But increase in working-age population is at a slower pace
New Zealand's working-age population increased by 56,200 in the 12 months through December to reach 4.325 million by year-end, according to reports.
Bloomberg, citing data from Stats NZ, reported that this is a slower increase compared to the 69,900 in the 12 months through September.
This is also the lowest annual increase since December 2022, it reported.
Despite the slower 12-month growth, the report noted the working-age population grew at a slightly faster pace in the fourth quarter, where it gained 14,600, up from the 10,500 in the September quarter.
But the recently reported quarterly increases remained slower than in 2023, where an average of about 34,000 a quarter was recorded.
The decline in working-age population comes as younger Kiwi employees leave the country, according to the Bloomberg report.
It adds to growing concerns of brain drain in New Zealand, a situation that Social Development Minister Louise Upston said was a "possibility" amid layoffs and a recession early last year.
Previous data from Stats NZ revealed that there were 133,030 migrant departures in the year ending in September 2024, including 79,700 departures of NZ citizens.
They come amid tempting job prospects overseas, including Australia, which is the most common destination for departing Kiwis.
Shay Peters, chief executive of Robert Walters, added that the lack of opportunities and inadequate salaries in New Zealand are driving people to seek employment overseas.
"This is a concerning trend which could impact the country for many years, as it stands to lose a substantial number of highly skilled individuals, potentially for the long-term," Peters previously said.
