We get the data for Australian labor markets for November 2024 today. Due at 11.30am Sydney time
- 0030 GMT and 1930 US Eastern time
Australia's jobs report improved in October. The report showed signs of stability in the labor market amid a gradual economic slowdown. Employment increased by 15,900 positions, mostly in full-time positions, marking a decrease from the previous month's substantial gain of 61,300 jobs. Despite this slowdown, the unemployment rate remained stable at 4.1% for the third consecutive month, with a slight decrease in the participation rate to 67.1%.
The public sector played an important role in employment growth, accounting for 91% of the 160,100 new jobs in the September quarter, particularly within the education, health care and public service sectors. This trend has contributed to a decline in productivity, particularly in government-related occupations, affecting long-term economic growth and living standards.
The strength of the labor market has influenced monetary policy expectations. The Reserve Bank of Australia (RBA) has kept the cash rate at 4.35%, with projections indicating a possible rate cut around May 2025, dependent on 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 subsequent press conference, have raised prices for a February cut.
Another strong increase in employment is expected in today's November data. So far, the slight slowdown in the labor market is not a concern for the RBA.
