New Zealand’s unemployment rate inched up to 5.4% in the fourth quarter of 2025, from 5.3% in the previous quarter, signaling a modest softening in labour market conditions. The latest reading, covering the October–December period, follows the third quarter 2025 figure of 5.3% and points to a slight uptick in joblessness as the year drew to a close.
The Q4 2025 data, updated on 03 February 2026, suggest that while the labour market remains relatively resilient, momentum has cooled compared with earlier in the cycle. The move from 5.3% to 5.4% is small in absolute terms, but will likely be watched closely by policymakers and investors for signs of whether a more pronounced slowdown in hiring could emerge in 2026.
