Job ads down 2.1% in May: report

New data indicate gradual 'cooling' of labour market

Job ads down 2.1% in May: report

Job ads across Australia went down 2.1% month-on-month in May, according to the latest data from ANZ-Indeed.

Job postings also dropped 18.1% year-on-year, but they remained 20.5% higher than pre-pandemic levels.

Callam Pickering, Indeed senior economist, said the decline in job ads was "relatively broad-based," with the biggest drops recorded in Victoria and Western Australia.

"The annual fall has been concentrated in New South Wales and Victoria, with more minor declines across the rest of Australia," Pickering said in a statement.

By sector, the number jobs ads saw the biggest declines in accounting and construction to offset the increases in education and for nurses.

"Overall, job ads are down in around 90% of occupational categories over the past year," Pickering said.

Cooling labour market

Meanwhile, ANZ economist Madeline Dunk said the latest figures indicate that job ads are "softening over 2024," following an 8.2% fall since the end of last year.

"Other data also show the labour market is cooling, but only gradually," Dunk said in a statement.

She cited employment going up 71,000 over the three months to May, with the growth less than half of what was observed during the same period last year.

Unemployment and underemployment rates also just recorded a 0.1ppt increase since December last year. This is despite both ratings going up 0.5ppt and 0.8ppt, respectively.

"Annual growth in hours worked has also slowed to just 0.6% y/y, well down from last May's 5.2% y/y," Dunk said. "The path of Job Ads suggests we'll see a continued moderation in the labour market over the coming year."