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The labour force grew during the September 2011 quarter, through an increase in both the number of people employed and the number of people unemployed. As the number of people unemployed increased at a greater rate than the total labour force, the unemployment rate rose slightly, to 6.6 percent. While labour market outcomes generally improved for men over the quarter, women's employment decreased and unemployment increased.

The number of people employed increased by 5,000 over the quarter. Full-time employment grew by 8,000, while part-time employment decreased by 3,000. Over the quarter, the number of men employed grew while the number of women employed fell. In annual terms, however, both male and female employment grew, with stronger employment growth for females.

The total number of people unemployed increased by 3,000 over the quarter, with an increase of 4,000 women unemployed and a slight decrease of 1,000 men unemployed. The male unemployment rate decreased by 0.1 percentage points to 6.3 percent and the female unemployment rate increased 0.3 percentage points to 7.0 percent.

In annual unadjusted terms, employment increased significantly in the Auckland region, while there was a significant decrease in employment in the Canterbury region.

The labour market remained relatively steady over the June 2011 quarter. Employment increased by 1,000, while unemployment and the unemployment rate remained unchanged for the quarter. Although there was little change to the total levels of employment and unemployment over the quarter, there were different outcomes for males and females.

Although the quarterly change in employment was small, there was a large annual increase in employment (43,000). This was driven by increases in both full-time and part-time employment (up 26,000 and 17,000, respectively).

The unemployment rate remained at 6.5 percent for the June 2011 quarter. While there was no change in the total unemployment rate, the male and female unemployment rates moved closer together. The male unemployment rate increased to 6.4 percent from 6.2 percent, while the female unemployment rate fell to 6.6 percent from 6.9 percent.

There was a large rise in actual hours worked for the June 2011 quarter, up 1.6 percent. Usual hours worked increased by 0.6 percent.

In annual unadjusted terms, key labour market outcomes for the June 2011 year were different in the Canterbury region compared with movements in the national estimates. Employment fell in Canterbury but rose nationally. Unemployment increased in Canterbury but decreased nationally.

**Due to rounding there is no level change but there is a quarterly percentage change.

During the March 2011 quarter, the unemployment rate fell to 6.6 percent. This fall was the result of employment rising (by 30,000 people) and unemployment falling (by 2,000 people).

Male unemployment fell during this quarter, with the male unemployment rate down to 6.2 percent. The female unemployment rate was unchanged at 7.0 percent during the March 2011 quarter.

During the March 2011 quarter, both part-time employment and full-time employment rose (up 4.0 percent and 0.5 percent, respectively). Usual hours worked per week rose this quarter by 1.2 percent while actual hours worked fell by 0.9 percent.

The labour force participation rate increased to 68.7 percent in the March 2011 quarter. Male participation rose by 0.6 percentage points while female participation rose by 0.8 percentage points.

The earthquake that struck the Canterbury region on 22 February 2011 caused some disruption to interviewing. Statistics New Zealand suspended interviewing in Christchurch city and in the Selwyn and Waimakariri districts. This meant about 800 of the 2,200 Canterbury households in the survey sample were not interviewed.

The usual estimation method was altered for this quarter to account for the loss of households in Canterbury. The altered estimation method will be reviewed next quarter.

National estimates excluding Canterbury have also been produced. This data shows that the number of employed people rose by 34,000 while the number of unemployed fell by 1,000 during the March 2011 quarter.

During the December 2010 quarter, the unemployment rate rose by 0.4 percentage points to 6.8 percent. This rise was the result of employment decreasing and unemployment increasing.

Male unemployment increased during the quarter, with the male unemployment rate increasing by 0.8 percentage points to 6.5 percent. Conversely, the female unemployment rate fell to 7.0 percent during the December 2010 quarter, down from 7.2 percent in the September 2010 quarter.

During the December 2010 quarter part-time employment decreased (down 2.8 percent), while full-time employment increased (up 0.3 percent). Actual hours worked per week increased by 0.2 percent.

The labour force participation rate decreased to 67.9 percent in the December 2010 quarter. This is the lowest labour force participation rate since the March 2008 quarter. Male participation decreased by 0.6 percentage points and female participation decreased by 0.2 percentage points.
During the quarter, the trend unemployment rate increased by 0.2 percentage points to 6.7 percent.

During the September 2010 quarter, the unemployment rate fell to 6.4 percent. This fall was the result of employment increasing and unemployment decreasing.

The decrease in the unemployment rate this quarter marks a divergence in labour market outcomes for males and females. Female unemployment increased during the quarter, with the female unemployment rate rising to 7.2 percent, up from 6.8 percent. Conversely, the male unemployment rate fell to 5.7 percent during the September 2010 quarter, down from 6.9 percent in the June 2010 quarter.

Employment increased by 23,000 during the quarter, with a larger increase for males (1.9 percent) than for females (0.1 percent). Actual hours worked per week increased by 0.8 percent.

The labour force participation rate increased to 68.3 percent in the September 2010 quarter. Male labour force participation increased by 0.4 percentage points, while female participation increased by 0.2 percentage points.
Highlights - seasonally adjusted.

The trend series unemployment rate was unchanged over the quarter, at 6.7 percent, while trend employment increased by 6,000.

In seasonally adjusted terms, New Zealand's unemployment rate rose from 6.0 percent to 6.8 percent during the June 2010 quarter, Statistics New Zealand said today. This rise unwinds much of the drop in unemployment seen in the March 2010 quarter, and indicates a period of volatility in the labour market.

Unemployment rose 19,000 during the June 2010 quarter to reach 159,000, marked by an increase in unemployed males. As with the fall in the March quarter's unemployment, the rise this quarter was largely unexpected, and reflected movements among younger males.

"There have been recent fluctuations in both employment and unemployment, which can occur during periods of major change in the labour market," manager of labour market statistics Peter Gardiner said. "These movements indicate that the labour market is still adjusting to the changing economic climate."

The recent volatility in unemployment estimates is making it more difficult to interpret the results. The underlying or trend unemployment rate, which excludes seasonal and unexpected changes can be used to help understand labour market conditions. At 6.7 percent, the trend unemployment rate has been relatively flat since September 2009.

In the last year, growth in the working-age population has out-stripped employment growth. This, coupled with relatively high and stable labour force participation during the year has kept unemployment up.

Employment decreased by 6,000 during the June 2010 quarter, following a 21,000 increase last quarter. Part-time work fell, while full-time employment rose. Consistent with the rise in full-time work, both usual and actual hours worked increased during the quarter, indicating that those in work are working more hours.

The Household Labour Force Survey results are based on a representative sample of 15,000 households throughout New Zealand. The survey is designed to produce estimates of the numbers of people employed, unemployed, and not in the labour force.

In the March 2010 quarter, unemployment dropped by 25,000 (15.1 percent), down to 140,000. In the same period, the unemployment rate fell by 1.1 percentage points to 6.0 percent. This is the first fall in both the number of people unemployed and the unemployment rate since the December 2007 quarter, and the largest fall in the unemployment rate recorded since the survey began in March 1986.

The number of people unemployed fell by 25,000 during the quarter, while the number of people employed grew by 22,000. This compositional change in the labour force resulted in a sharp fall in the unemployment rate. Labour force participation remained unchanged at 68.1 percent during the quarter.

The 1.0 percent increase in employment during the March 2010 quarter was driven by an increase in male full-time employment, which increased by 19,000. Female full-time employment also rose (up 7,000). This increase was partly offset by a decrease in the number of males and females employed part-time. Consistent with the growth in employment, actual hours worked rose by 1.7 percent during the quarter.

The (unadjusted) working-age population continued to grow during the March 2010 quarter, partly due to positive net permanent and long-term migration.

The New Zealand unemployment rate may have peaked much lower than earlier expected.

Despite the increase in the unemployment rate, the New Zealand labour market is holding up better than most other countries. The unemployment rate still remains lower than the average of the OECD of 8.3% . New Zealand has been less affected by global events and is in a relatively better position than most other countries. This is due to factors such as having a strong labour market position when the downturn began, tax cuts and large reductions in interest rates.

This report informs you about the Household Labour Force Survey (HLFS) results for the September 2007 quarter. The HLFS was released by Statistics New Zealand on 8 November 2007. All figures refer to the working-age population (15 years and over) and are seasonally adjusted unless otherwise specified. Terms are defined in the appendix.

The HLFS results for the September 2007 quarter were mixed. There was a reduction in the number of people that were unemployed which helped drive the unemployment rate to a record low of 3.5%. However, employment declined slightly and the participation rate fell to 68.3% from a record high of 68.8% in the previous quarter.
Mixed results overall were reflected in the results for various groups in the labour market. The Maori unemployment rate increased slightly from a record low while the rate for Pacific Peoples also increased. However, the participation rates for these two groups both increased and regional unemployment rates all remained below 5%.
The results did not meet market expectations of moderate employment growth and steady participation, but outperformed the expected stable unemployment rate. Even with the decrease in employment in the latest quarter the labour market remains strong on an historical basis and we expect the labour market to remain tight over the coming year.

Employment fell by 0.3% to 2,150,000 in the September 2007 quarter following strong increases of 1.2% and 0.6% in the first two quarters of 2007. Despite the quarterly fall, it is still the second highest level ever recorded. Annual employment growth slowed slightly to 1.5% in the year to September 2007 down from 1.6% in the year to June 2007 (Figure 1).

The decrease in employment in the September 2007 quarter was caused by a fall in full-time employment. However, as in recent quarters, part-time employment continued to grow strongly. Growth in part-time employment has driven all of the employment growth over the last year. Part-time employment (fewer than 30 hours a week) increased by 1.3% or 6,000 in the quarter and is up by a substantial 8.2% over the year. Full-time employment decreased by 0.6% or 10,000 over the September 2007 quarter and 0.3% over the year.
Male employment increased by 5,000 in the September 2007 quarter while female employment reversed recent increases and fell by 12,000. Total hours worked decreased by 0.3% in the September 2007 quarter, mirroring the fall in employment. This resulted in the average weekly hours per worker remaining the same at a relatively low 33.8.

Data table for Fig 1
Source: HLFS, Statistics New Zealand

… while the unemployment rate fell to a new record low…
The unemployment rate fell from 3.6% to a new record low of 3.5% in the September 2007 quarter (Figure 2). The unemployment rate has been relatively stable since falling below 4% in the second half of 2004.

New Zealand's unemployment rate remains the fifth lowest of the 27 OECD nations with comparable data, and is one of only seven countries below 4.0%. Norway stays in first place at a low 2.5%, with South Korea, Denmark, the Netherlands, Switzerland and Japan the other countries below 4.0%. However, New Zealand is the only one of these countries to remain below 4.0% for the thirteen quarters since September 2004. The OECD average unemployment rate remained the same at 5.4% in the September 2007 quarter.

Underemployment (part-timers who want to work more hours) rose to 78,100 in the September 2007 quarter, up from 69,600 a year earlier. As a proportion of part-timers, this is an increase from 15.1% to 15.7%. Despite the rise, underemployment remains relatively low on a historical basis.

…and the participation rate fell from the previous quarter's record high
Due to the labour force decreasing by more than 0.4% and the working-age population increasing by 0.2%, the labour force participation rate fell from a record high of 68.8% to 68.3% in the September 2007 quarter. Despite the fall, the labour force participation rate in the September 2007 quarter is the same as that recorded a year earlier.

The fall in the participation rate was driven solely by a fall in female participation which decreased from a record high of 62.1% to 61.2%. The large fall in female participation reversed the gains made over the first half of 2007 however it is still similar to the rate recorded a year ago. Male participation remained unchanged for the second quarter in a row at 75.7%. While participation rates can be relatively volatile from quarter to quarter they remain high on a historical basis. Changes for particular groups can be driven by a range of factors including labour market conditions, policy initiatives and personal and family preferences.

Employment growth over the year based across several industries
Employment growth between the years to September 2006 and September 2007 was driven predominantly by strong growth in construction and accommodation, cafes & restaurants[1]. Communication services had the largest percentage increase of any industry over the last year (11.0%). In contrast, employment continued to decline in manufacturing and transport & storage, while finance & insurance also experienced a fall in employment.

All regions have an unemployment rate below 5%
The unemployment rate was below 5.0% in all regions for the year to September 2007 with the largest fall between the years to September 2006 and 2007 occurring in Bay of Plenty (4.1% to 3.3%). Unemployment rates were particularly low in the South Island with all regions at or below 3.5%. Manawatu-Wanganui had the highest unemployment rate at 4.9% in the year to September 2007, followed by Gisborne/Hawke's Bay at 4.5% (Figure 3).

Maori unemployment rate rises but so does participation
The unemployment rate for Maori increased slightly to 7.7% for the year to September 2007, up from a record low of 7.6% for the year to June 2007 (Figure 4). The annual average unemployment rate for Europeans remained in the 2.6%-2.8% band in the September 2007 quarter, as it has since December 2004, while the rate for Pacific Peoples rose slightly to 7.0%.

Labour force participation rates remain high for all ethnic groups. The Maori participation rate rose to 67.8% in the September 2007 year which is the highest rate ever recorded for Maori. The participation rate for Pacific Peoples rose to 63.8%, while the rate for the 'Other' ethnic group remained at 64.3%, the highest rate for 15 years.

Labour market conditions remained similar for youth
The participation rate for 15-24 year olds increased slightly to 65.0% for the year to September 2007 from 64.9% for the year to June 2007. The unemployment rate for 15-24 year olds remained unchanged at 10.1%.

Although there were no significant changes for youth as a whole there were changes noticeable when youth are disaggregated into those aged 15-19 and those aged 20-24. The unemployment rate for 15-19 year olds increased to 14.5% for the year to September 2007, up from 14.0% for the year to June 2007. The participation rate for 15-19 year olds rose to 56.3%, up from 55.3%. For 20-24 year olds, results differed with the unemployment rate falling slightly to 6.5% for the year to September 2007, down from 6.8% in the year to June 2007. Their participation rate continued to fall from an eight year high of 76.1% in the year to December 2006 to 74.4% in the year to September 2007.

Highlights

Seasonally adjusted employment increased by 14,000 to 2,158,000.
The seasonally adjusted unemployment rate decreased to 3.6 percent.
The seasonally adjusted labour force participation rate increased to 68.8 percent.
Seasonally adjusted total actual hours worked per week increased 0.3 percent.

	June 2007 quarter	Quarterly change	Annual change
Unemployment rate	3.6%	-0.1	0.0
Unemployed	81,000	-2.9%	+1.5%
Employed	2,158,000	-0.7%	+1.5%
Not in the labour force	1,015,000	-0.4%	+0.9%
Labour force participation rate	68.8%	-0.2	+0.1

There is a companion Media Release published - Household Labour Force Survey: June 2007 quarter.

Household Labour Force Survey - December 2006 quarter

Highlights

Seasonally adjusted employment decreased (by 2,000) to 2,115,000.
The seasonally adjusted unemployment rate decreased to 3.7 percent.
The seasonally adjusted labour force participation rate decreased to 67.9 percent.
Seasonally adjusted total actual hours worked per week increased 0.5 percent.

	December 2006 quarter	Quarterly change	Annual change
Unemployment rate	3.7%	-0.1	+0.1
Unemployed	82,000	-1.1%	+5.0%
Employed	2,115,000	-0.1%	+1.4%
Not in the labour force	1,037,000	+1.3%	+1.3%
Labour force participation rate	67.9%	-0.3	0.0

Brian Pink, Government Statistician 8 February 2007 Cat 61.900 Set 06/07 - 113
There is a companion Media Release published - Household Labour Force Survey: December 2006 quarter.

Employment market updates 2006

After a brief rise to 3.8% unemployment at the beginning of 2006, unemployment is once again back down to 3.6%. While both figures are marginally up from the historic labour force survey completed in 2004 which showed unemployment down as low as 3.4% our nationwide population in New Zealand is 4 Million. This means only 79,000 are unemployed. Press release articles that appeared on the 20th of September 2006 were indicating this may have dropped to as low as 39,342 however this could not be confirmed. What ever the truth unemployment in New Zealand is extremely low and has been this way for quite some time. The graph showing declining unemployment is exceptionally good news for a new migrant.

Household Labour Force Survey
June 2006 quarter highlights

In the June 2006 quarter:

Seasonally adjusted employment increased (by 22,000) to 2,129,000.
The seasonally adjusted unemployment rate decreased to 3.6 percent.
The seasonally adjusted labour force participation rate increased to 68.8 percent.
Seasonally adjusted total actual hours worked per week increased 1.4 percent.

	June 2006 quarter	Quarterly change	Annual change
Unemployment rate	3.6%	-0.3	0.0
Unemployed	79,000	-8.5%	+1.5%
Employed	2,129,000	+1.0%	+3.0%
Not in the labour force	1,002,000	-0.5%	-2.0%
Labour force participation rate	68.8%	+0.3	+1.1

New Zealand's historic achievement 2004

At 3.4 per cent, New Zealand's unemployment rate is now the lowest in the developed world and the lowest ever recorded by the Household Labour Force Survey.

In addition to record-low unemployment the December HLFS also showed that female participation in the work force has reached a record high at over 60 per cent and long-term unemployment fell by a third in 2004.

Social Development and Employment Minister Steve Maharey welcomed the news and signaled that the government will continue to provide opportunities for those New Zealanders still needing to join the workforce. He also reiterated the government's focus on addressing industry skills shortages.

"Reaching a world-leading 3.4 per cent unemployment rate is proof of the economic and social strength of 21st century New Zealand.

"Today's announcement that New Zealand enjoys the lowest unemployment rate in the OECD is great news," Steve Maharey said. "New Zealanders should be proud of this historic achievement.

HOUSEHOLD LABOUR FORCE SURVEY

Household Labour Force Survey - December 2006 quarter

Employment market updates 2006

New Zealand's historic achievement 2004