Job ads drop massive 8.1 per cent in January

4 February 2010

The number of jobs ads posted over the month of January has fallen, a decline for the first time in three months after speculation that the Australians jobs market was recovering. According to the latest figures from the ANZ Job Ads survey, the number of jobs ads in declined by 8.1 per cent, seasonally adjusted. This translates to around 134,106 jobs advertised per week in January.

This decline follows two months of positive movement with November and December posting growth of 5.2 per cent and 4.6 per cent respectively. The survey is often used as a good indicator of the strength of the labour market with industry experts saying this decline is not necessarily representing a decline in the overall jobs market with strong employment figures also being reported. However, it should be noted that while the results from the jobs ads survey is 26 per cent lower than in January 2009 it is still well above the lowest recorded figure from July 2009.

For example, Australian statistics reports have shown that Australia's employment levels have reached their highest level on record with 10.9 million Australians currently employed while at the same the national unemployment also declined to 5.5 per cent from a downwardly revised 5.6 per cent on December.

The number of posted jobs ads as broken down across the two mediums available, newspapers and online ads, reflected declines with individual results showing:

  • Newspapers number of jobs ads had posted the largest decline of 16.6 per cent
  • Internet job ads fell by 7.5 per cent

When it came down to a state breakdown it was Victoria that recorded the worst results for newspapers jobs ads with a massive 26.9 per cent slip on December jobs ads figures. This closely followed by Tasmania which recorded a decline of 25.6 per cent.

It was Western Australia and Northern Territory that posted the smallest declines overall with 4.6 per cent and11.9 per cent, respectively.

ANZ acting chief economist Warren Hogan stated that while the survey did report declines, it should be viewed as an improvement for the jobs market due to the trends that are appearing.

"The monthly decline in Job Advertisements highlights the fragility inherent in the current recovery phase, but we should see more solid growth rates as we move further into 2010,"

"Despite this month's decline relative to December, total job advertisements are continuing to improve month on month in trend terms. This has already translated into solid employment growth through Q4 2009 and helped to keep the unemployment rate in check, despite Australian accelerating population and labour force growth."

"In the near term, the forward indicators appear positive for more employment growth through the first half of 2010, although probably at a slower pace than seen over the past four months. The ANZ, and other, job ads surveys are improving, albeit at a softening pace, retail sales turnover appears to be holding up well in the post-stimulus period."

It is expected that the January Labour Force report will confirm the expectation that individual sectors are performing well and that there will be another rise in employment figures.

"With the labour force now growing by an average of up to 29,000 per month (average for the last four months) we will need to see net jobs growth of at least 30,000 in January in order to see a further immediate improvement in the number of unemployed or to move the unemployment rate from its current 5.5 per cent (seas. Adj.)"


Back to News Index | Back to Home