Statistics New Zealand has released its labour force data for the June quarter, with the unemployment rate rising by 0.1% to 4.5%.
Below are the key points from the release:
- Unemployment rate rose to 4.5 percent.
- Underutilisation rate rose to 12.0 percent.
- Employment rate was unchanged at 67.7 percent.
- Filled jobs rose 0.8 percent.
- Average ordinary time hourly earnings increased to $31.00.
- Annual wage inflation increased 1.9 percent.
And below are the summary tables:
As shown above, employment rose by 0.5% in the June quarter to be up 3.7% over the year, whereas the labour force participation rate rose by 0.1% to 70.9% (up 0.8% over the year).
Trend jobs growth has been strong, but has faded more recently:
However, total weekly hours worked also rose by 5.4% in the year to June.
The news with respect to employee earnings was less positive:
While wages grew by a weak o.5% in the June quarter and by 1.9% year-on-year, this was boosted by a legislated increase in the minimum wage. Like in Australia, NZ wages growth is very weak.
However, average ordinary time hourly earnings did rise by a stronger 3.0% over the year.
Finally, here’s how New Zealand’s unemployment rate (4.5%) compares against Australia’s (5.4%):
NZ’s labour market is still much stronger.