Hon Nicola Willis
Minister of Finance

Employment data released today underscores the need for strong economic management to build a growing economy, Finance Minister Nicola Willis says.

Data released today by Stats NZ shows the unemployment rate has been rising for almost three years.

The unemployment rate was 5.1 per cent in the December 2024 quarter, while average hourly earnings rose 4.2 per cent over the year.

“While the numbers today were largely in line with predictions, I feel for people who have lost their jobs or are finding it hard to find work. That is the human cost of a lingering effects of economic mismanagement by the previous Government which drove up inflation and interest rates,” Nicola Willis says.

“This underscores the importance of strong economic management. With inflation now under control and interest rates coming down, forecasters expect the unemployment rate to start reducing this year as economic growth picks up.

“While there are some encouraging indicators, such as wages rising faster than inflation, I know Kiwis are still doing it tough. In time, wage growth in a growing economy will mean households will start to feel some relief from ongoing cost of living pressures.

“I understand New Zealanders are eager for the upturn. So am I – that’s why the Government is ambitious to grow the New Zealand economy, because when the economy thrives, so will Kiwis.”

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