Australian Job Advertisements Hit 16-Month High as Labour Market Stays Resilient

Australian job advertisements climbed for a second consecutive month in February, reaching their highest level in 16 months and signaling continued strength in the labour market. The latest private-sector data suggests that hiring momentum remains solid at the start of the year, reinforcing expectations that the economy is holding up despite tighter monetary policy.

According to figures released by Australia and New Zealand Banking Group (ANZ) and employment platform Indeed, job ads increased by 3.2% in February compared to January. This follows an upwardly revised 5.2% gain in January, marking the first back-to-back monthly rise since October 2024. The steady increase pushed job listings to their strongest level since late 2024. On an annual basis, job advertisements in February were 2.3% higher than a year earlier and stood 16.6% above pre-pandemic levels, highlighting the ongoing demand for workers across various sectors.

The upbeat employment data comes as the Reserve Bank of Australia (RBA) raised interest rates by 25 basis points to 3.85% last month. The move followed signs that inflation had reaccelerated after three rate cuts last year. Australia’s unemployment rate has remained unexpectedly low at 4.1%, a key factor driving market expectations of another rate hike in May. Financial markets are currently pricing in a 77% probability of further tightening.

Indeed senior economist Callam Pickering noted that the New Year has brought renewed hiring momentum nationwide. Demand for nurses surged to its highest level in nearly two years, while management roles also recorded significant growth. The rise in healthcare and leadership vacancies underscores broad-based labour demand and suggests Australia’s job market remains resilient despite higher borrowing costs and persistent inflation pressures.