We get the data for Australia's jobs markets for November 2024 today. Due at 11.30 am Sydney time
- 0030 GMT and 1930 US Eastern time
Australia's labour report improved in October. The report showed signs of job market resilience amid a gradual economic slowdown. Employment increased by 15,900 positions, predominantly in full-time roles, marking a deceleration from the previous month's substantial gain of 61,300 jobs. Despite this slowdown, the unemployment rate remained steady at 4.1% for the third consecutive month, with a slight dip in the participation rate to 67.1%.
The public sector played a significant role in employment growth, accounting for 91% of the 160,100 new jobs in the September quarter, primarily within education, healthcare, and public service sectors. This trend has contributed to a decline in productivity, particularly in government-aligned roles, impacting long-term economic growth and living standards.
The labour market's robustness has influenced monetary policy expectations. The Reserve Bank of Australia (RBA) has maintained the cash rate at 4.35%, with projections indicating a potential rate cut around May 2025, contingent upon sustained improvements in inflation and productivity metrics. Having said this, some of the 'pivot' language in the RBA Statement, and comments from Governor Bullock at the press conference following, have heightened pricing for a cut in February.
Another solid lift in employment is expected in the November data today. As yet, the slight slowing in the labour market is not a concern for the RBA.
