Clementia

UNEMPLOYMENT is placed to fall more with the amount of job openings climbing to record levels, fuelling speculation of another interest rise.

National job openings in the 3 months to August rose 2.9 percent, seasonally adjusted, according to the Australian Bureau of Statistics.

Work openings rose by 11.9 % in the season to August.

CommSec equities economist Martin Arnold said with job opportunities now at accurate documentation high, the unemployment rate was set to drop below 4 per cent - from its current 4.3 per cent - as business conditions inspired employers to seek more staff.

"The Australian economy is saving solid growth and business conditions are nearly as good as they get," he explained.

The potency of the economy led a frustrated John Howard to express the general public was failing continually to provide the government credit for financial management.

"I think there's a view in the community... Probably a substantial number that, for somehow or still another, our economic strength and our economic stability and growth is occurring naturally, that the economy is on autopilot," the Prime Minister told a forum at Ocean Grove on the coast yesterday.

He said this was one of many reasons why the us government was faring so badly in the public view polls: "I think folks are beginning to take the Australian economy for granted."

Seasonally-adjusted job opportunities totalled 172,700 in the 90 days to August.

Mr Arnold said there were less than three unemployed people for each empty job, the cheapest level on record.

Company services has been one of many strongest growth areas, with 45,200 vacancies, 28.4 % more than a year before.

The quantity of positions vacant in the communications industry has more than doubled to 2800 in exactly the same period.

There was strong need for labour in the building, retail trade and transport companies.

Parts that look like less desperate for staff include welcome, adventure and personal services.

People sector is continuing to increase, with the number of vacant jobs 11.8 percent higher than last year.

In the year to August, job opportunities in the boom state of Western Australia were up by 31.8 per cent, unadjusted, followed by the ACT, which was up 31 per cent.

Just Queensland had a drop, with year-on-year vacancies down 3.3 per cent.

Matthew Johnson, the senior economist at broker ICAP, said the rise in jobs opportunities must deliver employment growth greater than 2 percent.

"This suggests that unemployment will probably fall lower, and that every one from the Reserve Bank down will continue to worry about wage-push inflation," he said.

Low unemployment and high job vacancies is a old-fashioned formula for inflation, with a limit to exactly how many jobs may be filled.

There has, to date, been number proof of wage inflation, with the average price of labour rising largely in line with costs in the economy. The following inflation figures are published on October 24.

UBS main economist Scott Haslem said the growth in job opportunities would donate to higher inflation in the last months of 2007. He expected the Reserve Bank would increase interest levels in February 2008 to avoid inflation going above the RBA's 3 percent target range.

However Mr Arnold said the escalation in labour supply, via qualified migration, would not make earnings difficulties. nursing agency jobs