Is there a recession in New Zealand?

I will try to explain clearly and briefly.

Hiring Cycles:

Yes, there is a recession. But there are also hiring seasons. Every winter is a slower period for permanent hires in New Zealand as people are still recovering from the post-COVID inflationary environment. The best time to prepare for work is now because every year, there is a hiring boom in spring. Sometimes early spring in September or even late August, and other times mid-spring in October. But every year, it happens. I can explain why if you like, but the short answer is that business activity picks up in the warmer seasons with the longer days.

Leading Industries:

Yes, some companies are struggling. But some companies are doing well. Every industry will have a mix of poor performers and top performers. Let’s see how New Zealand primary industries are doing. “New Zealand Foreign Affairs & Trade (MFAT) estimates the country’s major primary sectors of meat, dairy, fisheries, wine, forestry, and selected horticulture products to export up to 95% of their output, revealing how crucial exports are to the very industries that characterise the island nation.” (4 Apr 2024)

Resilient Industries:

Some sectors have shown robust growth despite economic downturns. Industries such as technology, healthcare, and primary industries (including agriculture and forestry) have maintained steady or increasing hiring rates. For instance, job ads in primary industries have seen a positive trend, with notable growth in regions like Manawatu, Hawkes Bay, and Southland, which have all recorded significant increases in job ad volumes compared to pre-pandemic levels​ (SEEK)​​ (Live and Work New Zealand)​.

Strategic Job Seeking:

For skilled professionals, the key to navigating the job market lies in identifying top-performing companies within resilient industries. Presenting top-level skills in a polished, best-in-class format can capture the attention of hiring managers. Personalized applications and targeted presentations significantly enhance the chances of receiving a positive response. Tailoring your approach to each company shows dedication and helps you stand out in a competitive job market​ (MBIE)​​ (MBIE)​.

Supporting Metrics:

• Inflation Rate: Increased from 1.5% in 2020 to 5.9% in 2022.
• Mortgage Defaults: Rising trend due to economic pressures.
• Grocery Prices: Significant increases, particularly in fresh produce and dairy, doubling or tripling in some cases.
• Job Ads in Primary Industries: Steady growth with regions like Manawatu up 75%, Hawkes Bay up 61%, and Southland up 56% since pre-pandemic levels​ (SEEK)​​ (Stats NZ)​.

Helpful & personalised insights available to you:

If you are skilled, your best opportunity to find work is to find a company that needs your skills. The time to prepare is right now because when August is here, you will want to be fully engaged into your job market. Leading companies will require quality candidates at that time. It is the best time in 2024 to find work. If any questions, drop me a line with your CV for helpful insights in response – tate@employmentforimmigration.nz