File photo. Simon Bridges it was tough in Auckland and called for fiscal stimulus. Photo: RNZ / Samuel Rillstone
Auckland's Business Chamber boss is calling on the government do more to stimulate the economy in the supercity, and the country, as jobless figures rise.
The latest Stats NZ data shows Auckland's 6.1 percent unemployment rate for the June 2025 quarter is the worst of all regions.
It is also above the national unemployment rate which rose to a near-five year high of 5.2 percent as businesses either sack staff or stop hiring.
"It's pretty grim ... it's very very tough in Auckland," Chamber chief executive Simon Bridges told Morning Report.
There was a real case for serious policy or fiscal stimulus around New Zealand, and particularly in the big cities, in order to "get things going".
"I think we need to raise the animal spirits, if you like, of the business community."
Finance Minister Nicola Willis says the government has a lot of sp[ending lined up, including for Auckland. Photo: RNZ / Mark Papalii
Bridges said a boost in confidence in Auckland was needed at both business and consumer levels.
Things were tough in the city which hadn't caught a break since before the Covid-19 pandemic started, he said.
"There is more stimulus, there is more policy work that government could be doing to provide a better business environment in Auckland in the here and now," he said.
"I think [the government has] done some worthy long term things, but in the end if all we worry about is the long term, I'm not sure there'll be that many Kiwis left in Auckland," he said.
"It's now that they need to be focused on."
'Open to further suggestions' - Willis
Finance Minister Nicola Willis responded to Bridges' criticisms in a statement to RNZ, saying she agreed immediate and long-term action was needed to support economic activity and was "open to further suggestions".
Willis pointed to construction projects including the $200 million extension of the Port of Auckland wharves, other construction projects around the country, and that the government was borrowing $10 billion this year "which is going into schools, hospitals and communities throughout the country including Auckland".
"Business investment is being incentivised through Investment Boost and Ministers are driving forward the government's Going for Growth Agenda," Willis said.
"Auckland business will get a further boost from the opening of the International Convention Centre and Auckland City Rail Link next year.
"I am always open to further suggestions about action to support economic activity and look forward to continuing to work with the Auckland Chamber, Business New Zealand and other business groups on actionable insights to support economic growth."
Prime Minister Christopher Luxon pointed to the Fast Track legislation as a way of boosting Auckland's economy.
"Here in Auckland you'll see through the Ports of Auckland, there's been two wharf upgrades that are projects the Ports of Auckland wants to undertake," Luxon said.
"They applied under Fast Track, they have essentially received their decision in less than six months, something that I've been advised would normally have taken five years. So there's projects that are underway that can create employment and work."
Luxon said the completion of the City Rail Link would also lead to more opportunities for jobs, with businesses and enterprises built around the network.
Employers and Manufacturers Association (EMA) head of advocacy Alan McDonald said while the agriculture industry was bolstering employment elsewhere, Auckland had different economic drivers.
"Numbers from the Auckland Council Economic Unit indicated unemployment would be quite high [in the June quarter] and it has been for some time.
"There are some signs of recovery but they're being led by the regional economy and primary sector and Auckland is more about manufacturing and services.
"Hospitality, tourism, education sectors have all been down as well."
McDonald said EMA had received a spike in calls to its advice line about redundancies and restructures since March.
"We had hoped 5.1 [in December 2024] might be the bottom of Auckland's unemployment numbers, but we've been hearing from March until now that things are still very tight and very tough." But things were starting to turn he said.
The Stats NZ quarterly labour market figures released on Wednesday also showed unemployment was more than double the national rate at 12.1 percent.
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