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ABC News
ABC News
Business
Stephen Letts

Jobs growth remains robust pushing unemployment down to 5.5pc

Australia's unemployment rate has dipped to 5.5 per cent following another strong spurt in jobs growth during September.

In seasonally adjusted figures, 19,800 new jobs were created last month.

Breaking the figures down, there were 6,100 new full-time jobs and 13,700 part-time jobs created.

They follow an extremely robust — although revised down —53,000 new jobs in August.

The ABS said in trend terms — adjusting for volatility in the survey — unemployment has fallen to its lowest point in four years.

"The trend unemployment rate had been hovering in the range of 5.6 to 5.8 per cent for almost two years, but has now dropped to a four year low of 5.5 per cent," ABS chief economist, Bruce Hockman, said.

"Full-time employment has now increased by around 271,000 since September 2016, and makes up the majority of the 335,000 net increase in employment over the period," Mr Hockman said.

Strongest jobs growth in 12 years

It has now been 12 months since the number of jobs last shrank, with the economy enjoying its strongest annual employment growth since August 2005.

ANZ's Felicity Emmett said an ongoing improvement in the underemployment rate, were workers are seeking more hours, is a particularly welcome development.

"The gradual reduction of spare capacity likely to eventually put pressure on wage growth," Ms Emmett said.

"We do think there has probably been a little bit of overshoot in the official numbers lately, so we expect some moderation in employment growth over coming months."

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