The Australian Bureau of Statistics revealed yesterday, that there has been an employment surge in Australia last month.
The Australian economy generated over 50,000 jobs in April, causing a .01% drop in the unemployment rate from 5.6% to 5.5%.
This came as a surprise to many economists who expected the rate to flat line or increase. The Reserve Bank of Australia also shared this view, when it cut interest rates to a 53 year low this week, before the announcement was made. However, it is believed the RBA will probably not make further follow-up rate cuts when the board meets in June.
CommSec chief economist Craig James said that while the job market isn’t as strong as the latest numbers imply, the result should be celebrated.
“Overall the job market is in good but probably not great, shape,” he said. “Still the jobless rate remains well below 6%, a level that is has held below for almost a decade. The last time that the jobless rate below 6% for an extended period was in the 1970s. Clearly this is a result to be celebrated.”The Australian Bureau said that total employment was up to 11.6 million due to 50,100 increase in April. Full time employment rose to 8.16 million and part time employment was up to 3.5million.
The share of working age Australians in work or looking for work rose to 65.3%, up from 65.2% in March, despite being predicted to decrease by 65.1%.
The Australian dollar also jumped immediately after the good news was released, from $US1.0248 to $US1.0189.
Speaking after the data revelation, Employment Minister Bill Shorten said Australia’s employment record was something to be proud of.
“Around 490 jobs per day have been created since Labor was elected in 2007, an incredible achievement, especially since many advanced economies continue to grapple with weak growth and stubbornly high unemployment.”