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Work and Incomes

A country where everyone can have enough income and the necessities to live with dignity and freedom and able to participate and contribute to their communities is the vision that underpins this section. The goal is kotahitanga (unity), that suggests we are stronger together and, when times are tough, those who have more share from their bounty for the good of all.

The economic downturn that has shaped most of the past two years deepened during 2024, sharpening social impacts which brought more pain to communities. In inflation-adjusted terms the share per person of the total economy declined, and the overall fall in economic growth in the six months to September 2024 saw the largest decline since 1991 (excluding the Covid-19 period). Strong net inward migration counteracted the record level of New Zealand citizens leaving the country.

Number of young people (aged 15–24 years) not in education, employment or training (NEET)—2014–2024 (September years)

Paid-employment growth stalled during 2024, and the unemployment rate continued to rise steadily throughout the year. The unequal burden of this increase continues to be on Pacific, Māori and disabled people who face unemployment rates two to three times higher than other population groups.

The number of younger people not in employment, education or training (NEET) increased by over 9000 to more than 83,000 in September, close to the Covid-19 high in 2020.

Food security indicators, households with children aged under 15—2013–2024

Food insecurity worsened sharply again in 2024, with the proportion of households with children reporting some level of food insecurity, reaching the highest level in over a decade. More than one-half of Pacific children face food insecurity. Household living cost increases eased somewhat as the inflation rate decreased, but this was not enough to ease the pressures on families. Salvation Army services continued to see levels of need for food support that are 40 percent higher than pre-Covid-19, distributing more than 84,000 food parcels during 2024.

Number of food parcels provided by The Salvation Army—2014–2024 (December years)

The number of people receiving income support reached a record high at over 400,000 at the same time as the government reduced the spending on hardship support payments for food and housing, by tightening criteria for accessing that support and an increasing use of sanctions.

Wages continued to rise in 2024, with the average wage just keeping ahead of inflation, although the gender pay gap barely changed. Other indicators of wage inequality worsened in 2024, following the increase in income inequality in the June 2023 year (most recent figures).


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