New Zealand's economy is showing positive signs of growth with record employment and rising wages outpacing inflation. The government's economic plan continues to deliver more jobs and better-paying opportunities, alleviating the cost of living pressures for New Zealanders.
In this blog post, we'll discuss the latest economic data, government interventions, and plans for the future.
According to Stats NZ, unemployment remained unchanged at 3.4% in the March quarter, with 22,000 jobs added in the first three months of the year. Moreover, average hourly wages increased by 7.6% to $38.93, outpacing inflation at 6.7%. Since 2017, the government has created 281,000 jobs, and the unemployment rate is near record lows. These positive economic indicators reflect the government's commitment to creating high-quality jobs and growing wages for New Zealanders.
The government has taken several steps to support hard-working New Zealanders dealing with cost of living pressures. These include:
The government is also investing in building the productive capacity of the economy. Apprenticeships have increased by over 50% since the government took office, while total spending on research and development hit record levels last year. Infrastructure spending will top $60 billion over the next five years.
The government's focus will continue to be on moving the economy in the right direction, creating conditions to support people into work, and driving higher wages for New Zealanders. To achieve this, the government will continue to invest heavily in skills and training for New Zealanders. The immigration settings are also attracting a significant number of overseas workers, and the government will continue to look for ways to respond to the competitive global market for workers.
On comparable measures, New Zealand's 3.4% unemployment rate stands favorably against Australia (3.6%), the US (3.5%), the UK (3.8%), Canada (5%), and the OECD average (4.8%).
Table: Unemployment Rates in Different Countries (as of March 2021)
| Country | Unemployment Rate |
|---|---|
| USA | 3.5% |
| New Zealand | 3.4% |
| Australia | 3.6% |
| UK | 3.8% |
| Canada | 5% |
| OECD | 4.8% |
In conclusion, New Zealand's economy is showing positive signs of growth, with record employment and rising wages outpacing inflation. The government's economic plan is working to ensure New Zealanders get ahead by delivering better-paying high-quality jobs, growing wages, and more opportunities. The government is continuing to work hard to lower costs for Kiwis and make the economy stronger for the long term, with investments in skills, infrastructure, and innovation. While there is still more work to do, the government is committed to creating the conditions for a stronger, inclusive, and more resilient economy.
