Australia Admits Recent Stellar Job Numbers Were Cooked

Tyler Durden's picture

Two months ago the Australian media, which unlike its US counterpart refuses to be spoon fed ebullient economic propaganda, called bullshit on the spectacular October job numbers, when instead of adding 15,000 jobs as consensus expected, Australia's Bureau of Statistics reported that a whopping 58,600 jobs had been added.  We covered this in "Australian Media Throws Up All Over 'Stellar' Jobs Report: "Don't Believe The Jobs Figures!"

One month later, the situation got even more ridiculous, when instead of the expected 10,000 drop in November, the "statistical" bureau announced that 71,400 jobs had been added, the most in 15 years, and the equivalent of 1 million jobs added in the US. Once again the local media cried foul as we documented in "Australian Media Throws Up All Over 'Stellar' Jobs Report, Again"

Indicatively, for a sense of how grotesque the jobs "data" was, the chart below shows that while the October report was a 6-sigma beat, the November was an even more laughable 8-sigma.


Two months later we find that the media, and all those mocking the government propaganda apparatus, were spot on, because moments ago today, Australia Treasury Secretary John Fraser, during testimony to parliamentary committee, admitted that jobs growth for the two months in question "may be overstated."  What's the reason? The same one the propaganda bureau always uses when its lies are exposed: "technical issues", the same explanation the Atlanta Fed used in its explanation for a strangely belated release of its GDP Now estimate one month ago.

Here's Bloomberg with more:

Australia has had some technical issues with its labor data, which “look a little bit better” than would otherwise have been the case, the secretary to the Treasury said, commenting on record employment growth in the final quarter of 2015.


John Fraser, the nation’s top economic bureaucrat, told a parliamentary panel in Canberra Wednesday that he held discussions on the employment figures with the chief statistician this week. He didn’t elaborate on the meeting but said the recent strength in the jobs market is encouraging.


There were some “technical issues” in October and November that may have made the employment figures “look a little bit better than otherwise would be the case,” he said. The technical issues relate to “rolling off” of participants in the labor survey.


Australia’s economy added 55,000 jobs in October and a further 74,900 in November, before shedding 1,000 in December to produce the record quarterly gain. Questions regarding the accuracy of the data have been raised following acknowledgment by the statistics agency in 2014 of measurement challenges.

Why the sudden admission it was all a lie? Simple: weakness in commodity prices "is far greater than people had been expecting,” Fraser said in earlier remarks to the panel. Australia is now "swimming against the tide" because of uncertainties in the global economy, he added.

Translation: "we need more easing, and to do that, the economy has to go from strong to crap." And with the Australian economy suddenly desperate for lower rates from the RBA, one can ignore the propaganda lies, and focus once again on the far uglier truth.

Which makes us wonder: with the Yellen Fed in desperate need of political cover for relenting on its terrible rate hike strategy, and once again lowering rates to zero or negative, a recession - something JPM hinted at yesterday - will be critical. And what better way to admit the US has been in one for nearly a year than to drastically revise all the exorbitant labor numbers over the past 12 months.

You know, for "technical reasons"...

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nmewn's picture

Its the latest greatest statist ploy, just "roll off" some of the unemployed so the overall number of unemployed appears to be going down.

Oh how I long for the day when some government lackey steps before a microphone to announce they have reached zero unemployment, to a national audience thats 100% unemployed ;-)

knukles's picture

Why not just save money by farming out the "data management" and reporting to the BLS?
Nothing is honest anymore.  Everything is a lie.  The entire moral and ethical necessities of the system have been rotted away by those entrusted with its care..

nmewn's picture

I've often wondered what would happen when everything everyone thought they knew turned out to be a lie.

I think we're about to find out.

peddling-fiction's picture


There are lies so big that most people would wet their pants and have all their previous mental constructs vaporized in an instant if revealed.

Donald J. Trump's picture

I'm surprised that Australua hasn't completely imploded, they are China's commodity bitch and she got slapped upside the head.

peddling-fiction's picture

How much of Australian mining has been bought by Chinese companies?

Mr. Universe's picture

...but it works when the Yanks do it.

Motasaurus's picture

We're not actually doing that bad. Our banks are still under exposed (though more exposed than last time) to junk bonds, our housing bubble is a case of market forces (artificial restriction of supply and ever-increasing land value "estimates") and not a case of artificially inflated prices in an environment of oversupply. Our retail sector, while being down, didn't miss by more than a couple of percent over Christmas. The weak Aussie dollar has more people buying locally (and less online shopping in the US).

Commodities are a problem that isn't going away, and it's killing the newly enriched trades class. But at the end of the day, you can't make war without coal and iron, and no one produces coal and iron like Australia. 

farmerunder's picture

so whats the current off balance sheet exposure of our banks and how will they be immuned to an Enron type event? with private debt where it is how will aussies survive even a little interest rate uptick?

MOB666's picture



let me rephrase that for you


How much of Australia is owned by the Chinese?

max2205's picture

Let me get out of my gamma spy bond ratio laddered Quant hedge first!

ozziindaus's picture

When china stops buying Aussie property, that's about the time the shit hits

macholatte's picture

some technical issues with its labor data

Translation: We are very proud to announce that many, many government employees are without ethics or integrity and are more loyal to a political party than they are to the Sheeple they serve.


FYI: US BLS Rotten to the core

Erica Groshen (born August 6, 1954) is the Commissioner of Labor Statistics and head of the U.S. Bureau of Labor Statistics (BLS), the independent, principal fact-finding agency for the U.S. government in the broad field of labor economics and statistics.[1] Previously, Groshen served as a vice president of the Federal Reserve Bank of New York.[2]

Groshen was nominated for the BLS post in February, 2012, and confirmed by the U.S. Senate in January, 2013.[3][4][5]

Groshen received a bachelor’s degree in economics and mathematics from the University of Wisconsin-Madison and a Ph.D. in economics from Harvard University.
– Wikipedia

tarabel's picture



Are you trying to suggest that Pro Wrestling is fake?

peddling-fiction's picture


Good one. Nice to see that you have a good sense of humor.

They make it seem fake, but it really, really hurts. :-)

Do you feel better now?

tarabel's picture



What a relief. Thank you.

peddling-fiction's picture

Everything is fine. Just fine...

Pendulum swinging and in a slow deep voice.

Tomorrow you will remember n-o-t-h-i-n-g. /lol

ozziindaus's picture

Right on. Try convincing the guy beside you that this "war on terror" hoax has nothing to do with protecting us.

peddling-fiction's picture

<< I want to go deeper into the rabbit hole

<< The rabbit hole scares me.



That is one inconvenient truth, but the deeper question therein is the real reason why our rulers want our freedoms limited and our minds sedated and especially always in a constant state of fear. The answer is not money and power.

As an example of how little people want to to consider something new, even the Assange fanboys at ZH (I used to be one) got all worked up because I dared to question the bizarre UN ruling in his favor. Who really runs the UN is really the deeper question.

What would you think if I went further down the rabbit hole.

It is not for the faint of heart.

peddling-fiction's picture


Might as well turn off all the datacenters, farmed out or not.

Just keep the algobeast turned on.

All you need is a creative and shameless mind, one computer with Excel to cook the books and Powerpoint to present them.

undertow1141's picture

V-ger is looking for the creator........

DeadFred's picture

The algos read (and believe) the data centers. They are machines, they can't easily detect lies so it is irrelevant if any of us carbon based units believe the data or not.

peddling-fiction's picture

Since the article mentioned Jobs stats, I meant that there is no real need to keep the real unemployment data in datacenters, when all you need to present to the public is a one digit unemployment percentage.

Anything related to the financial markets is of the highest importance to the .001% crowd because it seems it is the only real business of importance these days, so there everything needs to be turned on, algobeast and all needed datacenters.

Donald J. Trump's picture

Yeah, zero unemployment, code for all you unemployed are zeros.

Yen Cross's picture

    Glen Stevens is speaking later this week.  Thursday the 11'th during the Asian markets.

   I wonder when the RBA is going drop rates again?

Mediocritas's picture

Maybe not now, but you can bet they're going down some time in the future. Down, down, down. 

Oz banks are gonna blow. >60% of their books are exposed to absurdly over-priced residential real estate, priced so high because of the Chinese bid and a huge commodity boom, both of which are ending.

When they go, oz govt debt is going to expand by about 400% to counteract the implosion.

Motasaurus's picture

Nah. Our residential real estate is certainly over-priced, but it's got nothing to do with the Chinese bid and, outside Western Australia, nothing to do with the commodity boom (the effects of which have already dropped prices in that state). 

We only build 1 house for every 5 new adults in this country, and we're already under supplied by six million residential properties. Our over-priced real estate is entirely due to the artificial restriction of supply.

thestarl's picture

What about the massive immigration programs successive governments have been running don't think that might have something to do with it huh.

thestarl's picture

Over the years we've copped our fair share of those middle eastern shithouses shoved upon us.

tool's picture

"Glen Stevens is speaking" another State sponsored drone attack. Can that fucvker drone on & on & on non stop!

Chuckster's picture

The world has been playing liars poker for some years now.  why should the Australians be left out?

knukles's picture

Oh yeah!   Well I got Thirty Seven aces!

gould&#039;s fisker's picture

I wonder where they got the idea to not.count unemployed people in the unemployed statistic?

Aussiekiwi's picture

They have been watching the US and thinking, hey! if those turkeys can get away with that BS, so can we!

Squid Viscous's picture

just like the BLS headline numbers especially the last one from January... total fucking lies...

undertow1141's picture

you means the +151k that if we use the seasonal adjustment from 2010 JAnuary it would be a -71k jobs. No, those numbers are real.

DogeCoin's picture

The bear has officially visited Australia.

kiwigal's picture

Just remember people the leader of Australia is an ex partner in Goldman Sachs.

thestarl's picture

Hey he looks good nice suits good orator but does nothing.

Problem is the opposition leader is comatose in comparrison,we're fucked.

Strelnikov's picture

I got about 30 extra pounds I could roll off.

CHoward's picture

How come "technical issues" NEVER cause numbers to go down?  Just why is that?!

undertow1141's picture

Technical schnechnical issues, this thing is driven purposefully.

carbonmutant's picture

US BS is protected by the current administration from investigative terrorists...

tarabel's picture



You know, if they just start executing surplus staff rather than letting them make it out the door alive, the jobless rate would look much better.

Plus there would be much less strain on the Treasury.

Aussiekiwi's picture

No Pink slips in envelopes, only Pink pills, your now excess to the business cycle, goodbye.

Aussiekiwi's picture

I wonder if that will be the reason thrown out for feeding the public crap month after month, year after year until the culmination of their incompetence results in the final complete collapse of the economy and they run away with what wealth remains. 'Sorry about that, but you know, technical reasons'