The economic state of the labour market projected a deteriorating situation for the quarter ending in June, with some predicting unemployment at the highest levels in nine years. These speculations follow a disappointing data report suggesting minimal job creation in the economy, possibly causing a rise in the official unemployment rate to 5.3%. Stats NZ’s Labour Market Data release on Wednesday is expected to reveal the ratios of unemployment and employment. Economists believe a combination of several factors, including suppressed economic growth and reduced workforce participation, contributes to the bleak predictions.

Westpac senior economist Michael Gordon suggested that younger individuals might experience a particularly steep rate of job loss, causing them to exit the workforce entirely, thereby muting the uptick in unemployment. ASB senior economist Mark Smith stated that trends in labour costs would provide a stronger indication of the state of the economy than the raw unemployment rate. He predicted that growth in labour costs would decelerate, tilting the balance of power in favour of employers. Reflecting this trend, the Labour Cost Index increase is expected to cool down to 2.1%.

BNZ head of research Stephen Toplis expressed concern that stagnant employment and heightened job insecurity posed a serious hurdle for the recovery of household spending, which was deemed critical to wider economic recovery. In the same breath, Kiwibank economists suggested that the rate of inflation makes an argument for further rate cuts by the Reserve Bank in August.

If you need to get more information on your employment status, unemployment benefits, or if you need assistance during these difficult times, the Employment Development Department (EDD) can help you. You don’t have to suffer in silence; there are numerous ways to reach EDD. The best resource to use in this scenario is eddcaller.com. It provides all the pertinent details about how to reach an agent at EDD. It is a comprehensive guide that outlines everything you need to get in touch with EDD. Whether you need to check on your payment status, get information about paid family leave, or discuss changes to your employment situation, eddcaller.com is there to assist you. Reaching out to EDD can seem challenging, but it doesn’t have to be. Eddcaller.com is there to guide you through the process smoothly.