Kiwis' working lives are getting longer

Brian from Mount Roskill

Working lives are getting longer as New Zealanders join the workforce earlier and work longer after retirement, according to Stats NZ.
Census data shows almost one in two Kiwis between 65-69 years old were still employed in 2023, while the percentage of people aged 15 to 29 in employment in 2023 was 65.7%, up from 56.6% in 2013.
Teenagers were the largest contributor to the increase, with employment among those aged 15 to 19 rising to 45.1% in 2023, compared with 40.7% in 2018 and 33.7% in 2013.
“Employment increased across all ages between 2013 and 2018 as the labour market recovered from the Global Financial Crisis,” said 2023 Census spokesperson Dr Rosemary Goodyear.
“However, for teenagers there was another increase in employment between 2018 and 2023, leading to larger growth over the decade compared with other age groups.”
Goodyear said other sources of labour market data, including Stats NZ’s Household Labour Force Survey, captured particularly strong employment for people aged 15 to 29 years across 2022 and 2023.
“This 2023 spike in employment for young people was likely linked to the low unemployment rate at the time, and the high unmet demand for labour following Covid-19 migration restrictions,” Goodyear said.
Meanwhile, more New Zealanders appear to be working for longer.
Employment among those aged 65 to 69 rose to 44% in 2023, up from 42.2% in both 2013 and 2018.
The percentage of those aged 70 to 74 who were employed in 2023 was 24.7%, up from 23% in 2018 and 21.9% in 2013.
For those 75 years and older, employment rose to 9.9%, compared with 8% in 2018 and 7.4% in 2013.
“The proportion of older people in employment has been steadily increasing over time,” Goodyear said.
“There are several factors which may be contributing to this trend, including better health, longer life expectancy, and financial pressures surrounding retirement.”
Data released earlier this year from Seek, as part of its Evolving Working Life report, showed cost of living pressures mean 41% of people don’t expect to retire by age 70.
Meanwhile, 32% believe they’ll be working longer than they want to.
The biggest reason for delaying retirement was that their financial situation won’t allow them to (58%).
According to Work and Income, those eligible for NZ Superannuation at 65 years old are entitled to payments even if they are still working, but the payments may be less depending on their tax code.
Meanwhile, Stats NZ said only three age groups had a decrease in employment between 2018 and 2023 – ages 25-29; ages 50-54; and ages 55-59.
The highest proportions of youth employment (15-29) were in Marlborough (75.0%), Southland (71.1%), and Tasman (71.2%).
In Auckland, youth employment was 63.9%.
Goodyear said the Marlborough region is well known for its seasonal work opportunities, particularly in fruit picking and viticulture.
“This type of work suits backpackers and young people who are looking for the opportunity to travel and gain new experiences.”
=================================================