Strong Jobs Growth in Western Australia

Australia gained 14,600 jobs in August, evenly split between full-time and part-time jobs.

The job gains were not evenly distributed across the country. The mining states of Queensland and Western Australia added 12,600 and 15,100 jobs, while the New South Wales economy lost 16,200 jobs in August.

The overall unemployment rate decreased slightly to 4.1 percent from 4.3 percent according to figures released by government statisticians.

In the mining and resources province of Western Australia, the unemployment rate fell from 3.1 percent to 2.8 percent. Victoria’s rate fell slightly to 4.3 percent.

Unemployment in New South Wales however, rose from 4.7 percent to 4.9 percent.

The Australian economy appears to be split in two, with strong growth in the resource states of Queensland and Western Australia while the south eastern states stagnate. This presents a dilemma for Australia’s central bank, which lowered the cash rate from 7.25 percent to 7 percent last week.

The number of Australian job ads fell again in August, marking the largest monthly decline in more than seven years. Job Ads in newspapers fell by 4 percent in August and internet job ads fell by 5 percent, according to the ANZ job survey.

ANZ head of Australian economics, Warren Hogan, said the 4.9 per cent fall in total job ads was the largest monthly decline since February 2001 and the fourth consecutive monthly decline. Mr Hogan said the overall trend in job ads continued to weaken, indicating a significant slowing in hiring intentions across Australia in 2008.