Australian unemployment rises to highest level since pandemic

Summarised from 2 outlets · Updated 15 Oct, 02:02 · Archive

Australia's unemployment rate rose to 4.7 per cent in September, the highest since the Covid pandemic.

Australia's unemployment rate rose to 4.7 per cent in September from 4.6 per cent in August, according to the Australian Bureau of Statistics. The figure represents the highest jobless rate since the Covid pandemic. The number of Australians who found work decreased by 39,000.

The Reserve Bank has been raising interest rates to slow inflation, which stands at 4 per cent, towards its target of 2 to 3 per cent. RBA governor Michele Bullock has said unemployment would need to rise to help bring down inflation. The weaker jobs figures suggest this process is underway.

Economists said the data supports holding interest rates when the Reserve Bank next meets on Melbourne Cup day. BDO chief economist Anders Magnusson said the jobs figures weaken the case for further rate rises in November. 'Higher interest rates and slower economic activity may be easing the competition for workers that contributed to domestic inflation pressures in recent years,' he said. Oxford Economics economist Oscar Guth said the rising unemployment rate 'gives the RBA more room to be patient and assess incoming inflation data before raising rates again'.

How it is being reported

• Australian unemployment rate rises again as ABS releases September jobs dataThe jobs market is finally cooling, which could have a silver lining for mortgage holders hoping for rate relief.Perth Now · 15 Oct, 01:50
• Australian unemployment rate rises again as ABS releases September jobs dataThe jobs market is finally cooling, which could have a silver lining for mortgage holders hoping for rate relief.The West Australian · 15 Oct, 01:50

In this story: Reserve Bank of Australia · Australian Bureau of Statistics · Michele Bullock · Anders Magnusson · Oscar Guth · Australia

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