Headline: Australia’s Jobless Rate Dips to 4.3% in October as Full‑Time Hiring Accelerates
Australia’s labour market outperformed expectations in October 2025, lowering the unemployment rate and strengthening the case for the Reserve Bank of Australia to keep interest rates on hold. The headline jobless rate fell to 4.3%, beating the 4.4% consensus and down from 4.5% previously, underscoring resilient employment conditions.
Total employment rose by 42,200 positions in October, more than double market forecasts. Quality of hiring improved notably: full‑time roles jumped by 55,300, offsetting a drop of 13,100 in part‑time work. The participation rate held steady at 67.0%, indicating the gains were not driven by people exiting the workforce but by solid demand for labour.
For monetary policy, the mix of stronger full‑time job creation and a lower unemployment rate reduces the urgency for near‑term rate cuts. With inflation pressures still a concern, a tighter labour market risks keeping wage growth firm, suggesting the RBA is likely to maintain a cautious stance as it assesses the path for interest rates.
Key Points – Unemployment rate fell to 4.3% in October (vs 4.4% expected; 4.5% prior) – Employment rose by 42.2k (vs 20k expected; 14.9k prior) – Full‑time jobs surged by 55.3k; part‑time roles declined by 13.1k – Participation rate was unchanged at 67.0% – Strong labour market lessens the case for early RBA rate cuts
