Unemployment falls below 5 per cent for the first time in a decade – stirring fears of an early interest rate rise
- Unemployment in June fell to 4.9 per cent- the lowest level since June 2011
- This occurred as 29,100 new employment positions were created in a month
- Reserve Bank of Australia wants jobless rate under 5 per cent before rates raised
Australia’s unemployment rate has fallen below 5 per cent for the first time in a decade.
The jobless level fell to 4.9 per cent in June, a level unseen since June 2011 as 29,100 new positions were created last month, the Australian Bureau of Statistics has revealed.
The Reserve Bank of Australia wants unemployment to fall below 5 per cent before it considers raising interest rates from a record-low of 0.1 per cent.
Governor Philip Lowe has previously said the cash rate would not increase until 2024 ‘at the earliest’ but a lower jobless rate could see monetary policy tightened if it led to wage inflation sooner.
Last month, a record 13.154million Australians were employed, with the figures taken during the first fortnight of June before greater Sydney was plunged into lockdown.
Australia’s unemployment rate has fallen below 5 per cent for the first time in a decade. The jobless level fell to 4.9 per cent in June, a level unseen since June 2011. Pictured is a customer at Bankstown in Sydney’s south-west