Australia jobs unexpectedly shrink in Aug as full-time roles slump

Published 18/09/2025, 02:54
© Reuters.

Investing.com-- Australia’s labor market weakened unexpectedly in August as full-time jobs dropped and fewer people participated in the workforce, though the unemployment rate held steady, official figures showed on Thursday.

The total number of employed people fell by 5,400 in August, defying expectations of a 21,200 rise, and reversed sharply from 24,500 additions recorded last month, data from the Australian Bureau of Statistics showed.

Australia’s unemployment rate remained steady at 4.2% in August from the previous month, meeting expectations. Hours worked fell 0.4% in the month, reflecting fewer people in full-time roles.

Full-time employment figures dropped nearly 41,000, in contrast to an over 60,000 growth in July.

“The fall in employment was driven by a drop of 41,000 in full-time jobs, partly offset by a 36,000 increase in part-time work,” said Sean Crick, ABS head of labour statistics.

 
Australia’s participation rate– which gauges the percentage of the population that is in the labor sector– fell to 66.8%, missing expectations that it would remain steady at 67.0%.

The decline suggested that the labour market was gradually easing, which is supportive of more rate cuts by the Reserve Bank of Australia.

Last month, the RBA reduced rates by 25 basis points for the third time this year, and signalled further easing if incoming data supports the move. The central bank is expected to hold rates steady at its September meeting before cutting them again in November.

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.