Unemployment steady but the figure hides weakness

The latest unemployment figure shows that Australian unemployment stayed at 5.8% for a third month.

This can be seen as good and bad news depending on how you look at it. 

The Fat Controller claimed the government had turned the economy around because unemployment was forecast to be 6.25% by now.(This seems unlikely in the timescale.)

Others see a problem. The continued fall in the participation rate means that there could be disguised unemployment. "If the participation rate had remained at its 2011 average level the unemployment rate would now be seven per cent,"

One explanation for the fall in the participation rate is the aging population. However the fall in this rate seems to be too rapid for that to be the only reason.

The economy is growing, but not creating many jobs. This is not unknown when an economy is recovering as those employed take up the slack. Hopefully this means that jobs will start to come soon.

The Guardian covers the figures here