Employment

Note: The data and text for this section is sourced in whole or in part from the following report: Ministry of Social Development (2008), Children and Young People: Indicators of Wellbeing in New Zealand 2008. Wellington: Ministry of Social Development.

Definition

The proportion of young people aged 15 to 24 who are in paid employment for at least one hour per week.

Relevance

The youth employment rate is the best available indicator of young people’s participation in paid employment. Earning income from wages or a salary contributes to young people’s economic independence.

Current level and trends

In 2007, on average, 58.7 percent of young people aged 15 to 24 were employed for at least one hour per week.

The youth employment rate fell significantly between 1986 to 1992, and has remained relatively low during the subsequent period of economic growth.

In 2007 the youth employment rate was lower than the rate recorded in 1986 (68.7 percent), but higher than the rate recorded during the economic downturn of the early 1990s (53.7 percent in 1992).

Employment rate of young people aged 15 to 19 and 20 to 24, 1986-2007

Source: Statistics New Zealand, Household Labour Force Survey, December year-end average.

The ratio of full-time to part-time young workers has remained fairly steady over time.

Although there has been a small increase in the proportion of 20 to 24 year old workers who work part-time as opposed to full-time, part-time work is consistently more common among the 15 to 19 age group, many of whom are in education.

Distribution of young workers aged 15 to 19 and 20 to 24 by type of employment (full-time or part-time) selected years 1996-2006

Source: Statistics New Zealand, Census

The proportion of young people aged 15 to 24 combining work with study has increased substantially over the last two decades.

In 1986, 9.7 percent of this age group was both employed and studying. By 2004, this proportion had grown to 23.7 percent. Over the same time, the proportion who were employed but not studying fell from 56 percent to 31.4 percent, and the proportion who were studying but not employed grew from 20.6 percent to 35.5 percent.

Distribution of young people aged 15 to 24 by work and study status, selected years 1986-2004
Age (years)	1986	1989	1992	1995	1998	2001	2004
Employed but not studying	56.0	42.9	33.8	34.6	35.8	31.4	31.4
Both employed and studying	9.7	15.9	15.2	16.3	18.2	22.1	23.7
Studying but not employed	20.6	26.0	28.4	33.7	32.6	33.9	35.5
Neither employed nor studying	13.8	15.3	22.6	15.4	13.4	12.7	9.4
Total	100.1	100.1	100.0	100.0	100.0	100.1	100.0