More Than 23,000 Jobseekers Find Work in Early 2025 Amid Govt Reforms

Minister Upston underscored the broader social and emotional value of work, beyond financial gain.

More than 23,000 people receiving a main benefit in New Zealand found work in the first quarter of 2025, marking a significant increase from the same period last year. The Ministry of Social Development’s (MSD) latest benefit statistics, released today, show 2,421 more beneficiaries gained employment compared to the March 2024 quarter — an increase of 11.6 percent.

Social Development and Employment Minister Louise Upston called the results “cautiously encouraging,” noting the progress reflects the Government’s intensified focus on employment and targeted support, especially for young people.

Consecutive Monthly Improvements

From January to March 2025, benefit numbers decreased for three consecutive months. The number of people receiving Jobseeker Support fell by nearly 3,500 between December 2024 and March 2025, indicating growing movement from welfare into employment.

While these are promising signs, Minister Upston emphasized the need for a balanced perspective.

“While encouraged by these figures, I’m also taking a cautious approach as our Government continues to drive for economic and job growth in a challenging global and domestic environment,” she said.

Benefit Numbers Still Higher Year-on-Year

Despite the recent improvements, Upston acknowledged that the number of people on a main benefit remains higher than in the March 2024 quarter, following increases across much of last year. “We must view this employment improvement alongside the broader context,” she added.

However, she praised the MSD for its frontline efforts, attributing much of the recent success to proactive engagement and new employment-focused initiatives.

Frontline Focus Driving Change

One of the major contributors to the surge in employment has been MSD’s renewed focus on job placements. Case managers have been working more intensively with clients, offering tailored one-on-one support to prepare them for work opportunities.

“Our frontline MSD staff are doing an outstanding job. They are not only explaining obligations and sanctions under the new traffic light system but also helping clients access the support they need to re-enter the workforce,” said Upston.

She described this personal approach as “vital” in helping jobseekers, especially younger beneficiaries, achieve long-term employment.

Support for Young People and Early Intervention

Among the new measures introduced by the Government are enhanced early intervention services targeted at young people. These include:

• A phone-based employment case management service providing direct guidance.

• 2,100 additional placements for community-based job coaching.

• Regular job-readiness seminars to prepare young people for work.

• A “traffic light” accountability system designed to keep jobseekers on track with their obligations while identifying those needing more support.

“The faster we can help young beneficiaries into sustainable employment, the better the outcomes — for them, their families, and the country,” Upston stated.

New Relocation Support to Increase Mobility

To further assist people in taking up work opportunities, the Government has launched the Relocate for Work Support payment. This initiative aims to reduce financial barriers for jobseekers needing to move for sustainable employment, enabling greater flexibility and mobility in the job market.

Employment as a Pathway to a Better Future

Minister Upston underscored the broader social and emotional value of work, beyond financial gain.

“Work is about more than money. It brings purpose, independence, and a sense of belonging. These are essential ingredients for a better future and can help families escape the cycle of intergenerational welfare dependency.”

While acknowledging that more work lies ahead, she said the latest statistics are proof that targeted support and accountability measures can yield meaningful results.

“These figures show what a difference strong interventions and a focus on employment can make. We’re building momentum, and with continued effort, we can help more New Zealanders into work and toward brighter futures.”