Work and Incomes

Ensuring all people have sufficient resources to live with dignity and participate in society should be a fundamental goal of any country. When people have enough income and access to the essentials then communities and our nation do well. That is the base from which progress needs to be assessed.

Paid employment is the main source of income for most people, but over the two years to September 2025 the number of people in paid employment fell by 35,000 and the number in unemployment was 40,000 higher than September 2023. The working-age population continued to grow despite a record number of people leaving the country, which meant overall net inward migration was well below pre-Covid-19 levels.

Total jobless, unemployed and potential labour force, thousands—2015–2025 (September quarter)

Over a quarter of a million people are wanting work but unable to find it. The unequal burden of rising unemployment continued to be carried by Pacific and Māori workers whose unemployment rates are not only high but also rising faster than others, and disabled workers facing rates more than twice that of non-disabled. The number of young people not in employment, education or training (NEET) was the highest it had been for 20 years by late 2025.

Since mid-2023, New Zealand has experienced two years of negative real economic growth per capita. Yet in the midst of this economic turbulence, average weekly earnings from employment continued to rise in real terms. The gender pay gap reached a record low of just 5 percent in 2025 as women’s hourly earnings rose on average more than men’s, but inequalities continue to be high for Pacific and Māori female workers.

The number of people receiving welfare assistance rose further during 2025, yet tightened access to hardship support through the welfare system meant less support going into households just at the time it is most needed.

European men’s and Pacific women’s median hourly earnings, and Pacific women’s pay gap as a percentage of European men’s—2015–2025

Food insecurity and other indicators of material hardship remained high during 2025 and while household living cost increases eased, lower-income households still faced higher household costs increases compared to high earners. Salvation Army food assistance through food parcels increased with some 90,000 food parcels distributed, 7 percent higher than in 2024 and almost 50 percent more than in 2019 pre-Covid-19.

Number of food parcels provided by The Salvation Army—2015–2025 (December years)

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Data: Interactive Dashboard

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