Australian job market sees slowdown in June

Australian job advertisements continued their downward trend in June, marking the fifth consecutive month of decline, according to data released on Monday by Australia and New Zealand Banking Group (ANZ) and employment website Indeed.

This ongoing decrease reflects a softening labour market amid rising interest rates and a slowing economy.

Job ads dropped by 2.2 per cent in June, following a 1.9 per cent decline in May. The trend worsened in the second quarter, with a 7.1 per cent decrease compared to the first quarter’s 3.0 per cent drop.

ANZ economist Madeline Dunk anticipates a modest rise in the unemployment rate to 4.3 per cent, despite the weakening job market. The data revealed a decrease in job postings for cleaners, tradespeople, and food service workers in June.

The cooling job market has influenced the RBA’s decision to keep interest rates at 4.35 per cent for five consecutive meetings. Despite this, inflation is higher than expected, leading to a 65 per cent chance of a rate hike in August.

Attribution: Reuters