ARN

Job ads fall for third month in a row

Sign that employment growth will slow in the coming months, according to survey

Job advertisements have fallen for the third month in a row, in a sign that employment growth will slow in the coming months, a survey shows.

Total job advertisements on the internet and in major metro newspapers fell by 2.1 per cent in September, the ANZ job advertisements survey showed on Monday.

In the year to September, job ads were down 3.1 per cent.

ANZ head of Australian economics and property research, Ivan Colhoun, said employment growth is easing at a slow rate.

"Moderating job advertising points towards a further softening in employment growth in the months ahead and a modest rise in the unemployment rate," Colhoun said.

"To date, the weakening trend for job advertising is more like the 1995-96 experience, rather than the sharp slowdown during the global financial crisis in 2008-09, or even the more significant slowdown experienced in 2000-01."

Colhoun the softening labour market gives the Reserve Bank of Australia (RBA) a reason to cut the cash rate from its current level of 4.75 per cent.

"In line with a rising unemployment rate, wages and underlying inflation pressures are likely to moderate," he said.

"Accordingly, there is scope for the RBA to reduce interest rates a little as insurance against weaker than expected growth outcomes and even higher unemployment."

He said the ANZ is expecting an interest rate cut at the RBA's November board meeting.

Colhoun said the ANZ is expecting the unemployment rate to rise to 5.5 per cent by mid-2012, from its current level of 5.3 per cent.

Internet job advertisements were down 2.2 per cent in September, but were still 4.0 per cent higher than a year ago.

Job ads in newspapers were flat in September and were 12.8 per cent lower than 12 months ago.

Nominations for the 2012 ARN IT Industry Awards open on Tuesday, June 12.

More about: ANZ, RBA, Reserve Bank of Australia

Comments

Post new comment

The content of this field is kept private and will not be shown publicly.
Users posting comments agree to the ARN comments policy.
Login or register to link comments to your user profile, or you may also post a comment without being logged in.
Related Coverage
Related Whitepapers
Latest Stories
Community Comments
Tags: careers, Ivan Colhoun, job ads
rhs_login_lockGet exclusive access to ARN's news, research and invitation only events.
ARN Distributor Directory
Find distributors by name | vendor | location
Channel Deals
/deals/aca-pacific/441_tape-media-and-imation-dataguard-t5r-reseller-
ACA Pacific

Tape Media and Imation DataGuard T5R Reseller Promotion. Ends June 30, 2012

More details »
ARN Vendor Directory
Find vendors by name | category

iAsset is a channel management ecosystem that automates all major aspects of the entire sales,marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.