Stimulus led to job surge:government

The Federal government is claiming full credit for January’s job surge, saying it would not have occurred without the stimulus package.

The Deputy Prime Minister, Julia Gillard, who made that claim also said Australia’s unemployment would be 200,000 higher now, if the Coalition had been in power when the global economic crisis struck.

The news, though, is not all good.  Economists are warning that the nation’s strong performance, in the job market, makes another interest rate rise more likely next month.

The Australian Bureau of Statistics reports that 52,700 Australians found jobs last month – and the number unemployed fell by 22,300.

This took the nation’s unemployment rate from 5.5 per cent in December to just 5.3 per cent in January.

The nation’s critically important work force participation rate held steady at 65.3 per cent.

These are all seasonally adjusted figures.

Many of those who found jobs in January, though, had to be content with part time work.

The Bureau also reported that part time employment increased by 36,900 during the month, while full time employment rose by just 15,900.

Even so, the figures were better than many economists had expected.

The bureau said, too, that the number of Australians seeking full time work fell by 17,900 during the month, while the number looking for part time work fell by 4,400.