking optimism over the outlook for the labour market during Australia's economic transition. The number of people employed rose by 121,000 to 11.704 million, led by an increase in part-time jobs, which was well ahead of expectations for a 15,000 gain. The number of full-time jobs soared by 14,300 in August, and part-time employment jumped by a record 106,700. Australia's employment increase in August is equivalent to an increase of around 1.3 million in U.S. payrolls after taking into consideration the different sizes of the two labour markets. The jobless rate, consequently, fell to 6.1% from the highest level in 12 years of 6.4%, while the participation rate rose to 65.2%, from 64.8% in July. Although the latest employment data marks a tentative improvement in job growth, it is likely to be some time before the unemployment rate falls consistently, according to the Reserve Bank of Australia. Leading indicators of labour demand have also been pointing to a pickup, with ANZ's survey of job advertisements increasing for a third consecutive month in August to be up almost 8% on the year. Meanwhile, the RBA is holding interest rates at record low levels to stimulate demand in non-mining sectors. The Australian Dollar traded at 91.86 U.S. cents, from 91.57 cents before the data was released.
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