Same Same for Queensland Jobs as Unemployment Remains at 6.1%, Lags National Job Growth
Queensland’s unemployment rate remained at 6.1% (on a trend basis) in July, lagging the national benchmark at 5.4% as job growth in both part-time roles than full-time positions remains subdued.
The Chamber of Commerce and Industry Queensland (CCIQ) notes that of greatest concern is the fact that despite the creation of 14,400 jobs year to date the bulk of new positions have come in the form of part-time roles.
Despite strong population growth there is simply not enough jobs being created to bring down the overall jobless rate for the state.
CCIQ Head of Media and Industry, Dan Petrie said that the job creation challenge further highlights the emergence of a two-speed economy within Queensland as the gap between the regions and the cities widens.
“We are seeing a challenging outlook in regional Queensland only marginally offset by a stronger South East corner and it is high time that policy makers do whatever it takes to ensure job creation is the first, second, third and only priority in front of them.
“The key is providing the private sector with the confidence to reverse this trend where weak jobs growth will only continue to weigh on the state economy,” Mr Petrie said.
The deterioration in the labour market is also reflected in the participation rate and employment to population ratios which have reversed through 2018.
The participation rate for July at 65.7% (down from 66.0% in Dec 2017 ) and the employment to population ratio at 61.7% (down from 62.1 in Dec 2017) confirm a mindset of workers feeling discouraged in the current economic climate.
CCIQ says the economic challenge nationally continues around wages growth where the private sector wages growth remains anchored at 2.1% (public sector wages growth was 2.4%) for the June quarter.
CCIQ welcome a pick-up in the state’s mining sector and a series of projects forecast to boost activity in the coming months.
“Infrastructure, mining and some positive news around several private sector projects coming online are obviously welcome and can’t come online soon enough,” Mr Petrie said.
Note: Data is sourced from the ABS and is based on trend data.