Net employment jumps by 56,300, beats consensus of 15,000
Jobless rate rises to 4.0 from 3.9 as more people look for work
Participation rate hits record high, hours worked rose 0.5

SYDNEY, Jan 16 Reuters Australian employment sped past forecasts in December although the jobless rate ticked higher as many more people went looking for work the combination of trends signalling a healthy labour market that leaves alive the chance of a nearterm cut in rates.

Driven by an increase in parttime roles, net employment jumped by 56,300 in December from November when it climbed by a downwardly revised 28,200, according to figures from the Australian Bureau of Statistics on Thursday.

The December jump was well above a market consensus for a rise of 15,000.

Annual jobs growth accelerated to a brisk 3.1, more than double the historical average. The labour force also expanded at a similar rate.

The jobless rate rose to 4.0 from 3.9, as expected, while the participation rate edged up to a record high of 67.1 from 67.0.

Overall it39;s fairly messy, but you would characterise the labour market as remaining pretty strong… It still leaves that basic message that the labour market remains fairly tight, said Shane Oliver, chief economist at AMP.

Slowing wage growth also suggests the labour market is not a source of inflationary pressures.

It kind of leaves the Reserve Bank in a difficult position then… I think ultimately the the rate call for February will depend on the…