Global Hiring Remains Critical For Ambitious New Zealand Tech Firms

Hiring in international locations by New Zealand’s 200 largest technology exporters remained steady in 2024 despite a reduction in the total workforce, as firms sourced skills overseas to support their growth plans, according to new data from Deel, a global payroll and HR company, in collaboration with the Technology Investment Network (TIN).

Almost half (47%) of all workers employed by the companies surveyed are now based overseas, closer to customers and supply chains. HealthTech reports the highest number of employees in international locations (5065), followed by IT Services & Support (3670), Software Solutions (3656), and FinTech (3549).

“New Zealand’s tech exporters are increasingly global employers, now hiring and paying almost half their workforce in multiple international locations. Their ability to quickly build diverse, borderless teams at scale is vital to unlock new opportunities and position for growth,” says Shannon Karaka, Market Lead at Deel, New Zealand and Australia. “These companies have a high propensity to hire internationally, reflecting the fact that most are competing globally for both customers and talent early on in their development.”

New Zealand’s largest 200 technology exporting firms in ICT, High Tech Manufacturing and Biotech by revenue employed 59,774 FTE (Full Time Equivalent) workers as at June 2024. The total workforce fell by 0.8%, the first year in a decade that these companies recorded a slowing in overall job growth.

HealthTech has the largest workforce

Of the 12 sub-sectors that comprise the report, HealthTech added the most workers (724) at home and abroad, making it the largest by headcount at 10,763. Other sub-sectors reporting an increase in workers in New Zealand and internationally included Communications Solutions (313), Software Solutions (204) and Heavy Manufacturing (145). Sub-sectors reporting a reduction in staff are Creative Industries (-1,064) and FinTech (-789).

Tech companies are increasingly global employers

New Zealand tech exporters employed an extra 304 roles in Australia in 2024, bringing the total jobs in that market to over 10,000. Other regions that recorded new hires by New Zealand firms in 2024 are Latin America (565) and Europe (215), while the total number of employees reduced in Southeast Asia (179) and North America (384).

While Australia remains the most important overseas talent region for New Zealand tech exporters, Asia and Latin America have also gained prominence in the last decade.

"Over the last two decades, New Zealand has spawned a critical mass of profitable tech firms with global reach. A feature of these companies is their use of dynamic hiring strategies that balance onshore and offshore expansion. This approach has been used with great effect to access talent, leverage local knowledge, and to create proximity — addressing areas where New Zealand faces inherent challenges," says Alex Dickson, Head of Research at Technology Investment Network.

Wage costs increase by 2.9%

New Zealand tech exporters in most sub-sectors are facing higher payroll costs, as average salaries across all workers globally rose 2.9% to the equivalent of NZ$102,720. Among the five largest sub-sectors by headcount, changes to average salaries ranged from HealthTech (4.1%); Software Solutions (-1.0%); IT Services & Support (2.3%); FinTech (2.5%) and AgriTech (0.5%).

The survey found that companies in the different sub-sectors spend between 21% (Appliances) and 47% (Software Solutions) of their total revenue on wages.

“Talent is often the largest expense for high-growth firms, who often also incur the compliance costs of paying workers in multiple international jurisdictions. Fortunately, AI and cloud-based tools are increasingly available to support HR and payroll specialists manage this process compliantly and efficiently while delivering a positive employee experience,” says Karaka.

About Deel

Deel is the all-in-one payroll and HR platform for global teams. It helps companies simplify every aspect of managing a workforce, from onboarding, compliance and performance management, to global payroll, HRIS and immigration support. Deel works for independent contractors and full-time employees in more than 150 countries, compliantly. And getting set up takes just a few minutes. For more information, visit Deel.com.

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