Australian unemployment rate now higher than US, shock data reveals
Australia's unemployment rate is now higher than in the US, according to shock statistics released yesterday.
The country’s jobless rate shot from six to 6.4 per cent between June and July, according to government statistics.
Unemployment has not been higher in Australia than the United States since 2007, before the debilitating effect of the financial crisis, and has not been at a higher level for more than a decade.
Analysts had expected a minor rise in employment, but Australia’s labour force actually dropped and the number of people out of work and looking rose to 790,000. As a proportion, the unemployment rate is at its highest level on record since 2002.
The jobless rate is still lower than the UK proportion, which stands at 6.5 per cent, just slightly above. But if the rapid increase in UK employment continues, the unemployment rate will soon fall below Australia’s.
The Australian unemployment rate was below 4.5 per cent at the onset of the financial crisis, and peaked below six per cent even in the immediate aftermath, while the US equivalent rose to nearly 10 per cent.
The Australian dollar fell by 0.83 per cent against the US dollar yesterday, dropping to $0.9274.