Total Part-Time Employees in the Labour Force

IBISWorld forecasts the number of total part-time employees to rise by 5.4% in 2023-24, to 578.9 thousand people. This rise is expected to be supported by the recovery in net migration levels in the same year, as many foreign workers are expected to return following the gradual of easing COVID-19 related travel restrictions. Ongoing concerns regarding inflation and continued rises to interest rates are expected to subdue economic activity and employment over the same period. These factors are expected to drive up national unemployment, and also cause many employers to reduce hours and encourage part time work for employees.

The COVID-19 pandemic caused a notable rise in the unemployment rate in 2020-21. Despite subdued activity across many sectors that employ part-time workers, such as the hospitality, arts and retail sectors, which were hard hit by the pandemic, wage subsidies introduced by the Central Government (Te Kawanatanga o Aotearoa) to support employment, prevented the number of part-time employees from falling over the year. Due to subdued economic conditions, some employees are also expected to have worked fewer hours than normal over the year, leading them to be classified as part time employees.