New Zealand Unemployment Hits 5.6% Amid Regional Disparities
New Zealand's unemployment rate has reached its highest level in nearly 11 years, with 171,000 people out of work or seeking more hours. The seasonally adjusted rate rose to 5.6% in the June quarter, surpassing economists' forecasts of 5.4-5.5%. This is a significant increase from the March quarter's 164,000 jobless individuals.
The underutilisation rate, which includes those seeking more work but not actively searching, climbed to 13.8%, its highest since 2013. A staggering 440,000 people want more work, with Pasifika and Māori communities being disproportionately affected at 11.6% and 10.8% respectively.
Economist Brad Olsen notes that the South Island economy is performing relatively well, with Canterbury's job advertisements up 18% over the year. However, this growth is uneven within the region, with certain sectors experiencing declines in employment opportunities.