ASB Expects to Report on Thursday 5.9% Unemployment Rate in May
By Vittorio Hernandez | June 11, 2014 7:54 AM EST
The Australian Bureau of Statistics (ASB) will release on Thursday the country's unemployment figure, and it is expected to report a 5.9 percent joblessness rate for May.
That would be slightly higher than the 5.8 per cent logged in April, reports The Australian.
Economists surveyed by AAP said that they expect that the Australian economy would have added 10,000 jobs in May, while the labour participation rate would remain unchanged at 64.7 per cent.
But JP Morgan chief economist Stephen Walters pointed out that with the mining industry into its export phase, there is less need for workers compared to the investment boom phase that was very labour intensive.
"So there's a lot of jobs, probably 40,000 or 50,000 jobs, being spun out of the mining investment boom and they need to be taken up somewhere else ... But it doesn't seem like there's a lot of appetite out there for hiring, particularly in retail, manufacturing and finance," Walters explained.
In the public sector, another 16,500 jobs would be cut, based on the federal government's May budget, which had business worried about consumer confidence due to the tough spending cuts in the budget.
"The main thing business needs to see is stronger demand, which has been given a boost by low interest rates and the decline in the Aussie dollar from 2011 levels," said AMP Capital chief economist Shane Oliver.
To contact the editor, e-mail:
Most Popular Slideshows
- Real Life ‘Frozen’: Snow Overwhelms The US, Kills 7; More To Come (Pictures)
- Angelina Jolie, Brad Pitt in Sydney for ‘Unbroken’ Red Carpet Premiere [PHOTOS]
- ‘The Walking Dead’ Season 5, Episode 8 Spoilers: Daryl Dixon Is Set To Burn The Place Down in ‘Coda’
- G20 Summit Awkward Moments: Putin Yawns, Mystery Bubbles Appear, F18 Drama Ensues
Join the Conversation
- Air Canada Expands Vancouver Boeing 787 Dreamliners To Beijing, Seoul, Shanghai, Tokyo-Narita Routes
- Canada Consumer Alert: Tim Hortons Prices Of Coffee, Sandwiches To Go Up Effective Nov 26
- Doomsday Seed Vault Safeguards More Marijuana Seeds
- Travel Alert: Malaysia’s AirAsia Cuts Number Of Australian Flights
- Australia, NZ Ditch Proposed Joint Therapeutic Products Agency
- Walmart Early Price Matching Special Event On Nov. 21, 2014 Matches Its Competitors' Black Friday 2014 Prices And Includes Exclusive Deals For Samsung LED HDTVs And iPad Air 2 [WATCH VIDEO]
- US Plane Flying Over Russian Skies Spotted; Vladimir Putin Ready For 'Practical Cooperation' With US
- Alleged 'Microsoft Lumia 1030' Front Panel Leaked With Capacitive Buttons; 'Xbox One' Owners To Get Free Goodies On Anniversary
- Nexus 6 Release Date And Price Under AT&T, T-Mobile And Sprint Listed
- Walmart Pre-Black Friday 2014 Sale On Nov. 21, 2014 Includes Discounts On The 'NBA 2K15' For PS4 And The 'Skylanders Trap Team’ Starter Kit [WATCH VIDEO]
- Cold War 2: Russia, China And North Korea’s Blacklisted Company Fortify Alliance -- Reports
- Black Friday 2014 Sale: Top Deals On Game Consoles Xbox One, PS4, Nintendo Wii U And More