Report also shows industries with smallest wage increases
The healthcare and social assistance industry reported the biggest pay increase in the wake of little wage movement across New Zealand in 2024, according to reports.
The industry registered a pay hike of 7.9% in 2024, indicating higher pay rates for the broader health workforce, according to Infometrics chief executive Brad Olsen.
The education industry also registered the third-highest pay hike in 2024, rising 5.7%, according to Olsen, as reported by Radio New Zealand.
"Both of these sectors have seen larger increases due to recent pay agreements in the last two years now coming into action, plus the continued demand for these services," the chief executive told the news outlet.
The second-highest increase in New Zealand was recorded in forestry and mining, with a 6.2% pay hike. Olsen attributed the hike in the small industry to the loss of lower-earning roles in the past year.
"Part of the reason for the larger percentage increase may have been that lower-earning roles in forestry were lost over the last year - we know there have been job losses in forestry - due to lower commodity prices and weaker export potential," he said as quoted by RNZ.
Meanwhile, the smallest pay increases in New Zealand were recorded in the following sectors:
Despite registering the smallest increase in 2024, Olsen noted that the accommodation and food services sector still saw the biggest pay hike from 2019, with 39%.
The Infometrics chief attributed it to large cumulative increases in the minimum wage over that period.
The findings come as New Zealand implemented a "cautious" two per cent increase to the minimum wage to $23.15 in 2024. The modest increase extends until 2025, as the government announced a 1.5% wage hike to be implemented in April. This will hike the minimum wage to $23.50.
Meanwhile, Robert Walters found that 62% of employers are likely to provide salary increases this year.
According to the report, the "relatively low" number reflects employers' expectations of the broader economy.
On the other hand, only 57% of employees said they are also expecting a salary hike this year.
"This is also relatively low which shows employees are lowering their expectations in light of lack of job security and a weak job market," the report read.