There is some interesting things to take from this graph. First of all our unemployment is up to 5.3%. Statistics New Zealand says it because of COVID-19, but a more accurate reasoning is the Government’s response to COVID-19. They are not one in the same as in places where the response hasn’t been as draconian their rate havent gone up as fast as ours.
However, what is more concerning is the rate of unemployment after the GFC. If this current crisis is going to be worse than the previous challenges of the GDC fallout. Then we have a world of pain coming our way.
5.3% would be a major win if it stays at that level. I dare say it is going to rapidly rise in the coming quarters.
There is less jobs out there and a fall in the job market is what will really push the issues up. If we are at less than 5% unemployed it really means we are really at full employment. Approximately 4.5 % of the working age population aren’t really looking for a job. Its those above 5% that are the ones that are the ones struggling to find work.