Australia: Unemployment rate unexpectedly drops on fewer job seekers
June 13, 2013
In May, the labour market added 1,100 jobs over the previous month in seasonally adjusted terms. The figure came at a fraction of the 45,000 increase recorded in April (previously reported: 50,100) but contrasted market expectations of a 10,000 drop. The result was mainly driven by a pick-up in part-time positions (+6,400), which offset a drop in full-time jobs (-5,300).
Meanwhile, the number of total job seekers fell by 3,600 persons in May (April: -1,900). As a result, the unemployment rate inched down from a revised 5.6% in April (previously reported: 5.5%) to 5.5% in May, which was a whisker below the 5.6% rate expected by the markets.
FocusEconomics panellists expect the unemployment rate to average 5.4% in 2013, which is unchanged from last month's forecast. Next year, the panel expects the unemployment rate to inch down to 5.3%.
Author: Armando Ciccarelli, Head of Data Solutions