Having bounced 2.5% in April, Australian jobs advertisements held steady in May.
The latest ANZ job ads survey revealed internet job postings increased by 0.1%, offsetting a 4.3% decline in newspapers. Over the past year internet postings have risen by 15.3%, overshadowing a 23.2% slump in the surveys smaller newspaper component.
Despite the flat outcome of May total advertisements have increased by 18,000, or 14.1%, over the past 12 months.
Here’s ANZ chief economist Warren Hogan on the subdued monthly reading:
“After posting solid growth in April, job advertisements remained flat at an elevated level in May. However, trend growth has now been slowing for the past five months.
This slightly weaker result is in line with relatively soft confidence across both the household and business sectors. Although consumer confidence in economic conditions has improved on the back of the Commonwealth Budget, it remains below long-term average levels, weighed down by elevated unemployment and a soft labour market.
Businesses also remain cautious, with soft growth in consumer demand and spare capacity impacting on confidence, hiring intentions and investment plans.
Going forward, these labour market outcomes tend to support our expectation of below-trend economic growth through 2015. We continue to expect that the RBA will keep the cash rate on hold for an extended period, as it waits to see to what extent the two previous rate cuts are able to stimulate activity.”