ABS head of labour statistics, Sean Crick, said that while employment fell by 2,000 people over the month, total employment was still 2.3 per cent higher compared to May 2024, and stronger than the pre-pandemic, 10-year average annual growth of 1.7 per cent.
"This fall in employment, combined with a drop in unemployment of 3,000 people, meant that the unemployment rate remained steady at 4.1 per cent for May," Crick said.
The employment-to-population ratio dipped slightly, down 0.1 percentage points to 64.2 per cent, while the participation rate also edged lower by 0.1 percentage points to 67.0 per cent.
"Despite the slight fall in the employment-to-population ratio this month, the female employment-to-population ratio rose 0.1 percentage points to a record high of 60.9 per cent," Crick said.
Hours worked increased 1.3 per cent in May, following lower levels in the previous two months coinciding with the Easter holiday period and severe weather disruptions.
The underemployment rate, which measures those employed but wanting more hours, dropped by 0.1 percentage points to 5.9 per cent in May. This was 0.8 percentage points lower than a year earlier and 2.8 percentage points below the level seen in March 2020, prior to the onset of the COVID-19 pandemic.
The broader underutilisation rate, which combines unemployment and underemployment, fell by 0.2 percentage points to 9.9 per cent, now sitting 4.0 percentage points below its March 2020 level.
Meanwhile, underlying trend data shows the labour market has remained relatively stable. The trend unemployment rate has been unchanged at 4.1 per cent for the past three months, while trend employment grew by around 28,000 people (+0.2 per cent) in May, maintaining a 2.3 per cent rise over the past 12 months.
More to come.
