AAP

Australia's unemployment rate was a seasonally adjusted 4.2 per cent in April, compared with an unchanged 4.1 per cent in March, figures from the Australian Bureau of Statistics show.

Total employment rose by 25,400 to 10,712,900, seasonally adjusted.

Full-time employment rose by 19,000 to 7,658,000 and part-time employment was up 6,300 to 3,540,900.

The participation rate in April was 65.4 per cent, compared with 65.3 per cent in March.

Economists had expected total employment to rise by 10,000, a jobless rate of 4.1 per cent and a participation rate of 65.2 per cent.

Commonwealth Bank of Australia senior economist John Peters said there was a 50 per cent chance of another rate rise this year after the strong jobs figure.

"All the risks in terms of pricing for interest rates are skewed to the upside," he said.

"We have another quarter of a per cent (rate rise) in 2008 (as a) 50 per cent chance.

"The Reserve Bank is trying to slow domestic demand but these figures give us a warning things aren't slowing that much.

"It's not a sign of the economy wobbling at the knees.

"There are more people earning and spending their money - there are more people paying tax, that will boost the budget surplus."