Stats NZ’s Household Labour Force Survey showed that unemployment increased by 33,000 over the past year, bringing the total number of unemployed people to 156,000.
Labour market spokesperson Deb Brunning said unemployment has been rising steadily since late 2022.
“This was the largest annual fall in employment since the year to the December 2009 quarter,” Brunning said.
The seasonally adjusted employment rate dropped to 67.4 percent in the December 2024 quarter, down from 69.0 percent in the same quarter of 2023. Over the past year, 32,000 fewer people were employed, marking a significant decline in job numbers.
The data also showed that men were disproportionately affected by job losses.
“Men accounted for 85 percent of the annual decrease in employment, reflecting substantial falls in male-dominated occupations such as technicians, trades workers, machinery operators, and drivers,” Brunning said.
There was also a shift in the type of employment for men, with 36,000 fewer men in full-time work, while part-time employment among men grew by 9,000.
Meanwhile, the number of women in full-time employment fell by 5,000, with little change in women’s part-time employment.
The underutilisation rate, which measures the broader untapped labour market capacity, rose to 12.1 percent in the December 2024 quarter. This was up from 11.6 percent in September 2024 and 10.7 percent in December 2023, indicating that more people are struggling to find sufficient work.
Wage inflation also slowed, with annual wage growth at 3.3 percent, down from 3.8 percent in the September quarter and significantly lower than 6.9 percent in December 2023.
Despite the slowdown in wage inflation, average ordinary time hourly earnings rose 4.2 percent over the year, reaching $42.57 in the December 2024 quarter.
The ongoing rise in unemployment, coupled with a slowdown in wage growth, signals a challenging period ahead for New Zealand’s labour market as businesses and workers navigate economic uncertainty.
Broadcaster Chris Lynch is an award winning journalist who also produces Christchurch news and video content for domestic and international companies. This article was originally published by Chris Lynch Media and is published here with kind permission.
“This was the largest annual fall in employment since the year to the December 2009 quarter,” Brunning said.
The seasonally adjusted employment rate dropped to 67.4 percent in the December 2024 quarter, down from 69.0 percent in the same quarter of 2023. Over the past year, 32,000 fewer people were employed, marking a significant decline in job numbers.
The data also showed that men were disproportionately affected by job losses.
“Men accounted for 85 percent of the annual decrease in employment, reflecting substantial falls in male-dominated occupations such as technicians, trades workers, machinery operators, and drivers,” Brunning said.
There was also a shift in the type of employment for men, with 36,000 fewer men in full-time work, while part-time employment among men grew by 9,000.
Meanwhile, the number of women in full-time employment fell by 5,000, with little change in women’s part-time employment.
The underutilisation rate, which measures the broader untapped labour market capacity, rose to 12.1 percent in the December 2024 quarter. This was up from 11.6 percent in September 2024 and 10.7 percent in December 2023, indicating that more people are struggling to find sufficient work.
Wage inflation also slowed, with annual wage growth at 3.3 percent, down from 3.8 percent in the September quarter and significantly lower than 6.9 percent in December 2023.
Despite the slowdown in wage inflation, average ordinary time hourly earnings rose 4.2 percent over the year, reaching $42.57 in the December 2024 quarter.
The ongoing rise in unemployment, coupled with a slowdown in wage growth, signals a challenging period ahead for New Zealand’s labour market as businesses and workers navigate economic uncertainty.
Broadcaster Chris Lynch is an award winning journalist who also produces Christchurch news and video content for domestic and international companies. This article was originally published by Chris Lynch Media and is published here with kind permission.
No comments:
Post a Comment