Over half of SME employees report that finding a new job would take them more than three months if they were laid off, a survey from Employment Hero said.
The SME employment survey received 70,000 responses from employees and owners, making it the most extensive of its kind in the country.
The survey reported an improvement in the job market for 18- to 24-year-olds over the past year, but New Zealand country manager Neil Webster pointed out that this growth was largely due to casual employment.
Meanwhile, 64% of people over 55 were doubtful they would quickly secure another job if they were currently searching.
New Zealand spokesperson Neil Webster said employers were hesitant to commit to hiring full-time workers after placing their hopes on a 2025 recovery that has yet to materialise.
Webster said the survey showed improvement compared to last year, but the job market still remained difficult.
However, he noted that this year’s survey highlighted some positive signs suggesting that the job market had at least reached a point of stability. He said the survey revealed an unexpected increase in hiring by small construction firms for tradespeople.
Similarly, Webster mentioned that the hospitality and retail sectors have also resumed hiring.
The survey indicates a 19% surge in employment in Otago, with overall job growth in the South Island rising by 5.4% annually, outpacing the North Island’s modest 0.6% increase.
Webster said the South Island’s strong performance was driven by a resilient rural economy and a rebound in tourism.