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Youth Unemployment Rise worries Students

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Wed Nov 04 2015 13:00:00 GMT+1300 (New Zealand Daylight Time)

Youth Unemployment Rise worries Students

NZUSA - New Zealand Union of Students' Associations Wednesday, 4 November 2015, 5:34 pm
Press Release: NZUSA

FOR IMMEDIATE RELEASE

Youth Unemployment Rise worries Students

04 November 2015

Media Release: New Zealand Union of Students’ Associations

Student leaders are reporting increasing concern amongst students of their graduate prospects as the unemployment rate rises to 6% and youth unemployment increases 1.7% to 15.33%.

National student president Rory McCourt says the issue was increasingly coming up as he spoke to groups of students and student leaders across the country.

“Students across the country have been telling us that they’re worried about their job prospects. From Lincoln students worried about the resiliency of the primary and secondary sectors to keep taking on highly specialized graduates through to Waiariki polytechnic students concerned about regional economies, our students are anxious about their job prospects.”

For the largest cohort looking to graduate, 20 to 24 year olds, the unemployment rate is 11.8% for the September quarter, up from 10.5% twelve months ago, according to the Government's Household Labour Force Survey.

“These figures mean more graduates are joining the dole queue, and for most that’s a sad reward for racking up so much student debt.”

Mr McCourt says the Government was premature to tout a fall in the NEET (not in employment, education or training) figures. They actually worsened amongst 20-24 year olds, rising from 15% to 15.1% of the working age population for the year to September, even as the average amongst all 15-24 year olds fell 0.5% down to 11.0%.

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The NEET rate for that wider pool had jumped around between 11.0 and 11.3 per cent in five of the last eight quarters, so the current fall’s significance is questionable.

“Even if more 15-19 year olds are in training or education, our members say studying forever is not an option –especially with the Government cutting so much support to postgraduate students.”

Mr McCourt says the Government must do more combat unemployment, and seriously consider reversing cuts to student support if unemployment amongst young people continued to rise. Since 2010 the Government cut the number of students eligible for allowances by 24%.

The data also confirms trends seen in the NZUSA Income and Expenditure Survey that more students are taking on paid work to make ends meet. In 2015, there were 67.9% 20-24 year olds in employment and education at the same time, up from 55.9% in 2012. This development has been concerning some academics, with many students skipping classes to make shifts in part-time and full-time jobs.

Youth Unemployment 15-24 year olds

September 2014

13.67%

December 2014

14.94%

March 2015

15.43%

June 2015

14.07%

September 2015

15.33%

Youth Unemployment 20-24 year olds

September 2014

10.5%

December 2014

11.0%

March 2015

11.8%

March 2015

10.6%

September 2015

11.8%

Youth Unemployment 15-19 year olds

September 2014

19.4%

December 2014

21.4%

March 2015

21.4%

June 2015

20.3%

September 2015

21.8%

Note: Data taken from Household Labour Force Survey

ENDS

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NZUSA - New Zealand Union of Students' Associations

NZUSA - New Zealand Union of Students' Associations

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NZUSA is the New Zealand Union of Students' Associations, the national body that represents New Zealand's students' associations and the interests of New Zealand's 400,000 students at universities, polytechnics and in trades training.

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