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Australia (May) Jobs +75.9K (vs. +15K expected) & Unemployment rate 3.6% (vs. 3.7% exp)

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Australian labour market report for May 2023 – huge beats will ignite speculation the Reserve Bank of Australia have more rate hikes still ahead.

Employment
Change: +75.9K

  • expected +15K, prior -4.3K

Unemployment
Rate: 3.6%

  • expected 3.7%, prior 3.7%

Full-Time
Employment Change: +61.7K

  • prior was -27.1K

Part-Time
Employment Change: +14.2K

  • prior was +22.8K

Participation
Rate: 66.9% (at a record high)

  • expected 66.7%, prior was 66.7%

Via the Australian Bureau of Statistics, first the ‘trend’ numbers. These vary a little from the seasonally adjusted numbers reported above

In trend terms, in May 2023:

  • unemployment rate remained at 3.5%.
  • participation rate remained at 66.8%.
  • employment increased to 14,003,400.
  • employment to population ratio remained at 64.4%
  • underemployment rate increased to 6.3%.
  • monthly hours worked increased to 1,944 million.

Adding in more for the seasonally adjusted terms, in May 2023:

  • employment increased to 14,011,800.
  • employment to population ratio increased to 64.5% (at a record high)
  • underemployment rate increased to 6.4%.
  • monthly hours worked decreased to 1,944 million.

So, Australia has hot inflation and a hot labour market. RBA sweating on this. Rate hike incoming at the July meeting, on the 4th.

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