New Zealand Labour Market sharply weaker in Quarter 1
8 May 2008
The New Zealand Quarterly Employment Survey for March showed sharply weaker statistics than were widely expected, causing the New Zealand dollar to drop dramatically against the major currencies.
Total employment fell 1.3% or 29,000, showing the first annual decrease in employment since 1998, and the largest percentage decline since March 1989. A drop of 22,000 females in full time employment accounted for most of the overall drop in employment reported during the quarter.
The unemployment rate rose from 3.4% to 3.6%. The rise in the unemployment rate would have been much more pronounced but for a 0.9% drop in the participation rate.