June 6, 2011
Total job advertisements on the internet and in newspapers fell by 6.5 percent last month following a drop of 0.4 percent in April.
As reported by ANZ today, this is the first time Australia has seen two consecutive months of negative job advertising since 2009.
The Bank’s latest Job Advertisement Series shows newspaper job ads fell by 2.7 percent, while internet job ads declined by 6.6 percent.
Despite the drop, the number of job advertisements is now 8.3 percent higher than a year ago.
Meanwhile, the annual rate of growth in job advertising is now below its long-term trend of 10.7 percent.
ANZ Chief Economist Warren Hogan says job advertising in May was broadly in line with November 2010 levels.
Similarly, the unemployment rate in April has remained generally in line with December 2010 levels at 4.9 percent.
Hogan says recent trends in the job ads series indicate a stable labour market for the next three to six months or so with unemployment likely to hover around 4.75 percent to 5 percent.
“Recent stronger investment spending data in Q1 combined with very robust investment intentions suggest to us that the labour market will strengthen later in the year as capital investment picks up,” he says.
“We expect the unemployment rate to gradually trend down over the year ahead.”
ANZ is forecasting an increase of 14,000 jobs in May – leaving the unemployment rate at 4.9 percent.
Source: QBR online - June 6th 2011