Mr Redican said more action will be required from the Reserve Bank of Australia.

BBC: BHP Billiton Western Australia iron ore mine

"The urgency to actually find a replacement for mining investment has become quite acute, " said Brian Redican of Macquarie Bank.

BBC: BHP Billiton Western Australia iron ore mine

"With that kind of employment growth, obviously policymakers would be feeling pretty comfortable with the current policy settings, " added Mr Redican.

BBC: Australia adds 71,500 jobs, the biggest jump since 2000