Australia’s unemployment rate unexpectedly fell in January, despite a plunge in full-time jobs, underscoring the mixed picture of the country’s labor market.
Australia’s labor market is sending mixed signals following lackluster hiring last year, when full-time jobs virtually stagnated as gains were primarily part-time. The unemployment rate held below 6 percent partly due to discouraged job-seekers giving up the hunt, underscoring spare capacity in the labor market. The Reserve Bank of Australia last week cited forward indicators suggesting an improved hiring outlook while predicting the jobless rate was unlikely to fall far because of a high level of under-employment.
