Govt Reports 6% Rise in Jobseekers Moving Off Benefits and Into Work

The improvement was driven largely by a 6.9% increase in work exits from Jobseeker Support, alongside a slight drop in the number of young people receiving Jobseeker payments.

The Government’s continued efforts to help New Zealanders into employment are showing positive results, with the latest data from the Ministry of Social Development (MSD) revealing a 6% increase in benefit recipients finding work compared to the previous quarter. The announcement was made by Minister for Social Development and Employment Louise Upston, who said the figures reflect real progress amid a challenging economic environment.

“Despite tough economic conditions, MSD stats show a 6 per cent rise in the number of main benefit recipients finding work compared to the previous June 2025 quarter,” Minister Upston said. “That’s 20,775 New Zealanders moving off the benefit and into work during the period.”

The improvement was driven largely by a 6.9% increase in work exits from Jobseeker Support, alongside a slight drop in the number of young people receiving Jobseeker payments.

Job Market Showing Signs of Recovery

While total benefit numbers rose modestly during the quarter — a trend that was expected — the Government remains optimistic that employment conditions will improve toward the end of 2025 as inflation stabilises and business confidence returns.

“As previously forecast, we have seen temporary increases in the number of people receiving a main benefit and Jobseeker Support before conditions are expected to pick up later in the year,” Upston said.

She added that the Government’s approach balances short-term support for jobseekers with long-term investment in employment pathways, ensuring people have access to the tools and guidance they need to secure stable work.

Innovative Case Management and Frontline Support

A key part of the strategy has been expanding MSD’s frontline capacity and introducing phone-based case management, which allows 10,000 more jobseekers to be supported at any one time.

“This new model means we can stay in touch with more people, helping them identify suitable opportunities faster and providing guidance on training or employment options,” Upston said.

The Ministry’s traffic light system and Kōrero Mahi seminars, both introduced in mid-2024, are also proving effective in helping jobseekers stay motivated, meet their obligations, and gain practical job-readiness skills.

Helping Jobseekers Build Confidence and Skills

The Kōrero Mahi seminars provide tailored advice on CV writing, interview preparation, and job search strategies, empowering jobseekers to present themselves more confidently to employers.

“Sometimes, it’s the small things that make a big difference,” Upston explained. “We’ve heard from participants who say these seminars helped them secure their first interviews or move into better-paying jobs. It’s about helping people put their best foot forward.”

The initiative reflects the Government’s broader focus on practical, hands-on support, ensuring individuals not only find work but are equipped to maintain long-term employment stability.

Economic Recovery and Responsible Management Minister Upston emphasised that helping people off benefits and into work is central to both social and economic recovery. “We know many New Zealanders are still doing it tough,” she said. “That’s why we remain focused on responsible economic management that supports job and income growth, giving Kiwis the opportunity to get ahead.”

The Government’s ongoing reforms include streamlining employment services, encouraging regional job creation, and aligning workforce development with areas of high demand — such as construction, healthcare, and technology.

“Our employment initiatives are about more than statistics,” Upston said. “Each person who moves into work represents independence, security, and a life turned around. This data reflects the progress of thousands of New Zealanders and their families who now have greater stability and confidence in their future.”

Looking Ahead

With economic conditions expected to improve later in the year, MSD and the Government plan to continue investing in initiatives that connect people with opportunities, foster collaboration with employers, and address regional workforce needs.

“These results show that our approach is working,” said Upston. “We’ll keep supporting New Zealanders to build better futures through employment, training, and perseverance. Every job gained is a step toward stronger communities and a more resilient economy.”