Story behind stats

Young Labour is shocked to hear of the latest household labour force survey which puts youth unemployment at 30.9%.

But youth unemployment isn’t at 30.9%.

Labour once again stands accused of putting the worst possible spin on youth education and training, Tertiary Education, Skills and Employment Minister Steven Joyce says.

“The reality is that the latest HLFS shows that just under 80 per cent of all 15-19 year olds in New Zealand are enrolled in education or training, with the total numbers up from 238,000 to 243,000 in the last quarter,” Mr Joyce says.

The survey shows that the number of young people who are both unemployed and not in education is 15,000.  While this is still too many, it represents only 4.8 per cent of the total cohort of 310,000.

An important point to note is that the headline HLFS unemployment percentage for 15-19 year olds is unusual in that it excludes the high number of young people who are in education and not in the labour market. . .

Any unemployment is concerning and youth unemployment is particularly so. Young people who go onto benefits without having worked are more likely to stay on them longer.

But the 30.9% is that Young Labour is shocked about is the percentage of people not in work which is a different and not nearly so shocking statistic.

When they get over their shock, Young Labour might like to ponder on the fact that youth unemployment increased when the then-Labour led government abolished youth rates.

The Auckland conundrum

If house prices are high in Auckland because more people want to live there.

And more people want to live there because that’s where the jobs are.

How do you explain the latest Household Labour Force Survey which shows higher unemployment there?

Matt Nolan says other factors are also involved in house prices.

And Lindsay Mitchell thinks that the unexpected rise in the number of job seekers could be not so much about people losing jobs but more about people becoming available for and seeking work.

If that’s the case it would show that expecting people on benefits who could work to do so is already having an impact.

However, the real measure of success will be when they find and keep the jobs.

If some of those jobs weren’t in Auckland then that might take some of the pressure of house prices too.

Jobs don’t come from doing nothing

The Opposition is frothing about the Household Labour Force Survey which showed a small increase in unemployment to 6.8%.

But they’re the ones who oppose every move the government makes to reduce costs, move those who can work off benefits into jobs and the development opportunities which will create more jobs.

Tertiary Education, Skills and Employment Minister Steven Joyce is right, the unemployment rate underlines the need for New Zealand to take up all our opportunities for productive growth.

The results show that it is important we allow businesses the opportunity to grow and create jobs across the economy,” Mr Joyce says.

“This includes the intensification of agriculture, the development of aquaculture, greater foreign investment, encouraging hi-tech industries, expanding oil and gas exploration, and progressing an international convention centre in Auckland.

“Those that oppose some or all of these things need to understand you can’t have more jobs without taking up these opportunities.

“It’s vital that we put out the welcome mat to businesses given the backdrop of the Global Financial Crisis and the on-going impact of the Canterbury Earthquakes.”

. . . “Our focus is on ensuring businesses have access to the necessary innovation, capital, skilled workers, resources, supporting public infrastructure and markets they need to be internationally competitive,” Mr Joyce says.

“The good news is that in the past two years 55,000 new jobs were created in New Zealand despite some of the toughest economic head winds the World has seen. However, the reality is that if we want more and better jobs then we need to encourage more successful, growing and competitive companies to be based here.”

Jobs don’t come from doing nothing.

(Photo borrowed from Credo Quia Absurdum Est).

We have to do something but not just anything. It’s no use postponing the day of reckoning with tax, borrow and spend policies as Labour did.

We need productive jobs which earn export dollars.

It’s time to stop saying no and learn how to say yes to opportunities boost economic growth and environmental protection.