Workers stay briefly provide however the anticipated uptick in migration will probably assist companies fill a few of their empty roles.
The excessive labour market tightness of final yr is anticipated to proceed into 2023, with the Australian Bureau of Statistics as a result of launch its January jobs knowledge on Thursday.
The unemployment charge hovered round 50-year lows for a lot of final yr, touchdown at 3.5 per cent in December.
The jobs knowledge can be watched keenly by the central financial institution due to the connection between the tight labour market and better wages, which may feed into inflation.
The Reserve Bank delivered its ninth rate of interest hike final week in its battle in opposition to excessive inflation.
St George economist Jameson Coombs mentioned it was clear from the official jobs knowledge there was little further slack left within the labour market, which was inflicting employment development to de-accelerate and turn out to be extra unstable.
The financial institution’s economists count on the unemployment charge to carry agency at 3.5 per cent in January and employment to carry by 15,000.
Mr Coombs mentioned it could be attention-grabbing to learn how shortly the labour provide was increasing.
“The reopening of international borders has seen a surge in arrivals who are expected to join the labour market and help meet some of the shortages currently experienced by businesses,” he mentioned.
Mr Coombs mentioned the inflow of labour provide would drive sturdy employment development early in 2023.
“However, as growth in labour supply begins to outpace demand, we are expecting to see an increase in the unemployment rate towards more sustainable levels.”
Source: www.perthnow.com.au
