{"id":260,"date":"2025-03-20T17:44:11","date_gmt":"2025-03-20T17:44:11","guid":{"rendered":"http:\/\/localhost:10569\/?p=260"},"modified":"2025-06-13T12:18:26","modified_gmt":"2025-06-13T12:18:26","slug":"unemployment-rate-steady-at-4-1pc-in-february-as-employment-falls-by-53000","status":"publish","type":"post","link":"https:\/\/hwinsight.com.au\/index.php\/2025\/03\/20\/unemployment-rate-steady-at-4-1pc-in-february-as-employment-falls-by-53000\/","title":{"rendered":"Unemployment rate steady at 4.1pc in February as employment falls by 53,000"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"260\" class=\"elementor elementor-260\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3df34ec8 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3df34ec8\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-7303015b\" data-id=\"7303015b\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-1eff9733 elementor-widget elementor-widget-text-editor\" data-id=\"1eff9733\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Australia&#8217;s unemployment rate remained steady at 4.1 per cent in February, as labour force participation declined.<\/p><p>According to the Australian Bureau of Statistics (ABS), 52,800 jobs were lost from the economy, well below forecasts of a 30,000 increase in employment.<\/p><p>The drop in employment came as fewer people were in work or looking for a job, with the participation rate falling to 66.8 per cent, from a record high of 67.3 per cent in January.<\/p><p>The ABS attributed part of the fall in employment to fewer older workers returning to work in February, with employment among older age groups lower than in the same month in 2024.<\/p><p>&#8220;This follows higher levels of employment in these age groups in recent years, particularly in 2024, alongside growth in the employment-to-population ratio over the last few years,&#8221; ABS head of labour statistics Bjorn Jarvis said.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6da5f42 elementor-widget elementor-widget-spacer\" data-id=\"6da5f42\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b1a58f7 elementor-widget elementor-widget-text-editor\" data-id=\"b1a58f7\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>&#8220;In contrast, we continue to see growth in employment for people aged between 15 and 54 over the year.&#8221;<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9fc6bca elementor-widget elementor-widget-spacer\" data-id=\"9fc6bca\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b3f245e elementor-widget elementor-widget-text-editor\" data-id=\"b3f245e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>In January, the unemployment rate edged higher to 4.1 per cent, but the rate of workforce participation hit a new high and the number of jobs added significantly beat forecasts.<\/p><p>&#8220;The participation rate is still relatively high, having reached a historical high last month, and is 0.1 percentage points higher than this time last year,&#8221; Mr Jarvis said.<\/p><p>The Reserve Bank&#8217;s latest forecasts, released last month, are for the unemployment rate to average 4.2 per cent by mid-year, and remain around that level over the next few years.<\/p><p><strong>Seasonal return to work affecting figures<\/strong><\/p><p>January&#8217;s jobs data was impacted by Australians waiting to return to work or start new roles after the summer break and economists have observed seasonal effects still playing out in February.<\/p><p>&#8220;We wouldn&#8217;t be surprised if the sharp fall in employment last month is revised to a smaller one over the coming months,&#8221; Capital Economics head of Asia-Pacific Marcel Thieliant wrote.<\/p><p>Betashares chief economist David Bassanese said the &#8220;apparent steep fall in employment during February needs to be taken with a grain of salt&#8221;, pointing to &#8220;turn-of-the-year seasonal adjustment problems&#8221; since the pandemic.<\/p><p>The ABS said there were higher levels of retirement in Australia in recent month, and that it would release more detailed data on the trend next week.<\/p><p><strong>Unemployment rate<\/strong><br \/>Seasonally adjusted<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9aee6c9 elementor-widget elementor-widget-spacer\" data-id=\"9aee6c9\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3ee5d88 elementor-widget elementor-widget-image\" data-id=\"3ee5d88\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"757\" height=\"426\" src=\"https:\/\/hwinsight.com.au\/wp-content\/uploads\/2025\/03\/rate.jpg\" class=\"attachment-large size-large wp-image-2834\" alt=\"\" srcset=\"https:\/\/hwinsight.com.au\/wp-content\/uploads\/2025\/03\/rate.jpg 757w, https:\/\/hwinsight.com.au\/wp-content\/uploads\/2025\/03\/rate-300x169.jpg 300w, https:\/\/hwinsight.com.au\/wp-content\/uploads\/2025\/03\/rate-600x338.jpg 600w\" sizes=\"(max-width: 757px) 100vw, 757px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2a5dc25 elementor-widget elementor-widget-text-editor\" data-id=\"2a5dc25\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\tSource: ABS\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7712d3f elementor-widget elementor-widget-spacer\" data-id=\"7712d3f\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9de3728 elementor-widget elementor-widget-text-editor\" data-id=\"9de3728\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><strong>Drop unlikely to &#8216;derail jobs boom&#8217;<\/strong><\/p><p>The Australian dollar posted a modest decline following the release of the figures.<\/p><p>The RBA board will deliver its next interest rate decision on April 1 and the tight labour market has been on their radar, but economists do not expect this latest data to have a significant impact on their decision.<\/p><p>Mr Thieliant said it provided &#8220;no reason for the RBA to panic&#8221;, given the unemployment rate remained steady despite the shock decline in employment.<\/p><p>&#8220;Given that economic activity is now rebounding, we doubt that the labour market will loosen much further,&#8221; he said.<\/p><p>&#8220;Accordingly, we still think that the [RBA] will only deliver a very shallow loosening cycle and have pencilled in just two more 25bp rate cuts.&#8221;<\/p><p>Callam Pickering, an economist at jobs site Indeed, noted it was the biggest fall in employment since December 2023 but described the jobs market as remaining &#8220;healthy&#8221;.<\/p><p>&#8220;That earlier decline didn&#8217;t derail Australia\u2019s jobs boom and I suspect that&#8217;ll be true of the February decline as well,&#8221; he said.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-88ffa28 elementor-widget elementor-widget-spacer\" data-id=\"88ffa28\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fceb387 elementor-widget elementor-widget-text-editor\" data-id=\"fceb387\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>&#8220;The Reserve Bank is unlikely to be too concerned\u2026 Certainly a decline in employment is undesirable, but the labour market remains incredibly tight.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3632aa3 elementor-widget elementor-widget-spacer\" data-id=\"3632aa3\" data-element_type=\"widget\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d4fddf5 elementor-widget elementor-widget-text-editor\" data-id=\"d4fddf5\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>&#8220;Another weaker outcome in March, however, would certainly give them a lot to think about.&#8221;<\/p><p>Mr Pickering forecast another interest rate cut in May or July.<\/p><p>ANZ Research had earlier forecast an August cut and maintained that call after Thursday&#8217;s release.<\/p><p>&#8220;We don&#8217;t think this print in isolation will have a material impact on the RBA\u2019s monetary policy decisions moving forward,&#8221; economist Aaron Luk and head of Australian Economics Adam Boyton wrote in a note.<\/p><p>&#8220;Labour market fundamentals remain solid, with an overall robust trend in employment growth, a low unemployment rate and an elevated level of job advertisements.&#8221;<\/p><p>The rate of underemployment, which measures those available to work and wanting more hours, decreased slightly to 5.9 per cent, and was 2.8 percentage points lower than March 2020.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f3dff1f elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"f3dff1f\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7e3a43d elementor-align-center elementor-widget elementor-widget-button\" data-id=\"7e3a43d\" data-element_type=\"widget\" data-widget_type=\"button.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-button-wrapper\">\n\t\t\t\t\t<a class=\"elementor-button elementor-button-link elementor-size-sm\" href=\"https:\/\/www.abc.net.au\/news\/2025-03-20\/unemployment-rate-steady-in-february-abs\/105074546\">\n\t\t\t\t\t\t<span class=\"elementor-button-content-wrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"elementor-button-text\">Read More<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Australia&#8217;s unemployment rate remained steady at 4.1 per cent in February, as labour force participation declined. According to the Australian<span class=\"more-dots\">&#8230;<\/span><\/p>\n","protected":false},"author":1,"featured_media":2605,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-260","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Unemployment rate steady at 4.1pc in February as employment falls by 53,000 - HW Insight<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/hwinsight.com.au\/index.php\/2025\/03\/20\/unemployment-rate-steady-at-4-1pc-in-february-as-employment-falls-by-53000\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Unemployment rate steady at 4.1pc in February as employment falls by 53,000 - HW Insight\" \/>\n<meta property=\"og:description\" content=\"Australia&#8217;s unemployment rate remained steady at 4.1 per cent in February, as labour force participation declined. 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