Employment

Yesterday employment figures were released showing a drop in total employed of 27,100 in August compared to a rise of 33,600 in July. This was worse than the expectation of a drop of 15,000. Full-time jobs fell by 30,800 and there were 3800 more part-time jobs following a strong rise in July. Hours worked during the month were also down.

The reason the headline rate remained the same at 5.8% was because the participation rate (total number of people actively looking for work) went down to 65.1% from 65.3%. So, despite the headline unemployment rate remaining the same these figures are not that great. Another factor that will cause the RBA to continue its deliberations about a rate hike. Put in the context of the level drop in employment since the GFC started and where many expected employment to get to it's not too bad either.