New Zealand’s youth unemployment and underutilisation rates have risen to levels last seen around the Global Financial Crisis, but economic recovery alone may not solve the problem. This NZIER Public Good Insight examines a mix of cyclical and structural issues that may reduce young people's employment opportunities, including weak demand, longstanding difficulties in moving from education to employment, rapid technological change, uncertainty about AI, and greater reliance on temporary migrant workers in young people’s gateway industries. It calls for stronger immediate support and a future-focused workforce strategy.
NZIER Insights are short notes designed to stimulate discussion on topical issues or to illustrate frameworks available for analysing economic problems. They are produced by NZIER as part of its self-funded Public Good Programme. The purpose of NZIER’s Public Good Programme is to inform debate and educate on important economic and policy issues facing Aotearoa New Zealand. More information on NZIER’s Public Good Programme can be found at https://www.nzier.org.nz/public-good.
