REPEAT:MNI Analysis: Australia Posts Record Annual Jobs Growth

Repeats Story Initially Transmitted at 01:13 GMT Oct 19/21:13 EST Oct 18

--September Labor Force Data Adds To Recent Strong Jobs Data

By Sophia Rodrigues

     SYDNEY (MNI) - Australia posted a record streak of uninterrupted job gains

in the year to September, recording an average jobs growth of around 31,000 per

month for 12 straight months of rising employment.

     The total rise in jobs during the period was 371,500 which beat the

previous 12-month record of 368,400 in 1989.

     The data will comfort the Reserve Bank of Australia as continued growth in

jobs is important to support household spending in the economy. Worries over the

outlook for household spending has increased because of the pressure they may be

facing from slow growth in jobs and wages and this could increase when interest

rates rise. Poor retail sales data in recent months only adds to that worry.

     Data published by the Australian Bureau of Statistics Thursday showed the

jobless rate fell to 5.5%, matching the rate last seen in May. 

     The economy added 19,800 jobs in September while the number of unemployed

fell 11,800.

     In the past year, employment has grown 3.1%, surpassing the 2.6% rise in

labor force, resulting in a fall in the jobless rate to 5.5% from 5.7% in

September last year. The majority of gains in employment came from full-time

jobs which rose 316,000 over the past year, an average of 26,300 per month.

Part-time jobs rose 55,500 in the period, an average of 4,600 per month.

     The number of unemployed fell 5,100 or 0.7% in the past year, more than

accounted for by the 16,300 drop in the last three months. 

     The employment-to-population rate remained strong at 61.6% and

participation rate was elevated at 65.2%.

     Hours worked rose 11.2 million hours to 1,718 million hours.

--MNI Sydney Bureau; tel: +61 2-9716-5467; email: sophia.rodrigues@marketnews.com